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BRO vs. LPLA: A Head-to-Head Stock Comparison

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Here’s a clear look at BRO and LPLA, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolBROLPLA
Company NameBrown & Brown, Inc.LPL Financial Holdings Inc.
CountryUnited StatesUnited States
GICS SectorFinancialsFinancials
GICS IndustryInsuranceCapital Markets
Market Capitalization27.56 billion USD29.41 billion USD
ExchangeNYSENasdaqGS
Listing DateFebruary 11, 1981November 18, 2010
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of BRO and LPLA by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

BRO vs. LPLA: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolBROLPLA
5-Day Price Return2.79%-1.27%
13-Week Price Return-15.36%5.59%
26-Week Price Return-25.98%-3.24%
52-Week Price Return-27.89%17.77%
Month-to-Date Return1.20%-1.78%
Year-to-Date Return-20.90%13.50%
10-Day Avg. Volume2.93M0.65M
3-Month Avg. Volume3.03M0.89M
3-Month Volatility25.29%35.13%
Beta0.820.60

Profitability

Return on Equity (TTM)

BRO

10.74%

Insurance Industry

Max
31.64%
Q3
19.22%
Median
14.77%
Q1
10.48%
Min
2.20%

BRO’s Return on Equity of 10.74% is on par with the norm for the Insurance industry, indicating its profitability relative to shareholder equity is typical for the sector.

LPLA

20.61%

Capital Markets Industry

Max
41.61%
Q3
22.56%
Median
13.62%
Q1
9.23%
Min
-4.25%

LPLA’s Return on Equity of 20.61% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

BRO vs. LPLA: A comparison of their Return on Equity (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

BRO

18.24%

Insurance Industry

Max
28.47%
Q3
15.63%
Median
10.40%
Q1
6.94%
Min
-3.51%

A Net Profit Margin of 18.24% places BRO in the upper quartile for the Insurance industry, signifying strong profitability and more effective cost management than most of its peers.

LPLA

5.35%

Capital Markets Industry

Max
69.91%
Q3
36.88%
Median
24.30%
Q1
13.14%
Min
-6.20%

Falling into the lower quartile for the Capital Markets industry, LPLA’s Net Profit Margin of 5.35% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

BRO vs. LPLA: A comparison of their Net Profit Margin (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

BRO

28.62%

Insurance Industry

Max
35.59%
Q3
21.31%
Median
14.99%
Q1
10.34%
Min
-2.51%

In the Insurance industry, Operating Profit Margin is often not the primary measure of operational efficiency.

LPLA

9.46%

Capital Markets Industry

Max
83.68%
Q3
47.64%
Median
32.36%
Q1
19.28%
Min
0.30%

LPLA’s Operating Profit Margin of 9.46% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

BRO vs. LPLA: A comparison of their Operating Profit Margin (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Profitability at a Glance

SymbolBROLPLA
Return on Equity (TTM)10.74%20.61%
Return on Assets (TTM)4.47%5.31%
Net Profit Margin (TTM)18.24%5.35%
Operating Profit Margin (TTM)28.62%9.46%
Gross Profit Margin (TTM)--98.94%

Financial Strength

Current Ratio (MRQ)

BRO

1.18

Insurance Industry

Max
2.64
Q3
1.19
Median
0.53
Q1
0.15
Min
0.00

For the Insurance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

LPLA

2.38

Capital Markets Industry

Max
3.43
Q3
1.76
Median
1.00
Q1
0.60
Min
0.04

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

BRO vs. LPLA: A comparison of their Current Ratio (MRQ) against their respective Insurance and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

BRO

0.62

Insurance Industry

Max
1.10
Q3
0.65
Median
0.35
Q1
0.23
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Insurance industry.

LPLA

1.51

Capital Markets Industry

Max
6.12
Q3
2.78
Median
0.96
Q1
0.31
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

BRO vs. LPLA: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Insurance and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

BRO

7.75

Insurance Industry

Max
49.59
Q3
22.05
Median
9.63
Q1
3.42
Min
-5.73

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Insurance industry.

