Vanguard Group Inc. Reduces Stock Position in LegalZoom.com, Inc. $LZ

Key Points

• Vanguard Group cut its stake in LegalZoom.com by 8.6% in the fourth quarter, though it still held 18.35 million shares worth about $182.2 million, or roughly 10.35% of the company.
• LegalZoom reported mixed quarterly results: earnings of $0.12 per share missed estimates by $0.01, while revenue of $206.78 million beat expectations and rose 12.9% year over year.
• The company’s board approved a $100 million share repurchase program, while analysts remain cautious overall with a consensus Hold rating and an average price target of $9.25.

Vanguard Group Inc. lowered its position in shares of LegalZoom.com, Inc. (NASDAQ:LZ - Free Report) by 8.6% in the 4th quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 18,345,662 shares of the company's stock after selling 1,726,342 shares during the period. Vanguard Group Inc. owned about 10.35% of LegalZoom.com worth $182,172,000 at the end of the most recent reporting period.

Several other institutional investors have also added to or reduced their stakes in LZ. Brighton Jones LLC purchased a new stake in LegalZoom.com during the 4th quarter valued at $185,000. Amundi purchased a new stake in LegalZoom.com during the 1st quarter valued at $196,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in LegalZoom.com by 3.0% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 74,980 shares of the company's stock valued at $646,000 after buying an additional 2,161 shares during the period. Goldman Sachs Group Inc. boosted its position in LegalZoom.com by 9.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,313,429 shares of the company's stock valued at $11,309,000 after buying an additional 113,769 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in LegalZoom.com by 1.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 275,978 shares of the company's stock valued at $2,376,000 after buying an additional 4,607 shares during the period. Hedge funds and other institutional investors own 81.99% of the company's stock.

LegalZoom.com Price Performance

Shares of LZ stock opened at $6.13 on Monday. The company has a 50 day moving average price of $6.25 and a 200-day moving average price of $8.22. LegalZoom.com, Inc. has a 52 week low of $5.28 and a 52 week high of $12.40. The firm has a market capitalization of $1.05 billion, a PE ratio of 102.18, a P/E/G ratio of 1.27 and a beta of 1.33.

LegalZoom.com (NASDAQ:LZ - Get Free Report) last posted its earnings results on Wednesday, May 6th. The company reported $0.12 EPS for the quarter, missing analysts' consensus estimates of $0.13 by ($0.01). LegalZoom.com had a return on equity of 11.53% and a net margin of 1.46%.The company had revenue of $206.78 million during the quarter, compared to the consensus estimate of $202.14 million. During the same period last year, the firm posted $0.13 EPS. The company's revenue for the quarter was up 12.9% on a year-over-year basis. Analysts anticipate that LegalZoom.com, Inc. will post 0.27 earnings per share for the current year.

LegalZoom.com announced that its Board of Directors has initiated a stock repurchase plan on Thursday, February 19th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to purchase up to 8.1% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its stock is undervalued.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on LZ shares. Zacks Research raised shares of LegalZoom.com from a "strong sell" rating to a "hold" rating in a research report on Monday, February 23rd. UBS Group reduced their price objective on shares of LegalZoom.com from $8.00 to $7.00 and set a "neutral" rating for the company in a research note on Thursday. Barclays restated an "underweight" rating and set a $6.00 price objective (down from $9.00) on shares of LegalZoom.com in a research note on Wednesday, March 4th. Weiss Ratings lowered shares of LegalZoom.com from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Monday, April 6th. Finally, JPMorgan Chase & Co. decreased their price target on LegalZoom.com from $14.00 to $11.00 and set an "overweight" rating for the company in a research note on Wednesday, February 18th. Three investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and an average price target of $9.25.

Insider Buying and Selling

In other LegalZoom.com news, CFO Noel Bertram Watson sold 15,000 shares of LegalZoom.com stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $6.96, for a total value of $104,400.00. Following the completion of the sale, the chief financial officer owned 1,480,860 shares of the company's stock, valued at approximately $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 accessible through this hyperlink. Also, insider Nicole Miller sold 23,325 shares of the business's stock in a transaction that occurred on Thursday, February 26th. The shares were sold at an average price of $6.63, for a total transaction of $154,644.75. Following the sale, the insider owned 813,033 shares of the company's stock, valued at $5,390,408.79. This trade represents a 2.79% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 5.90% of the company's stock.

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.

Want to see what other hedge funds are holding LZ? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for LegalZoom.com, Inc. (NASDAQ:LZ - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.