LPLA vs. PRU: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at LPLA and PRU, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | LPLA | PRU |
|---|---|---|
| Company Name | LPL Financial Holdings Inc. | Prudential Financial, Inc. |
| Country | United States | United States |
| GICS Sector | Financials | Financials |
| GICS Industry | Capital Markets | Insurance |
| Market Capitalization | 28.43 billion USD | 37.70 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | November 18, 2010 | December 13, 2001 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of LPLA and PRU 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.
Historical Performance at a Glance
| Symbol | LPLA | PRU |
|---|---|---|
| 5-Day Price Return | -0.19% | 0.29% |
| 13-Week Price Return | -7.80% | -0.79% |
| 26-Week Price Return | -4.58% | -4.27% |
| 52-Week Price Return | 60.46% | -7.46% |
| Month-to-Date Return | -10.22% | 3.43% |
| Year-to-Date Return | 8.82% | -9.62% |
| 10-Day Avg. Volume | 0.69M | 1.63M |
| 3-Month Avg. Volume | 0.71M | 1.67M |
| 3-Month Volatility | 29.73% | 22.10% |
| Beta | 0.66 | 1.05 |
Profitability
Return on Equity (TTM)
LPLA
32.17%
Capital Markets Industry
- Max
- 38.97%
- Q3
- 21.61%
- Median
- 13.77%
- Q1
- 8.31%
- Min
- -4.25%
In the upper quartile for the Capital Markets industry, LPLA’s Return on Equity of 32.17% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
PRU
5.49%
Insurance Industry
- Max
- 29.03%
- Q3
- 18.11%
- Median
- 13.90%
- Q1
- 10.42%
- Min
- -0.64%
PRU’s Return on Equity of 5.49% is in the lower quartile for the Insurance industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Net Profit Margin (TTM)
LPLA
7.91%
Capital Markets Industry
- Max
- 66.67%
- Q3
- 35.11%
- Median
- 23.49%
- Q1
- 13.63%
- Min
- -15.18%
Falling into the lower quartile for the Capital Markets industry, LPLA’s Net Profit Margin of 7.91% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
PRU
2.96%
Insurance Industry
- Max
- 26.78%
- Q3
- 14.06%
- Median
- 9.15%
- Q1
- 5.48%
- Min
- -7.05%
Falling into the lower quartile for the Insurance industry, PRU’s Net Profit Margin of 2.96% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
Operating Profit Margin (TTM)
LPLA
12.86%
Capital Markets Industry
- Max
- 86.40%
- Q3
- 46.46%
- Median
- 32.80%
- Q1
- 18.32%
- Min
- -21.87%
LPLA’s Operating Profit Margin of 12.86% 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.
PRU
3.74%
Insurance Industry
- Max
- 35.49%
- Q3
- 19.49%
- Median
- 14.35%
- Q1
- 8.53%
- Min
- -5.25%
In the Insurance industry, Operating Profit Margin is often not the primary measure of operational efficiency.
Profitability at a Glance
| Symbol | LPLA | PRU |
|---|---|---|
| Return on Equity (TTM) | 32.17% | 5.49% |
| Return on Assets (TTM) | 7.89% | 0.22% |
| Net Profit Margin (TTM) | 7.91% | 2.96% |
| Operating Profit Margin (TTM) | 12.86% | 3.74% |
| Gross Profit Margin (TTM) | 98.92% | -- |
Financial Strength
Current Ratio (MRQ)
LPLA
3.05
Capital Markets Industry
- Max
- 3.76
- Q3
- 1.89
- Median
- 1.01
- Q1
- 0.54
- Min
- -0.41
For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
PRU
--
Insurance Industry
- Max
- 2.97
- Q3
- 1.33
- Median
- 0.55
- Q1
- 0.15
- Min
- 0.00
For the Insurance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio (MRQ)
LPLA
1.44
Capital Markets Industry
- Max
- 6.62
- Q3
- 2.84
- Median
- 1.02
- Q1
- 0.32
- Min
- 0.00
The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.
