LegalZoom.com, Inc. (NASDAQ:LZ) Receives $7.30 Consensus Target Price from Analysts

Shares of LegalZoom.com, Inc. (NASDAQ:LZ) have earned a consensus rating of “Reduce” from the eight ratings firms that are covering the firm, MarketBeat Ratings reports. Three analysts have rated the stock with a sell recommendation and five have assigned a hold recommendation to the company. The average 12-month price target among brokerages that have updated their coverage on the stock in the last year is $7.30.

A number of brokerages recently weighed in on LZ. Weiss Ratings restated a “sell (d+)” rating on shares of LegalZoom.com in a report on Thursday, July 2nd. Wall Street Zen downgraded LegalZoom.com from a “buy” rating to a “hold” rating in a research note on Saturday, August 8th. UBS Group reduced their target price on LegalZoom.com from $8.00 to $7.00 and set a “neutral” rating for the company in a report on Thursday, May 7th. Citigroup decreased their price target on LegalZoom.com from $8.50 to $7.50 and set a “neutral” rating for the company in a research note on Friday, May 22nd. Finally, William Blair downgraded LegalZoom.com from an “outperform” rating to a “market perform” rating in a report on Thursday, August 6th.

Insider Activity

In other LegalZoom.com news, CFO Noel Bertram Watson sold 83,629 shares of the business’s stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $5.83, for a total value of $487,557.07. Following the completion of the transaction, the chief financial officer owned 1,407,801 shares of the company’s stock, valued at approximately $8,207,479.83. The trade was a 5.61% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Nicole Miller sold 33,479 shares of the business’s stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $5.51, for a total value of $184,469.29. Following the completion of the transaction, the insider directly owned 943,453 shares of the company’s stock, valued at approximately $5,198,426.03. This trade represents a 3.43% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 577,475 shares of company stock valued at $3,375,197 over the last quarter. 7.40% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in LZ. EP Wealth Advisors LLC boosted its holdings in LegalZoom.com by 2.8% in the second quarter. EP Wealth Advisors LLC now owns 41,352 shares of the company’s stock worth $368,000 after purchasing an additional 1,139 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in LegalZoom.com by 37.2% during the 4th quarter. EverSource Wealth Advisors LLC now owns 5,179 shares of the company’s stock valued at $51,000 after buying an additional 1,403 shares during the last quarter. Prelude Capital Management LLC raised its stake in LegalZoom.com by 11.6% during the 3rd quarter. Prelude Capital Management LLC now owns 14,185 shares of the company’s stock valued at $147,000 after buying an additional 1,470 shares during the last quarter. Chase Investment Counsel Corp lifted its holdings in shares of LegalZoom.com by 12.3% during the 4th quarter. Chase Investment Counsel Corp now owns 13,601 shares of the company’s stock valued at $135,000 after buying an additional 1,489 shares during the period. Finally, The Manufacturers Life Insurance Company lifted its holdings in shares of LegalZoom.com by 2.9% during the 4th quarter. The Manufacturers Life Insurance Company now owns 59,862 shares of the company’s stock valued at $594,000 after buying an additional 1,705 shares during the period. 81.99% of the stock is owned by hedge funds and other institutional investors.

LegalZoom.com Stock Performance

NASDAQ:LZ opened at $6.00 on Friday. The firm has a market cap of $1.03 billion, a P/E ratio of 66.67, a P/E/G ratio of 1.10 and a beta of 1.28. LegalZoom.com has a fifty-two week low of $5.22 and a fifty-two week high of $12.40. The firm has a 50-day simple moving average of $6.67 and a two-hundred day simple moving average of $6.47.

LegalZoom.com (NASDAQ:LZ) last issued its earnings results on Wednesday, August 5th. The company reported $0.16 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.15 by $0.01. LegalZoom.com had a net margin of 2.13% and a return on equity of 15.83%. The firm had revenue of $205.29 million for the quarter, compared to the consensus estimate of $205.83 million. During the same quarter in the prior year, the firm posted $0.15 earnings per share. The business’s revenue was up 6.6% on a year-over-year basis. On average, equities research analysts predict that LegalZoom.com will post 0.32 EPS for the current year.

About LegalZoom.com

LegalZoom.com, Inc (NASDAQ: LZ) operates as a leading online legal technology company that provides a broad range of legal and business services to individuals, families and small businesses. Through its digital platform, the company offers customized legal documents and filing services, including business formation (LLCs, corporations and nonprofits), estate planning (wills and trusts), intellectual property protection (trademarks and copyrights), and ongoing compliance support. LegalZoom also connects customers with independent attorneys for consultations on matters such as family law, immigration and real estate.

Founded in 2001 by entrepreneurs Brian Lee, Brian P.