LPLA

6.08

Capital Markets Industry

Max
107.59
Q3
50.42
Median
10.94
Q1
4.37
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

BRO vs. LPLA: A comparison of their Interest Coverage Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Financial Strength at a Glance

SymbolBROLPLA
Current Ratio (MRQ)1.182.38
Quick Ratio (MRQ)1.072.33
Debt-to-Equity Ratio (MRQ)0.621.51
Interest Coverage Ratio (TTM)7.756.08

Growth

Revenue Growth

BRO vs. LPLA: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

BRO vs. LPLA: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

BRO

0.65%

Insurance Industry

Max
9.43%
Q3
5.10%
Median
3.57%
Q1
2.02%
Min
0.00%

BRO’s Dividend Yield of 0.65% is in the lower quartile for the Insurance industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

LPLA

0.31%

Capital Markets Industry

Max
8.63%
Q3
4.88%
Median
2.72%
Q1
1.41%
Min
0.00%

LPLA’s Dividend Yield of 0.31% is in the lower quartile for the Capital Markets industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

BRO vs. LPLA: A comparison of their Dividend Yield (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

BRO

18.02%

Insurance Industry

Max
169.40%
Q3
85.57%
Median
50.55%
Q1
22.12%
Min
0.00%

BRO’s Dividend Payout Ratio of 18.02% is in the lower quartile for the Insurance industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

LPLA

8.17%

Capital Markets Industry

Max
188.84%
Q3
96.52%
Median
61.58%
Q1
31.74%
Min
0.00%

LPLA’s Dividend Payout Ratio of 8.17% is in the lower quartile for the Capital Markets industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

BRO vs. LPLA: A comparison of their Dividend Payout Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Dividend at a Glance

SymbolBROLPLA
Dividend Yield (TTM)0.65%0.31%
Dividend Payout Ratio (TTM)18.02%8.17%

Valuation

Price-to-Earnings Ratio (TTM)

BRO

27.59

Insurance Industry

Max
27.66
Q3
17.29
Median
12.59
Q1
9.86
Min
3.13

A P/E Ratio of 27.59 places BRO in the upper quartile for the Insurance industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

LPLA

35.61

Capital Markets Industry

Max
47.53
Q3
28.81
Median
16.62
Q1
12.06
Min
5.71

A P/E Ratio of 35.61 places LPLA in the upper quartile for the Capital Markets industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

BRO vs. LPLA: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

BRO

5.03

Insurance Industry

Max
3.39
Q3
1.95
Median
1.25
Q1
0.83
Min
0.22

With a P/S Ratio of 5.03, BRO trades at a valuation that eclipses even the highest in the Insurance industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

LPLA

1.91

Capital Markets Industry

Max
13.23
Q3
6.65
Median
4.40
Q1
2.22
Min
0.03

In the lower quartile for the Capital Markets industry, LPLA’s P/S Ratio of 1.91 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

BRO vs. LPLA: A comparison of their Price-to-Sales Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

BRO

2.50

Insurance Industry

Max
4.36
Q3
2.47
Median
1.77
Q1
1.18
Min
0.17

BRO’s P/B Ratio of 2.50 is in the upper tier for the Insurance industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

LPLA

5.28

Capital Markets Industry

Max
10.83
Q3
5.27
Median
2.66
Q1
1.34
Min
0.37

LPLA’s P/B Ratio of 5.28 is in the upper tier for the Capital Markets industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

BRO vs. LPLA: A comparison of their Price-to-Book Ratio (MRQ) against their respective Insurance and Capital Markets industry benchmarks.

Valuation at a Glance

SymbolBROLPLA
Price-to-Earnings Ratio (TTM)27.5935.61
Price-to-Sales Ratio (TTM)5.031.91
Price-to-Book Ratio (MRQ)2.505.28
Price-to-Free Cash Flow Ratio (TTM)21.2287.52