LPL Financial HoldingsBSP:L2PL34 72 Net Margin % is 7.22% as of Mar. 2026, which is 13% below its 10-year median of 8.26. GuruFocus rates BSP:L2PL34 with a GF Score™ of 72/100 and a GF Value™ of R$133.85 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 774 Capital Markets companies, LPL Financial Holdings ranks worse than 61.89% on this metric.
The historical rank and industry rank for LPL Financial Holdings's Net Margin % or its related term are showing as below:
BSP:L2PL34'
s Net Margin % Range Over the Past 10 Years
Min: 4.74 Med: 8.26 Max: 10.61
Current: 4.93
BSP:L2PL34's Net Margin % is ranked worse than 61.89% of 774
companies
in the Capital Markets industry
Industry Median: 14.305
vs BSP:L2PL34: 4.93
LPL Financial Holdings (BSP:L2PL34) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
LPL Financial Holdings Net Margin % Related Terms
LPL Financial Holdings Net Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
BSP:L2PL34 vs TW, IREN, CRCL: Net Margin % Comparison
For the Capital Markets subindustry, LPL Financial Holdings's Net Margin %, along with its competitors' market caps and Net Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
LPL Financial Holdings Net Margin % vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, LPL Financial Holdings's Net Margin % distribution charts can be found below:
* The bar in red indicates where LPL Financial Holdings's Net Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LPL Financial Holdings (BSP:L2PL34) has a Net Margin % of 7.22% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on LPL Financial Holdings and its competitors. This is 13% below median its historical median of 8.26. Over the past decade, LPL Financial Holdings' Net Margin % has ranged from 4.74 to 10.61. According to the industry distribution chart, LPL Financial Holdings ranks #479 out of 774 companies in the Capital Markets industry, placing it in the top 61.9%.
Is LPL Financial Holdings' Net Margin % too high?
LPL Financial Holdings' current Net Margin % of 7.22% is 13% below median its 10-year median of 8.26. Over the past 10 years, this metric has ranged from a low of 4.74 to a high of 10.61. The Capital Markets industry median Net Margin % is 14.31. LPL Financial Holdings' value of 7.22% is 49.5% below this industry median. Based on the distribution chart, LPL Financial Holdings ranks #479 out of 774 companies in the Capital Markets industry, which is below the industry midpoint. Overall, LPL Financial Holdings has a GF Score™ of 72/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does LPL Financial Holdings' Net Margin % compare to TW and IREN?
According to the Capital Markets industry distribution chart, LPL Financial Holdings ranks #479 out of 774 companies for Net Margin %. This places LPL Financial Holdings in the lower half of its industry. The industry median Net Margin % is 14.31. LPL Financial Holdings' value of 7.22% is 49.5% below this benchmark. Historically, LPL Financial Holdings' own Net Margin % has ranged from 4.74 to 10.61 over the past decade. While the company's 10-year median is 8.26 vs. the industry median of 14.31, LPL Financial Holdings has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Capital Markets company?
The median Net Margin % among Capital Markets companies is 14.31, based on 774 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. LPL Financial Holdings's current Net Margin % of 7.22% is 49.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on LPL Financial Holdings and its competitors. For the Capital Markets industry, the median Net Margin % is 14.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LPL Financial Holdings's current Net Margin % is 7.22%, which is 13% below median its own 10-year median of 8.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LPL Financial Holdings stock overvalued right now?
Based on GuruFocus' analysis, LPL Financial Holdings (BSP:L2PL34) is currently considered Significantly Undervalued. The stock's GF Value™ is R$133.85, compared to a current price of R$81.81 — trading 38.9% below its estimated fair value. The current Net Margin % is 7.22%, which is 13% below median its 10-year median of 8.26 and 49.5% below the Capital Markets industry median of 14.31. LPL Financial Holdings' overall GF Score™ is 72/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For LPL Financial Holdings (BSP:L2PL34), the current Net Margin % is 7.22% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is LPL Financial Holdings (BSP:L2PL34) Overvalued in 2026?
Based on GuruFocus' analysis, LPL Financial Holdings stock appears to be undervalued.
The current stock price of R$81.81 is trading 38.9% below its estimated GF Value™ of R$133.85.
GuruFocus considers LPL Financial Holdings to be Significantly Undervalued.
Key valuation signals for BSP:L2PL34:
Net Margin %: 7.22% (13% below median its 10-year median of 8.26)
GF Value™: R$133.85 vs. price of R$81.81 (38.9% below fair value)
Industry Position: 49.5% below the Capital Markets median (#479 of 774)
No single metric tells the full story. See the BSP:L2PL34 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LPL Financial is the largest US independent broker-dealer, with more than 32,000 financial advisors affiliated with its platform and roughly 11 million customer accounts at the end of 2025. The firm earns the bulk of its profit from interest income earned on client cash balances and from advisory fees and commissions tied to the $2.4 trillion in assets under management or advisory on its platform at year-end 2025. LPL specializes in providing turnkey wealth management services for affiliated independent advisors, but maintains a diverse array of affiliation modalities, running the gamut from more traditional employee models to a pure RIA custody approach. It earns tuck-in revenue from recordkeeping fees and the provision of software tools and services to its advisor base.
72GF Score
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