LegalZoom.com, Inc. $LZ Shares Sold by Bank of America Corp DE

Key Points

• Bank of America cut its LegalZoom stake by 53.1% in the second quarter, selling 1.33 million shares and retaining 1.18 million shares worth approximately $7.22 million. Institutional investors collectively own about 81.99% of LZ.
• Company insiders sold 577,475 shares valued at roughly $3.38 million over the past 90 days, including sales by the CFO and another insider. Insiders retain a 7.40% ownership stake.
• Analyst sentiment remains cautious: LZ has an average “Reduce” rating and a $7.30 target price, while shares recently opened at $5.62. LegalZoom slightly exceeded quarterly EPS expectations at $0.16, and revenue increased 6.6% year over year.

Bank of America Corp DE cut its holdings in shares of LegalZoom.com, Inc. (NASDAQ:LZ - Free Report) by 53.1% during the second quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 1,177,885 shares of the company's stock after selling 1,332,006 shares during the period. Bank of America Corp DE owned approximately 0.69% of LegalZoom.com worth $7,220,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently modified their holdings of LZ. Pacer Advisors Inc. grew its stake in LegalZoom.com by 53.6% in the 1st quarter. Pacer Advisors Inc. now owns 926,425 shares of the company's stock valued at $5,253,000 after acquiring an additional 323,201 shares during the period. Arkadios Wealth Advisors raised its position in LegalZoom.com by 5.6% during the first quarter. Arkadios Wealth Advisors now owns 74,819 shares of the company's stock worth $424,000 after acquiring an additional 3,953 shares during the period. Amundi lifted its holdings in LegalZoom.com by 83.2% during the first quarter. Amundi now owns 101,925 shares of the company's stock valued at $578,000 after purchasing an additional 46,285 shares in the last quarter. Royal Bank of Canada lifted its holdings in LegalZoom.com by 1,656.5% during the first quarter. Royal Bank of Canada now owns 188,505 shares of the company's stock valued at $1,069,000 after purchasing an additional 177,773 shares in the last quarter. Finally, Empowered Funds LLC acquired a new stake in shares of LegalZoom.com in the first quarter valued at about $2,918,000. Hedge funds and other institutional investors own 81.99% of the company's stock.

Insider Buying and Selling

In other LegalZoom.com news, CFO Noel Watson sold 83,629 shares of the business's stock in a transaction on Friday, August 21st. The stock was sold at an average price of $5.83, for a total transaction of $487,557.07. Following 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 ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Nicole Miller sold 33,479 shares of the company's stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $5.51, for a total value of $184,469.29. Following the completion of the sale, the insider owned 943,453 shares of the company's stock, valued at approximately $5,198,426.03. The trade was a 3.43% 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 valued at $3,375,197 over the last 90 days. Company insiders own 7.40% of the company's stock.

Analysts Set New Price Targets

A number of research firms have recently commented on LZ. Wall Street Zen raised shares of LegalZoom.com from a "hold" rating to a "buy" rating in a research note on Saturday. Weiss Ratings reiterated a "sell (d+)" rating on shares of LegalZoom.com in a report on Thursday, July 2nd. JPMorgan Chase & Co. reiterated a "neutral" rating and set a $7.00 price objective (down from $8.00) on shares of LegalZoom.com in a research note on Thursday, August 6th. Finally, William Blair cut LegalZoom.com from an "outperform" rating to a "market perform" rating in a report on Thursday, August 6th. Five analysts have rated the stock with a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Reduce" and an average target price of $7.30.

LegalZoom.com Stock Performance

NASDAQ:LZ opened at $5.62 on Monday. The company has a market cap of $962.48 million, a P/E ratio of 62.44, a P/E/G ratio of 1.06 and a beta of 1.26. LegalZoom.com, Inc. has a twelve month low of $5.22 and a twelve month high of $12.40. The company's 50-day moving average price is $6.40 and its 200-day moving average price is $6.31.

LegalZoom.com (NASDAQ:LZ - Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The company reported $0.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.15 by $0.01. The company had revenue of $205.29 million during the quarter, compared to analysts' expectations of $205.83 million. LegalZoom.com had a net margin of 2.13% and a return on equity of 15.83%. LegalZoom.com's revenue was up 6.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.15 EPS. On average, analysts expect that LegalZoom.com, Inc. will post 0.32 earnings per share for the current year.

LegalZoom.com 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.

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