LegalZoom.com (NASDAQ:LZ) Price Target Lowered to $8.00 at UBS Group

LegalZoom.com (NASDAQ:LZ) had its price target dropped by equities research analysts at UBS Group from $12.00 to $8.00 in a research report issued on Friday,Benzinga reports. The brokerage presently has a “neutral” rating on the stock. UBS Group’s price objective suggests a potential upside of 24.71% from the company’s current price.

Several other research analysts also recently issued reports on LZ. Barclays lifted their price objective on LegalZoom.com from $10.00 to $12.00 and gave the stock an “equal weight” rating in a research report on Thursday, November 6th. Weiss Ratings reiterated a “hold (c)” rating on shares of LegalZoom.com in a research report on Monday, December 29th. Citigroup dropped their price target on LegalZoom.com from $12.00 to $10.50 and set a “neutral” rating on the stock in a research note on Friday, November 21st. JPMorgan Chase & Co. reduced their price objective on shares of LegalZoom.com from $14.00 to $11.00 and set an “overweight” rating for the company in a research note on Wednesday. Finally, Zacks Research downgraded LegalZoom.com from a “hold” rating to a “strong sell” rating in a research note on Monday, January 19th. Three research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, LegalZoom.com currently has an average rating of “Hold” and an average target price of $10.42.

LegalZoom.com Stock Performance

Shares of LZ stock traded down $0.64 during mid-day trading on Friday, reaching $6.42. 4,743,050 shares of the company’s stock traded hands, compared to its average volume of 3,916,481. LegalZoom.com has a 12 month low of $6.29 and a 12 month high of $12.40. The firm has a market capitalization of $1.14 billion, a PE ratio of 53.56, a price-to-earnings-growth ratio of 1.19 and a beta of 1.22. The firm has a 50 day moving average price of $9.06 and a two-hundred day moving average price of $9.78.

LegalZoom.com (NASDAQ:LZ) last issued its quarterly earnings data on Thursday, February 19th. The company reported $0.17 EPS for the quarter, missing the consensus estimate of $0.18 by ($0.01). The business had revenue of $190.27 million for the quarter, compared to analysts’ expectations of $184.85 million. LegalZoom.com had a net margin of 3.05% and a return on equity of 9.91%. The business’s revenue for the quarter was up 17.7% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.19 EPS. As a group, equities analysts expect that LegalZoom.com will post 0.25 earnings per share for the current fiscal year.

LegalZoom.com announced that its Board of Directors has approved a share repurchase program on Thursday, February 19th that authorizes the company to repurchase $100.00 million in outstanding shares. This repurchase authorization authorizes the company to purchase up to 8.1% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other LegalZoom.com news, CFO Noel Bertram Watson sold 15,000 shares of the business’s stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $6.96, for a total transaction of $104,400.00. Following the completion of the sale, the chief financial officer directly owned 1,480,860 shares in the company, valued at $10,306,785.60. The trade was a 1.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 5.90% of the company’s stock.

Institutional Trading of LegalZoom.com

Several hedge funds and other institutional investors have recently made changes to their positions in LZ. EP Wealth Advisors LLC increased its stake in LegalZoom.com by 2.8% in the second quarter. EP Wealth Advisors LLC now owns 41,352 shares of the company’s stock valued at $368,000 after purchasing an additional 1,139 shares during the last quarter. EverSource Wealth Advisors LLC lifted its stake in shares of LegalZoom.com by 37.2% in the fourth quarter. EverSource Wealth Advisors LLC now owns 5,179 shares of the company’s stock worth $51,000 after buying an additional 1,403 shares during the last quarter. Clearstead Advisors LLC boosted its stake in LegalZoom.com by 58.5% in the 3rd quarter. Clearstead Advisors LLC now owns 3,906 shares of the company’s stock valued at $41,000 after buying an additional 1,441 shares in the last quarter. Prelude Capital Management LLC lifted its stake in LegalZoom.com by 11.6% in the third 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 period. Finally, Chase Investment Counsel Corp lifted its position in LegalZoom.com by 12.3% during the fourth quarter. Chase Investment Counsel Corp now owns 13,601 shares of the company’s stock worth $135,000 after purchasing an additional 1,489 shares during the period. Hedge funds and other institutional investors own 81.99% of the company’s stock.

Key LegalZoom.com News

Here are the key news stories impacting LegalZoom.com this week:

• Positive Sentiment: Company reported stronger-than-expected revenue, record operating and free cash flow and ended 2025 with $203.1M cash and no debt — evidence of improving fundamentals. GlobeNewswire: Press Release
• Positive Sentiment: Board approved a $100M share repurchase (≈8.1% of shares), a capital-return action that signals management thinks the stock is undervalued. RTT News: Buyback
• Positive Sentiment: Revenue guidance for FY‑2026 ($805M–$825M) and Q1 revenue guide ($200M–$203M) are roughly in line with or slightly above consensus, supporting continued top‑line growth expectations. GlobeNewswire: Press Release
• Neutral Sentiment: EPS missed by $0.01 (reported $0.17 vs. $0.18 consensus) despite the revenue beat — points to margins and cost leverage as the next key watch items. MarketBeat: Earnings
• Neutral Sentiment: Management emphasized subscription growth, an upmarket shift and human‑in‑the‑loop AI initiatives on the earnings call — investors will look to execution details in the transcript/slides. Seeking Alpha: Subscription Growth
• Negative Sentiment: JPMorgan and other analysts turned more cautious (price‑target cuts), reducing near‑term upside expectations and likely contributing to selling pressure. AmericanBankingNews: JPMorgan Pessimistic Forecast
• Negative Sentiment: Insider sale: CFO Noel Watson sold 15,000 shares at about $6.96 — small vs. his total holdings but a visible signal that can accentuate short‑term downward moves. SEC Form 4

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.