LegalZoom.com, Inc. (LZ) – What Are Brokerages Saying About This Stock?

LegalZoom.com, Inc. (NASDAQ:LZ) has been assigned an average rating of “Reduce” from the eight research firms that are currently covering the firm, Marketbeat Ratings reports. Two research analysts have rated the stock with a sell recommendation and six have issued a hold recommendation on the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $7.30.

Several analysts recently commented on the company. William Blair downgraded LegalZoom.com from an “outperform” rating to a “market perform” rating in a research note on Thursday, August 6th. Weiss Ratings upgraded LegalZoom.com from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday. Wall Street Zen raised LegalZoom.com from a “hold” rating to a “buy” rating in a research note on Saturday, September 26th. Finally, JPMorgan Chase & Co. reissued a “neutral” rating and issued a $7.00 target price (down from $8.00) on shares of LegalZoom.com in a research note on Thursday, August 6th.

LegalZoom.com Stock Performance

Shares of NASDAQ:LZ opened at $6.06 on Friday. The company has a 50 day moving average price of $5.90 and a two-hundred day moving average price of $6.28. The company has a market capitalization of $1.04 billion, a PE ratio of 67.33, a PEG ratio of 1.14 and a beta of 1.20. LegalZoom.com has a 52 week low of $5.22 and a 52 week high of $12.40.

LegalZoom.com (NASDAQ:LZ) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.16 earnings per share for the quarter, topping analysts’ consensus estimates of $0.15 by $0.01. LegalZoom.com had a net margin of 2.13% and a return on equity of 15.83%. The company had revenue of $205.29 million for the quarter, compared to analysts’ expectations of $205.83 million. During the same period last year, the firm posted $0.15 earnings per share. The business’s quarterly revenue was up 6.6% compared to the same quarter last year. On average, sell-side analysts forecast that LegalZoom.com will post 0.32 earnings per share for the current year.

Insider Activity

In related news, insider Nicole Miller sold 43,996 shares of the stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $5.51, for a total transaction of $242,417.96. Following the completion of the sale, the insider directly owned 976,932 shares of the company’s stock, valued at approximately $5,382,895.32. This represents a 4.31% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 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. Also, CFO Noel Watson sold 416,371 shares of the firm’s stock in a transaction that occurred on Thursday, August 20th. The stock was sold at an average price of $5.91, for a total transaction of $2,460,752.61. Following the sale, the chief financial officer owned 1,491,430 shares in the company, valued at $8,814,351.30. This trade represents a 21.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 577,475 shares of company stock worth $3,375,197 in the last quarter. 7.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. State Street Corp lifted its position in LegalZoom.com by 3.0% in the 2nd quarter. State Street Corp now owns 4,552,468 shares of the company’s stock valued at $27,907,000 after acquiring an additional 132,761 shares in the last quarter. Punch & Associates Investment Management Inc. increased its holdings in LegalZoom.com by 23.6% during the 4th quarter. Punch & Associates Investment Management Inc. now owns 2,627,047 shares of the company’s stock worth $26,087,000 after purchasing an additional 500,787 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in LegalZoom.com by 3.0% during the 1st quarter. Dimensional Fund Advisors LP now owns 3,112,895 shares of the company’s stock worth $17,650,000 after purchasing an additional 91,131 shares in the last quarter. Invenomic Capital Management LP increased its holdings in LegalZoom.com by 23.8% during the 4th quarter. Invenomic Capital Management LP now owns 1,587,044 shares of the company’s stock worth $15,759,000 after purchasing an additional 305,279 shares in the last quarter. Finally, Bank of America Corp DE raised its stake in shares of LegalZoom.com by 187.4% in the 1st quarter. Bank of America Corp DE now owns 2,509,891 shares of the company’s stock valued at $14,231,000 after purchasing an additional 1,636,487 shares during the period. Institutional investors and hedge funds own 81.99% of the company’s stock.

LegalZoom.com Company Profile

LegalZoom.com, Inc (NASDAQ: LZ) operates an online platform that provides legal, compliance and business-related services to individuals, families and small businesses. The company aims to make commonly needed legal and administrative services more accessible through digital tools, guided workflows and access to professional assistance.

Its offerings include business formation services for corporations and limited liability companies, registered-agent services, business licenses, annual report filings, tax services and other compliance solutions.