In a report released today, Alexander Paris from Barrington reiterated a Buy rating on Ladenburg Thalmann Financial (NYSE: LTS), with a price target of $4.75. The company’s shares opened today at $3.63, close to its 52-week high of $3.77.
“We believe LTS has significant earnings upside as interest rates normalize. We estimate that for each 25 bps increase in the Fed Funds rate, adjusted EBITDA would increase by $4.5‐5.0 million. Interest revenue from cash sweep has already increased from $2.0 million in 2015 to $22.1 million in 2017 and we estimate it will rise further to $45 million‐plus in 2018, above our most recent estimate of $40 million‐plus.”
According to TipRanks.com, Paris is a 4-star analyst with an average return of 12.3% and a 62.7% success rate. Paris covers the Services sector, focusing on stocks such as Adtalem Global Education Inc, American Public Education, and Capella Education Company.
Ladenburg Thalmann Financial has an analyst consensus of Moderate Buy, with a price target consensus of $4.75.
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The company has a one-year high of $3.77 and a one-year low of $2.11. Currently, Ladenburg Thalmann Financial has an average volume of 205.6K.
Based on the recent corporate insider activity of 53 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of LTS in relation to earlier this year.
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Ladenburg Thalmann Financial Services, Inc. is a holding company, which engages in investment banking and research, institutional sales and trading, asset management services, wholesale life insurance brokerage and trust services through its principal subsidiaries.