PRU
0.71
Insurance Industry
- Max
- 1.25
- Q3
- 0.65
- Median
- 0.34
- Q1
- 0.22
- Min
- 0.00
The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Insurance industry.
Interest Coverage Ratio (TTM)
LPLA
6.08
Capital Markets Industry
- Max
- 126.03
- Q3
- 60.98
- Median
- 11.77
- Q1
- 4.95
- Min
- -36.26
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.
PRU
--
Insurance Industry
- Max
- 43.68
- Q3
- 20.84
- Median
- 9.56
- Q1
- 3.34
- Min
- -5.73
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Insurance industry.
Financial Strength at a Glance
| Symbol | LPLA | PRU |
|---|---|---|
| Current Ratio (MRQ) | 3.05 | -- |
| Quick Ratio (MRQ) | 2.99 | -- |
| Debt-to-Equity Ratio (MRQ) | 1.44 | 0.71 |
| Interest Coverage Ratio (TTM) | 6.08 | -- |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
LPLA
0.32%
Capital Markets Industry
- Max
- 10.26%
- Q3
- 4.86%
- Median
- 2.78%
- Q1
- 1.22%
- Min
- 0.00%
LPLA’s Dividend Yield of 0.32% 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.
PRU
5.07%
Insurance Industry
- Max
- 8.23%
- Q3
- 4.54%
- Median
- 3.42%
- Q1
- 1.97%
- Min
- 0.00%
With a Dividend Yield of 5.07%, PRU offers a more attractive income stream than most of its peers in the Insurance industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
LPLA
8.17%
Capital Markets Industry
- Max
- 200.72%
- Q3
- 101.92%
- Median
- 57.97%
- Q1
- 32.36%
- 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.
PRU
85.37%
Insurance Industry
- Max
- 168.02%
- Q3
- 85.57%
- Median
- 50.71%
- Q1
- 22.04%
- Min
- 0.00%
PRU’s Dividend Payout Ratio of 85.37% is within the typical range for the Insurance industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | LPLA | PRU |
|---|---|---|
| Dividend Yield (TTM) | 0.32% | 5.07% |
| Dividend Payout Ratio (TTM) | 8.17% | 85.37% |
Valuation
Price-to-Earnings Ratio (TTM)
LPLA
25.14
Capital Markets Industry
- Max
- 58.89
- Q3
- 31.00
- Median
- 18.54
- Q1
- 12.09
- Min
- 5.24
LPLA’s P/E Ratio of 25.14 is within the middle range for the Capital Markets industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
PRU
23.06
Insurance Industry
- Max
- 28.91
- Q3
- 17.76
- Median
- 13.63
- Q1
- 10.02
- Min
- 2.89
A P/E Ratio of 23.06 places PRU 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.
Price-to-Sales Ratio (TTM)
LPLA
1.99
Capital Markets Industry
- Max
- 14.49
- Q3
- 7.41
- Median
- 4.68
- Q1
- 2.25
- Min
- 0.04
In the lower quartile for the Capital Markets industry, LPLA’s P/S Ratio of 1.99 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.
PRU
0.68
Insurance Industry
- Max
- 3.72
- Q3
- 1.98
- Median
- 1.23
- Q1
- 0.81
- Min
- 0.23
In the lower quartile for the Insurance industry, PRU’s P/S Ratio of 0.68 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.
Price-to-Book Ratio (MRQ)
LPLA
5.91
Capital Markets Industry
- Max
- 9.48
- Q3
- 4.94
- Median
- 2.42
- Q1
- 1.21
- Min
- 0.38
LPLA’s P/B Ratio of 5.91 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.
PRU
1.24
Insurance Industry
- Max
- 4.37
- Q3
- 2.48
- Median
- 1.68
- Q1
- 1.19
- Min
- 0.19
PRU’s P/B Ratio of 1.24 is within the conventional range for the Insurance industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | LPLA | PRU |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 25.14 | 23.06 |
| Price-to-Sales Ratio (TTM) | 1.99 | 0.68 |
| Price-to-Book Ratio (MRQ) | 5.91 | 1.24 |
| Price-to-Free Cash Flow Ratio (TTM) | 82.92 | 8.20 |