Robinhood Markets Inc (HOOD)vsLPL Financial Holdings Inc (LPLA)
HOOD
Robinhood Markets Inc
$72.54
+5.01%
FINANCIAL SERVICES · Cap: $62.19B
LPLA
LPL Financial Holdings Inc
$300.68
+0.17%
FINANCIAL SERVICES · Cap: $24.04B
Smart Verdict
WallStSmart Research — data-driven comparison
LPL Financial Holdings Inc generates 271% more annual revenue ($16.59B vs $4.47B). HOOD leads profitability with a 42.1% profit margin vs 5.2%. LPLA trades at a lower P/E of 27.5x. LPLA earns a higher WallStSmart Score of 68/100 (B-).
HOOD
Buy56
out of 100
Grade: C
LPLA
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-439.5%
Fair Value
$13.94
Current Price
$72.54
$58.60 premium
Margin of Safety
-119.2%
Fair Value
$154.49
Current Price
$300.68
$146.19 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 42 of every $100 in revenue as profit
Strong operational efficiency at 46.5%
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Revenue surging 26.5% year-over-year
Growing faster than its price suggests
Revenue surging 41.8% year-over-year
Every $100 of equity generates 21 in profit
Areas to Watch
Premium valuation, high expectations priced in
Elevated debt levels
Weak financial health signals
Earnings declined 34.5%
Moderate valuation
4.6% earnings growth
Distress zone — elevated risk
5.2% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : HOOD
The strongest argument for HOOD centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 42.1% and operating margin at 46.5%. Revenue growth of 26.5% demonstrates continued momentum.
Bull Case : LPLA
The strongest argument for LPLA centers on PEG Ratio, Revenue Growth, Return on Equity. Revenue growth of 41.8% demonstrates continued momentum. PEG of 0.40 suggests the stock is reasonably priced for its growth.
Bear Case : HOOD
The primary concerns for HOOD are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.68 is elevated, increasing financial risk.
Bear Case : LPLA
The primary concerns for LPLA are P/E Ratio, EPS Growth, Altman Z-Score.
Key Dynamics to Monitor
HOOD profiles as a growth stock while LPLA is a hypergrowth play — different risk/reward profiles.
HOOD carries more volatility with a beta of 2.48 — expect wider price swings.
LPLA is growing revenue faster at 41.8% — sustainability is the question.
LPLA generates stronger free cash flow (490M), providing more financial flexibility.
Bottom Line
LPLA scores higher overall (68/100 vs 56/100) and 41.8% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Robinhood Markets Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Robinhood Markets Inc (HOOD) is a leading fintech innovator that has revolutionized retail investing by offering a commission-free trading platform since 2013. With its intuitive mobile application, the company enables a diverse range of market participants to access stocks, ETFs, options, and cryptocurrencies, fostering financial literacy and inclusivity. Robinhood's commitment to transparency and product innovation, including features like fractional shares and cash management services, solidifies its role as a significant player in the digital brokerage industry, appealing to a new generation of investors looking for accessible and efficient ways to navigate financial markets.
Visit Website →LPL Financial Holdings Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
LPL Financial Holdings Inc., provides an integrated platform of brokerage and investment advisory services to independent financial advisers and financial advisers at financial institutions in the United States. The company is headquartered in San Diego, California.
Visit Website →Compare with Other CAPITAL MARKETS Stocks
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