HTH vs ICE vs LPLA vs CME vs NDAQ

For growth investors, LPL Financial Holdings Inc.

(LPLA) is the stronger pick with 37. 2% revenue growth year-over-year, versus 5. 5% for Hilltop Holdings Inc. (HTH). Hilltop Holdings Inc. (HTH) offers the better valuation at 14. 5x trailing P/E (16. 1x forward), making it the more compelling value choice. Analysts rate Intercontinental Exchange, Inc. (ICE) a "Buy" — based on 36 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Hilltop Holdings Inc.

(HTH) is the cheapest at 14. 5x versus Nasdaq, Inc. at 28. 8x. On forward P/E, LPL Financial Holdings Inc. is actually cheaper at 13. 8x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: LPL Financial Holdings Inc. wins at 1. 04x versus Intercontinental Exchange, Inc. 's 2. 19x — a reasonable growth-adjusted valuation.

Over the past 5 years, LPL Financial Holdings Inc.

(LPLA) delivered a total return of +102. 1%, compared to +15. 4% for Hilltop Holdings Inc. (HTH). Over 10 years, the gap is even starker: LPLA returned +1241% versus HTH's +123. 5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), CME Group Inc.

(CME) is the lower-risk stock at -0. 30β versus LPL Financial Holdings Inc. 's 1. 10β — meaning LPLA is approximately -462% more volatile than CME relative to the S&P 500. On balance sheet safety, CME Group Inc. (CME) carries a lower debt/equity ratio of 13% versus 136% for LPL Financial Holdings Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), LPL Financial Holdings Inc.

(LPLA) is pulling ahead at 37. 2% versus 5. 5% for Hilltop Holdings Inc. (HTH). On earnings-per-share growth, the picture is similar: Nasdaq, Inc. grew EPS 60. 1% year-over-year, compared to -22. 2% for LPL Financial Holdings Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

CME Group Inc.

(CME) is the more profitable company, earning 62. 0% net margin versus 5. 1% for LPL Financial Holdings Inc. — meaning it keeps 62. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CME leads at 64. 9% versus 13. 4% for LPLA. At the gross margin level — before operating expenses — CME leads at 86. 1%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, LPL Financial Holdings Inc. (LPLA) is the more undervalued stock at a PEG of 1. 04x versus Intercontinental Exchange, Inc. 's 2. 19x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, LPL Financial Holdings Inc. (LPLA) trades at 13. 8x forward P/E versus 23. 5x for CME Group Inc. — 9. 7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for LPLA: 42. 4% to $441. 00.

All stocks in this comparison pay dividends.

CME Group Inc. (CME) offers the highest yield at 3. 8%, versus 0. 4% for LPL Financial Holdings Inc. (LPLA).

For long-horizon retirement investors, CME Group Inc.

(CME) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 30), 3. 8% yield, +284. 9% 10Y return). Both have compounded well over 10 years (CME: +284. 9%, LPLA: +1241%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: HTH is a small-cap deep-value stock; ICE is a mid-cap quality compounder stock; LPLA is a mid-cap high-growth stock; CME is a mid-cap income-oriented stock; NDAQ is a mid-cap quality compounder stock. HTH, ICE, CME, NDAQ pay a dividend while LPLA does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.