VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Saturday, January 3, 2026

Stock Comparison

LPL Financial Holdings Inc. vs Xero Limited

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

LPL Financial Holdings Inc.

LPLA · Nasdaq

Market cap (USD)$29B
Gross margin (TTM)24.1%
Operating margin (TTM)9.5%
Net margin (TTM)5.4%
SectorFinancials
IndustryFinancial - Capital Markets
CountryUS
Data as of2025-12-26
Moat score
79/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into LPL Financial Holdings Inc.'s moat claims, evidence, and risks.

View LPLA analysis

Xero Limited

XRO · Australian Securities Exchange

Market cap (USD)
Gross margin (TTM)
Operating margin (TTM)
Net margin (TTM)
SectorTechnology
Industry
CountryNZ
Data as of2026-01-02
Moat score
71/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Xero Limited's moat claims, evidence, and risks.

View XRO analysis

Comparison highlights

  • Moat score gap: LPL Financial Holdings Inc. leads (79 / 100 vs 71 / 100 for Xero Limited).
  • Segment focus: LPL Financial Holdings Inc. has 1 segment (100% in Advisor Platform); Xero Limited has 2 segments.
  • Moat breadth: LPL Financial Holdings Inc. has 6 moat types across 4 domains; Xero Limited has 7 across 3.

Primary market context

LPL Financial Holdings Inc.

Advisor Platform

Market

Advisor-mediated wealth management platform (independent broker-dealer + RIA custody/clearing)

Geography

United States

Customer

Financial advisors and financial institutions

Role

Platform / broker-dealer / custodian

Revenue share

100%

Xero Limited

Core Accounting Subscription Platform

Market

Cloud accounting software for small businesses and their advisors

Geography

Global

Customer

SMB; accountants & bookkeepers

Role

Software platform (SaaS)

Side-by-side metrics

LPL Financial Holdings Inc.
Xero Limited
Ticker / Exchange
LPLA - Nasdaq
XRO - Australian Securities Exchange
Market cap (USD)
$29B
n/a
Gross margin (TTM)
24.1%
n/a
Operating margin (TTM)
9.5%
n/a
Net margin (TTM)
5.4%
n/a
Sector
Financials
Technology
Industry
Financial - Capital Markets
n/a
HQ country
US
NZ
Primary segment
Advisor Platform
Core Accounting Subscription Platform
Market structure
Oligopoly
Oligopoly
Market share
23%-25% (reported)
n/a
HHI estimate
n/a
n/a
Pricing power
Moderate
Moderate
Moat score
79 / 100
71 / 100
Moat domains
Supply, Demand, Legal, Network
Demand, Network, Financial
Last update
2025-12-26
2026-01-02

Moat coverage

Shared moat types

Suite BundlingTwo Sided NetworkSwitching Costs General

LPL Financial Holdings Inc. strengths

Scale Economies Unit CostOperational ExcellenceCompliance Advantage

Xero Limited strengths

Data Workflow LockinBenchmark Pricing PowerInteroperability HubEcosystem Complements

Segment mix

LPL Financial Holdings Inc. segments

Full profile >

Advisor Platform

Oligopoly

100%

Xero Limited segments

Full profile >

Core Accounting Subscription Platform

Oligopoly

n/a

Platform Services (Payments, Payroll, App Ecosystem)

Competitive

n/a

Want the full wide moat stocks list?

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Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.