LegalZoom.com, Inc. (NASDAQ:LZ) Given Consensus Rating of "Hold" by Brokerages

Key Points

• LegalZoom.com has a consensus brokerage rating of “Hold”, with analyst opinions evenly split among sell, hold, and buy recommendations. The average 12-month price target from covered analysts is $8.25.
• The company’s latest quarterly results showed revenue growth of 12.9% year over year to $206.78 million, but EPS came in at $0.12, slightly below estimates. Analysts expect LegalZoom to earn $0.32 EPS for the current fiscal year.
• Shares rose 5.6% and opened at $6.92, while CEO Jeffrey M. Stibel recently bought 125,000 shares in a sign of insider confidence. Institutional investors continue to hold the majority of the stock, owning 81.99% of shares.

LegalZoom.com, Inc. (NASDAQ:LZ - Get Free Report) has been given a consensus rating of "Hold" by the nine brokerages that are presently covering the firm, MarketBeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, three have issued a hold recommendation and three have issued a buy recommendation on the company. The average twelve-month price target among brokers that have updated their coverage on the stock in the last year is $8.25.

A number of research analysts have issued reports on the company. JPMorgan Chase & Co. reduced their price objective on LegalZoom.com from $11.00 to $8.00 and set an "overweight" rating for the company in a research note on Wednesday, June 24th. Citigroup lowered their target price on LegalZoom.com from $8.50 to $7.50 and set a "neutral" rating on the stock in a research note on Friday, May 22nd. UBS Group cut their price target on shares of LegalZoom.com from $8.00 to $7.00 and set a "neutral" rating on the stock in a report on Thursday, May 7th. Finally, Weiss Ratings lowered shares of LegalZoom.com from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Monday, April 6th.

LegalZoom.com Stock Up 5.6%

Shares of NASDAQ LZ opened at $6.92 on Friday. LegalZoom.com has a twelve month low of $5.22 and a twelve month high of $12.40. The stock's 50 day moving average price is $6.14 and its 200-day moving average price is $7.16. The company has a market capitalization of $1.19 billion, a PE ratio of 115.35, a PEG ratio of 1.15 and a beta of 1.31.

LegalZoom.com (NASDAQ:LZ - Get Free Report) last released its earnings results on Wednesday, May 6th. The company reported $0.12 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.13 by ($0.01). The business had revenue of $206.78 million during the quarter, compared to the consensus estimate of $202.14 million. LegalZoom.com had a net margin of 1.46% and a return on equity of 11.53%. The business's revenue was up 12.9% on a year-over-year basis. During the same period in the prior year, the company earned $0.13 earnings per share. As a group, research analysts expect that LegalZoom.com will post 0.32 EPS for the current fiscal year.

Insider Buying and Selling at LegalZoom.com

In related news, CEO Jeffrey M. Stibel purchased 125,000 shares of the firm's stock in a transaction dated Monday, May 11th. The stock was bought at an average price of $6.15 per share, for a total transaction of $768,750.00. Following the purchase, the chief executive officer directly owned 2,955,609 shares in the company, valued at approximately $18,176,995.35. This trade represents a 4.42% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Nicole Miller sold 19,199 shares of LegalZoom.com stock in a transaction that occurred on Tuesday, May 19th. The stock was sold at an average price of $6.58, for a total transaction of $126,329.42. Following the completion of the sale, the insider directly owned 1,119,222 shares in the company, valued at $7,364,480.76. This trade represents a 1.69% decrease in their position. 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. Corporate insiders own 5.90% of the company's stock.

Hedge Funds Weigh In On LegalZoom.com

Institutional investors and hedge funds have recently bought and sold shares of the company. EP Wealth Advisors LLC raised its stake in shares of 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 buying an additional 1,139 shares during the period. EverSource Wealth Advisors LLC grew its stake in shares of LegalZoom.com by 37.2% during the 4th quarter. EverSource Wealth Advisors LLC now owns 5,179 shares of the company's stock worth $51,000 after acquiring an additional 1,403 shares during the period. Prelude Capital Management LLC grew its stake in shares of LegalZoom.com by 11.6% during the 3rd quarter. Prelude Capital Management LLC now owns 14,185 shares of the company's stock worth $147,000 after acquiring an additional 1,470 shares during the period. Chase Investment Counsel Corp increased its holdings in LegalZoom.com by 12.3% in the 4th quarter. Chase Investment Counsel Corp now owns 13,601 shares of the company's stock worth $135,000 after acquiring an additional 1,489 shares during the last quarter. Finally, The Manufacturers Life Insurance Company increased its holdings in LegalZoom.com by 2.9% in the 4th quarter. The Manufacturers Life Insurance Company now owns 59,862 shares of the company's stock worth $594,000 after acquiring an additional 1,705 shares during the last quarter. 81.99% of the stock is owned by institutional investors.

LegalZoom.com Company Profile

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.

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