Cubist Systematic Strategies LLC Increases Position in LegalZoom.com, Inc. $LZ

Key Points

• Cubist Systematic Strategies LLC increased its holdings in LegalZoom.com, Inc. by 169.1%, owning over 1.19 million shares valued at approximately $10.25 million, making it a significant player among institutional investors, who collectively own 81.99% of the company.
• LegalZoom.com reported a net revenue of $192.51 million for the latest quarter, surpassing analysts' expectations, while also meeting EPS estimates at $0.15.
• Bank of America upgraded LegalZoom.com from an "underperform" to a "buy" rating, raising its target price from $8.00 to $12.00, highlighting a positive shift in analyst sentiment toward the stock.

Cubist Systematic Strategies LLC grew its position in shares of LegalZoom.com, Inc. (NASDAQ:LZ - Free Report) by 169.1% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 1,190,167 shares of the company's stock after buying an additional 747,960 shares during the quarter. Cubist Systematic Strategies LLC owned 0.68% of LegalZoom.com worth $10,247,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors have also recently made changes to their positions in the company. Quantbot Technologies LP purchased a new stake in shares of LegalZoom.com during the first quarter valued at approximately $29,000. State of Wyoming grew its holdings in shares of LegalZoom.com by 42.1% during the fourth quarter. State of Wyoming now owns 8,347 shares of the company's stock valued at $63,000 after buying an additional 2,475 shares during the last quarter. GAMMA Investing LLC grew its holdings in shares of LegalZoom.com by 2,750.6% during the first quarter. GAMMA Investing LLC now owns 9,635 shares of the company's stock valued at $83,000 after buying an additional 9,297 shares during the last quarter. Jefferies Financial Group Inc. purchased a new stake in shares of LegalZoom.com during the first quarter valued at approximately $91,000. Finally, Bryce Point Capital LLC purchased a new stake in shares of LegalZoom.com during the first quarter valued at approximately $103,000. Hedge funds and other institutional investors own 81.99% of the company's stock.

LegalZoom.com Price Performance

Shares of LZ stock opened at $11.08 on Tuesday. The company has a market capitalization of $2.00 billion, a price-to-earnings ratio of 69.25, a PEG ratio of 2.53 and a beta of 1.25. LegalZoom.com, Inc. has a one year low of $6.16 and a one year high of $11.93. The company's fifty day moving average price is $9.57 and its 200-day moving average price is $8.98.

LegalZoom.com (NASDAQ:LZ - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported $0.15 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.15. LegalZoom.com had a net margin of 4.07% and a return on equity of 20.36%. The company had revenue of $192.51 million for the quarter, compared to the consensus estimate of $182.49 million. During the same period in the previous year, the firm posted $0.10 EPS. LegalZoom.com's revenue for the quarter was up 8.5% compared to the same quarter last year. LegalZoom.com has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Equities research analysts expect that LegalZoom.com, Inc. will post 0.25 earnings per share for the current fiscal year.

Analyst Ratings Changes

LZ has been the topic of several research reports. Bank of America upgraded shares of LegalZoom.com from an "underperform" rating to a "buy" rating and raised their target price for the stock from $8.00 to $12.00 in a report on Friday, August 8th. JMP Securities restated a "market perform" rating on shares of LegalZoom.com in a report on Thursday, May 15th. Wall Street Zen upgraded shares of LegalZoom.com from a "buy" rating to a "strong-buy" rating in a report on Friday, May 30th. Morgan Stanley raised their target price on shares of LegalZoom.com from $7.00 to $8.00 and gave the stock an "underweight" rating in a report on Friday, May 9th. Finally, Barclays increased their price target on shares of LegalZoom.com from $9.00 to $10.00 and gave the stock an "equal weight" rating in a research report on Tuesday, August 12th. Two research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, LegalZoom.com has a consensus rating of "Hold" and a consensus price target of $10.50.

Insider Buying and Selling

In related news, CFO Noel Bertram Watson sold 27,319 shares of LegalZoom.com stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $11.07, for a total transaction of $302,421.33. Following the completion of the sale, the chief financial officer owned 1,676,426 shares in the company, valued at $18,558,035.82. This trade represents a 1.60% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Nicole Miller sold 25,154 shares of LegalZoom.com stock in a transaction dated Tuesday, August 19th. The shares were sold at an average price of $10.82, for a total transaction of $272,166.28. Following the sale, the insider owned 960,032 shares of the company's stock, valued at $10,387,546.24. The trade was a 2.55% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 109,859 shares of company stock valued at $1,193,100. Company insiders own 5.90% of the company's stock.

LegalZoom.com Profile

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.

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