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LPLA vs. MS: LPL Financial vs. Morgan Stanley Stock Comparison

How do LPL Financial (LPLA) and Morgan Stanley (MS) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

LPL Financial (LPLA) and Morgan Stanley (MS) are both classified in the Investment Banking & Brokerage sub-industry within the broader Capital Markets industry, placing them in the closest GICS peer bucket.

Company profile comparison for LPL Financial (LPLA) and Morgan Stanley (MS)
Profile ItemLPLAMS
NameLPL Financial Holdings Inc.Morgan Stanley Common Stock
Country/RegionUnited StatesUnited States
GICS SectorFinancialsFinancials
GICS Industry GroupFinancial ServicesFinancial Services
GICS IndustryCapital MarketsCapital Markets
GICS Sub-IndustryInvestment Banking & BrokerageInvestment Banking & Brokerage
Market Capitalization23.01 billion USD283.60 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateNovember 18, 2010February 23, 1993
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

LPLA
MS
GSPC
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LPL Financial (LPLA) vs. Morgan Stanley (MS), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for LPL Financial (LPLA) and Morgan Stanley (MS). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for LPL Financial (LPLA) and Morgan Stanley (MS). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
Total Return (1Y)-17.27%19.44%
Total Return (3Y, Annualized)11.10%40.69%
Total Return (5Y, Annualized)13.92%17.38%

Risk Profile

Drawdown History

LPLA
MS
GSPC
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LPL Financial (LPLA) vs. Morgan Stanley (MS), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for LPL Financial (LPLA) and Morgan Stanley (MS). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
Volatility (1Y, Annualized)39.22%29.73%
Beta (5Y)0.521.21
Max Drawdown (5Y)-33.18%-32.38%
Avg. Volume (3M)855.76K5.37M

Risk-Adjusted Performance

Risk-Return Positioning

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LPLA and MS are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
Sharpe Ratio (1Y)-0.550.51
Sortino Ratio (1Y)-0.700.73

Profitability

ROE (TTM)

LPL Financial (LPLA) at 25.66% sits in the top ROE quartile, while Morgan Stanley (MS) at 18.04% is closer to the peer norm — stronger capital efficiency for LPLA.

LPLA

Financial Services industry group

25.66%

Max
44.78%
LPLA
25.66%
Q3
21.85%
Median
12.91%
Q1
4.48%
Min
-18.71%

MS

Financial Services industry group

18.04%

Max
44.78%
Q3
21.85%
MS
18.04%
Median
12.91%
Q1
4.48%
Min
-18.71%
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their ROE against the Financial Services industry group benchmark.

Net Margin (TTM)

Both LPL Financial (LPLA) at 6.97% and Morgan Stanley (MS) at 25.63% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

LPLA

Financial Services industry group

6.97%

Max
62.84%
Q3
28.05%
Median
15.36%
LPLA
6.97%
Q1
4.82%
Min
-28.52%

MS

Financial Services industry group

25.63%

Max
62.84%
Q3
28.05%
MS
25.63%
Median
15.36%
Q1
4.82%
Min
-28.52%
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their net margin against the Financial Services industry group benchmark.

Operating Margin (TTM)

Morgan Stanley (MS) at 39.00% runs core operations around its industry’s norm, while LPL Financial (LPLA) at 10.85% operates in the bottom quartile.

LPLA

Financial Services industry group

10.85%

Max
107.33%
Q3
55.90%
Median
30.09%
Q1
14.60%
LPLA
10.85%
Min
-44.34%

MS

Financial Services industry group

39.00%

Max
107.33%
Q3
55.90%
MS
39.00%
Median
30.09%
Q1
14.60%
Min
-44.34%
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their operating margin against the Financial Services industry group benchmark.

Profitability Metrics

Profitability metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
ROE (TTM)25.66%18.04%
ROA (TTM)7.35%1.35%
Net Margin (TTM)6.97%25.63%
Operating Margin (TTM)10.85%39.00%
Gross Margin (TTM)----

Growth

Revenue Growth

LPL Financial (LPLA) at 37.18% sits in the top revenue growth quartile, while Morgan Stanley (MS) at 14.48% is closer to the peer norm — faster top-line expansion for LPLA.

