LPL Financial Holdings Inc. (NYSE:LPL) is a prominent player in the financial services sector, providing brokerage and advisory services. As the company prepares to release its quarterly earnings on November 27, 2025, Wall Street anticipates an earnings per share (EPS) of $0.07 and revenue of approximately $4.99 billion. LPL's performance is closely watched, given its significant presence in the industry.
In October 2025, LPL Financial reported a notable increase in its brokerage and advisory assets, reaching a total of $2.35 trillion. This represents a 1.6% rise from the previous month and a substantial 40.5% increase year over year. Brokerage assets climbed to $976.8 billion, marking a 1% increase from September and a 28.1% rise compared to the same period last year. Advisory assets grew to $1.37 trillion, up 2% from the previous month and an impressive 50.9% from October 2024.
The company recorded $7.3 billion in organic net new assets for October, including $0.7 billion from First Horizon Bank. Despite a slight monthly dip, LPL maintained $54.9 billion in client cash. The company's total advisory and brokerage assets increased by $36.6 billion, or 1.6%, from the previous month. Organic net new assets reflected a 3.8% annualized growth rate, excluding certain impacts.
Despite these positive asset growth figures, LPL faces financial challenges. The company has a negative price-to-earnings (P/E) ratio of approximately -18.77, indicating current losses. Its price-to-sales ratio is 0.24, suggesting the market values its sales at about 24 cents for every dollar of sales. The enterprise value to sales ratio is 0.69, reflecting its valuation in relation to sales.
LPL's financial metrics further highlight its challenges. The enterprise value to operating cash flow ratio is 8.20, indicating how many times the operating cash flow can cover the enterprise value. The earnings yield is -5.33%, another indicator of unprofitability. The debt-to-equity ratio is 2.00, showing twice as much debt as equity. Lastly, the current ratio is 0.70, suggesting potential challenges in covering short-term liabilities with short-term assets.
