LegalZoom.com, Inc. (NASDAQ:LZ) Receives Consensus Rating of “Reduce” from Analysts

LegalZoom.com, Inc. (NASDAQ:LZ) has been assigned a consensus recommendation of “Reduce” from the eight brokerages that are currently covering the stock, MarketBeat Ratings reports. Three analysts have rated the stock with a sell rating and five have given a hold rating 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 research firms recently weighed in on LZ. Weiss Ratings restated a “sell (d+)” rating on shares of LegalZoom.com in a research note on Thursday, July 2nd. William Blair cut shares of LegalZoom.com from an “outperform” rating to a “market perform” rating in a report on Thursday, August 6th. Wall Street Zen downgraded shares of LegalZoom.com from a “buy” rating to a “hold” rating in a research report on Saturday, August 8th. Finally, JPMorgan Chase & Co. restated a “neutral” rating and issued a $7.00 price objective (down from $8.00) on shares of LegalZoom.com in a report on Thursday, August 6th.

LegalZoom.com Stock Performance

Shares of NASDAQ LZ opened at $5.91 on Wednesday. The stock has a market cap of $1.01 billion, a P/E ratio of 65.67, a PEG ratio of 1.11 and a beta of 1.26. The business’s fifty day simple moving average is $6.59 and its 200-day simple moving average is $6.34. LegalZoom.com has a 12-month low of $5.22 and a 12-month high of $12.40.

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

Insider Buying and Selling at LegalZoom.com

In other LegalZoom.com news, CFO Noel Watson sold 416,371 shares of LegalZoom.com stock in a transaction dated 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 completion of the sale, the chief financial officer directly owned 1,491,430 shares of the company’s stock, valued at $8,814,351.30. The trade was a 21.82% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Nicole Miller sold 43,996 shares of the company’s stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $5.51, for a total value of $242,417.96. Following the transaction, 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 ownership of the stock. The SEC filing for this sale provides additional information. 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 577,475 shares of company stock worth $3,375,197 in the last three months. 7.40% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On LegalZoom.com

Several institutional investors have recently added to or reduced their stakes in LZ. Integrated Wealth Concepts LLC purchased a new position in LegalZoom.com in the second quarter valued at approximately $47,000. Squarepoint Ops LLC raised its holdings in LegalZoom.com by 289.3% during the second quarter. Squarepoint Ops LLC now owns 269,974 shares of the company’s stock worth $1,655,000 after purchasing an additional 200,618 shares in the last quarter. Allworth Financial LP lifted its position in shares of LegalZoom.com by 255.1% during the 2nd quarter. Allworth Financial LP now owns 5,014 shares of the company’s stock worth $31,000 after buying an additional 3,602 shares during the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new stake in shares of LegalZoom.com during the 2nd quarter worth approximately $268,000. Finally, Headlands Technologies LLC acquired a new position in shares of LegalZoom.com in the 2nd quarter valued at $67,000. Hedge funds and other institutional investors own 81.99% of the company’s stock.

LegalZoom.com Company Profile

LegalZoom.com, Inc is an online platform that provides legal, compliance and business-related services to individuals, families and small businesses. The company helps customers complete common legal and administrative tasks through digital tools, guided document services and access to independent attorneys and other professionals.

Its business services include forming limited liability companies and corporations, obtaining registered-agent services, filing annual reports, managing business licenses and addressing tax-related requirements.