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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both LPL Financial (LPLA) at -22.17% and Morgan Stanley (MS) at 28.43% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
Revenue Growth (YoY)37.18%14.48%
Revenue Growth (3Y CAGR)25.47%9.52%
EPS Growth (YoY)-22.17%28.43%
EPS Growth (3Y CAGR)1.64%18.41%

Financial Strength

Current Ratio (MRQ)

current ratio doesn’t apply on either side: LPL Financial (LPLA) in Financial Services and Morgan Stanley (MS) in Financial Services both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for both: LPL Financial (LPLA) in Financial Services and Morgan Stanley (MS) in Financial Services run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.

Financial Strength Metrics

Financial strength metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Both LPL Financial (LPLA) at 0.40% and Morgan Stanley (MS) at 2.40% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.

LPLA

Financial Services industry group

0.40%

Max
9.77%
Q3
3.92%
Median
1.09%
LPLA
0.40%
Q1
0.00%
Min
0.00%

MS

Financial Services industry group

2.40%

Max
9.77%
Q3
3.92%
MS
2.40%
Median
1.09%
Q1
0.00%
Min
0.00%
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their dividend yield against the Financial Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both LPL Financial (LPLA) at 6.88% and Morgan Stanley (MS) at 32.91% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.

LPLA

Financial Services industry group

6.88%

Max
241.07%
Q3
97.36%
Median
25.77%
LPLA
6.88%
Q1
0.00%
Min
0.00%

MS

Financial Services industry group

32.91%

Max
241.07%
Q3
97.36%
MS
32.91%
Median
25.77%
Q1
0.00%
Min
0.00%
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their payout ratio against the Financial Services industry group benchmark.

Dividend Metrics

Dividend metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
Dividend Yield (TTM)0.40%2.40%
Dividend Payout Ratio (TTM)6.88%32.91%

Valuation

P/E Ratio (TTM)

Both LPL Financial (LPLA) at 16.93 and Morgan Stanley (MS) at 14.39 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

LPLA

Financial Services industry group

16.93

Max
45.85
Q3
24.64
LPLA
16.93
Median
15.37
Q1
9.68
Min
0.16

MS

Financial Services industry group

14.39

Max
45.85
Q3
24.64
Median
15.37
MS
14.39
Q1
9.68
Min
0.16
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their P/E ratio against the Financial Services industry group benchmark.

P/S Ratio (TTM)

LPL Financial (LPLA) at 1.15 sits in the cheaper P/S ratio quartile while Morgan Stanley (MS) at 3.55 prices around its industry’s middle — LPLA costs less per dollar of sales, though read it alongside growth and margins.

LPLA

Financial Services industry group

1.15

Max
9.23
Q3
4.57
Median
2.72
Q1
1.28
LPLA
1.15
Min
-0.55

MS

Financial Services industry group

3.55

Max
9.23
Q3
4.57
MS
3.55
Median
2.72
Q1
1.28
Min
-0.55
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their P/S ratio against the Financial Services industry group benchmark.

P/B Ratio (MRQ)

Morgan Stanley (MS) at 2.65 is valued about in line with its industry on P/B ratio, while LPL Financial (LPLA) at 3.98 carries an above-peer premium to book — LPLA is pricier on assets.

LPLA

Financial Services industry group

3.98

Max
7.79
LPLA
3.98
Q3
3.63
Median
1.57
Q1
0.81
Min
-0.39

MS

Financial Services industry group

2.65

Max
7.79
Q3
3.63
MS
2.65
Median
1.57
Q1
0.81
Min
-0.39
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LPL Financial (LPLA) vs. Morgan Stanley (MS): A comparison of their P/B ratio against the Financial Services industry group benchmark.

Valuation Metrics

Valuation metrics for LPL Financial (LPLA) and Morgan Stanley (MS)
MetricLPLAMS
P/E Ratio (TTM)16.9314.39
P/S Ratio (TTM)1.153.55
P/B Ratio (MRQ)3.982.65
Free Cash Flow Yield (TTM)----