LegalZoom.com (LZ) Stock Price, News & Analysis

Company Overview

LegalZoom.com, Inc., together with its subsidiaries, operates an online platform that supports the legal, compliance, and business management needs of small businesses and consumers in the United States. The company's platform offers business formation products, such as limited liability company, incorporation of C and S corporations, nonprofit formations, doing-business-as, corporate changes and filings, business licenses, legal forms, and beneficial ownership information reports; intellectual property products consisting of trademark and patent applications, and copyright registrations; and tax services, including business and personal tax preparations. It also provides consumer, estate planning, and other services comprising last will and testament, living will, living trust, power of attorney, and name change. In addition, the company offers subscriptions services, including registered agent, compliance, attorney advice, tax advice and preparation, eSignature, virtual mail and check deposit services, trademark monitoring, and estate planning bundle. The company was incorporated in 1999 and is headquartered in Mountain View, California.

Key Stats

• Today's Range: $7.61 to $7.82
• 50-Day Range: $6.62 to $9.22
• 52-Week Range: $5.33 to $13.74
• Volume: 2.71 million shs
• Average Volume: 1.55 million shs
• Market Capitalization: $1.34 billion
• P/E Ratio: 59.70
• Dividend Yield: N/A
• Price Target: $8.79
• Consensus Rating: Reduce

LegalZoom.com Stock Analysis - MarketRank™

LegalZoom.com scored higher than 47% of companies evaluated by MarketBeat, and ranked 120th out of 177 stocks in the industrial products sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 1.9 / 5
• Analyst Rating: Reduce

Consensus Rating

LegalZoom.com has received a consensus rating of Reduce. The company's average rating score is 1.89, and is based on 1 buy rating, 6 hold ratings, and 2 sell ratings.

Amount of Analyst Coverage

LegalZoom.com has only been the subject of 4 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 12.00%

Earnings Growth

Earnings for LegalZoom.com are expected to grow by 12.00% in the coming year, from $0.25 to $0.28 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of LegalZoom.com is 59.70, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 112.62.

Price to Earnings Ratio vs. Sector

The P/E ratio of LegalZoom.com is 59.70, which means that it is trading at a more expensive P/E ratio than the Industrial Products sector average P/E ratio of about 20.99.

Price to Earnings Growth Ratio

LegalZoom.com has a PEG Ratio of 1.90. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

LegalZoom.com has a P/B Ratio of 8.62. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 3.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

3.08% of the float of LegalZoom.com has been sold short.

Short Interest Ratio / Days to Cover

LegalZoom.com has a short interest ratio ("days to cover") of 3.2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in LegalZoom.com has recently increased by 26.69%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 0.0 / 5
• Dividend Strength: Weak

Dividend Yield

LegalZoom.com does not currently pay a dividend.

Dividend Growth

LegalZoom.com does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of LegalZoom.com is 1,107.69%. Payout ratios above 75% are not desirable because they may not be sustainable.

Dividend Sustainability

Based on EPS estimates, LegalZoom.com will have a dividend payout ratio of 514.29% in the coming year. This indicates that LegalZoom.com may not be able to sustain their current dividend.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

3.08% of the float of LegalZoom.com has been sold short.

Short Interest Ratio / Days to Cover

LegalZoom.com has a short interest ratio ("days to cover") of 3.2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in LegalZoom.com has recently increased by 26.69%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 2.9 / 5
• News Sentiment: 1.30

News Sentiment

LegalZoom.com has a news sentiment score of 1.30. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.68 average news sentiment score of Industrial Products companies.

News Coverage This Week

MarketBeat has tracked 7 news articles for LegalZoom.com this week, compared to 6 articles on an average week.

Search Interest

Only 3 people have searched for LZ on MarketBeat in the last 30 days. This is a decrease of -25% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, LegalZoom.com insiders have not sold or bought any company stock.

Percentage Held by Insiders

10.50% of the stock of LegalZoom.com is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

81.99% of the stock of LegalZoom.com is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

LZ Stock Analysis - Frequently Asked Questions

How have LZ shares performed this year?

LegalZoom.com's stock was trading at $11.30 at the beginning of 2024. Since then, LZ stock has decreased by 31.3% and is now trading at $7.76.
View the best growth stocks for 2024 here.

How were LegalZoom.com's earnings last quarter?

LegalZoom.com, Inc. (NASDAQ:LZ) announced its quarterly earnings data on Wednesday, November, 6th. The company reported $0.17 earnings per share for the quarter, beating analysts' consensus estimates of $0.15 by $0.02. The firm's revenue for the quarter was up .8% compared to the same quarter last year.

When did LegalZoom.com IPO?

LegalZoom.com (LZ) raised $488 million in an IPO on Wednesday, June 30th 2021. The company issued 19,121,000 shares at $24.00-$27.00 per share.

Who are LegalZoom.com's major shareholders?

Top institutional shareholders of LegalZoom.com include Franklin Resources Inc. (1.78%), State Street Corp (1.68%), Geode Capital Management LLC (1.68%) and ArrowMark Colorado Holdings LLC (1.40%). Insiders that own company stock include Noel Bertram Watson, Shrisha Radhakrishna, Richard Preece, Daniel A Wernikoff, Nicole Miller and Dipan Patel.
View institutional ownership trends.

How do I buy shares of LegalZoom.com?

Shares of LZ stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of LegalZoom.com own?

Based on aggregate information from My MarketBeat watchlists, some other companies that LegalZoom.com investors own include Humana (HUM), American Water Works (AWK), Waste Connections (WCN), Voyager Therapeutics (VYGR), The RMR Group (RMR), AUO (AUOTY) and DiamondRock Hospitality (DRH).

Company Calendar

• Last Earnings: 11/06/2024
• Today: 12/23/2024
• Fiscal Year End: 12/31/2024

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Industrial Products
• Industry: Data processing & preparation
• Sub-Industry: Business Services
• Current Symbol: NASDAQ:LZ
• CUSIP: N/A
• CIK: 1286139
• Web: www.legalzoom.com
• Phone: 323-962-8600
• Fax: N/A
• Employees: 1,190
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $8.79
• High Stock Price Target: $14.00
• Low Stock Price Target: $6.00
• Potential Upside/Downside: +13.2%
• Consensus Rating: Reduce
• Rating Score (0-4): 1.89
• Research Coverage: 9 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $0.13
• Trailing P/E Ratio: 59.70
• Forward P/E Ratio: 31.04
• P/E Growth: 1.9
• Net Income: $13.95 million
• Net Margins: 3.61%
• Pretax Margin: 6.06%
• Return on Equity: 32.88%
• Return on Assets: 9.31%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 0.61
• Quick Ratio: 0.61

Sales & Book Value

• Annual Sales: $678.84 million
• Price / Sales: 1.98
• Cash Flow: $0.28 per share
• Price / Cash Flow: 28.11
• Book Value: $0.90 per share
• Price / Book: 8.62

Miscellaneous

• Outstanding Shares: 172,822,000
• Free Float: 154,676,000
• Market Cap: $1.34 billion
• Optionable: Optionable
• Beta: 1.10