The IBD SmartSelect Composite Rating for LPL Financial Holdings rose from 92 to 96 Monday.
The new rating shows the stock is outpacing 96% of all stocks when it comes to the most important stock-picking criteria.
LPL Financial Holdings is currently forming a cup without handle, with a 289.88 buy point. Look for the stock to break out in volume at least 40% higher than normal.
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One weak spot is the company's 72 EPS Rating, which tracks quarterly and annual earnings-per-share growth. Look for that to improve to 80 or better to show it's in the top 20% of all stocks.
Its Accumulation/Distribution Rating of B shows moderate buying by institutional investors over the last 13 weeks.
In Q2, the company posted -2% EPS growth. That means it's now posted two straight quarters of rising EPS growth. Sales growth climbed 19%, up from 17% in the prior quarter. The company has now posted rising growth in each of the last two quarters. The company's next quarterly report is expected on or around Oct. 30.
LPL Financial Holdings earns the No. 11 rank among its peers in the Finance-Investment Banking/Brokers industry group. Houlihan Lokey Cl A, Robinhood Markets and Jefferies Financial Group are among the top 5 highly-rated stocks within the group.
