LegalZoom.com (LZ)
Market Price (5/23/2026): $6.365 | Market Cap: $1.1 BilSector: Industrials | Industry: Research & Consulting Services
LegalZoom.com (LZ)
Market Price (5/23/2026): $6.365Market Cap: $1.1 BilSector: IndustrialsIndustry: Research & Consulting Services
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -15% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 22%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 19% Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -39% Attractive yieldFCF Yield is 13% Megatrend and thematic driversMegatrends include Digitization of Professional Services. Themes include Legal Tech Platforms, Online Business Formation, and Automated Legal Documents. | Weak multi-year price returns2Y Excs Rtn is -71%, 3Y Excs Rtn is -122% | Expensive valuation multiplesP/EBITPrice/EBIT or Price/(Operating Income) ratio is 41x, P/EPrice/Earnings or Price/(Net Income) is 98x Significant share based compensationSBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 14% Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -3.1% Key risksLZ key risks include [1] its heavy dependence on new business formations and difficulty converting transactional customers into long-term subscribers, Show more. |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -15% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 22%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 19% |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -39% |
| Attractive yieldFCF Yield is 13% |
| Megatrend and thematic driversMegatrends include Digitization of Professional Services. Themes include Legal Tech Platforms, Online Business Formation, and Automated Legal Documents. |
| Weak multi-year price returns2Y Excs Rtn is -71%, 3Y Excs Rtn is -122% |
| Expensive valuation multiplesP/EBITPrice/EBIT or Price/(Operating Income) ratio is 41x, P/EPrice/Earnings or Price/(Net Income) is 98x |
| Significant share based compensationSBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 14% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -3.1% |
| Key risksLZ key risks include [1] its heavy dependence on new business formations and difficulty converting transactional customers into long-term subscribers, Show more. |
Qualitative Assessment
AI Analysis | Feedback
1. Q1 2026 Earnings Per Share Miss and Net Income Decline.
LegalZoom reported a mixed performance for the first quarter of 2026, with earnings per share (EPS) of $0.12, missing the forecasted $0.13 by 7.69%. This earnings miss, despite a revenue beat of $206.8 million (up 13% year-over-year), raised concerns about profitability. Furthermore, the company's net income significantly decreased to $1.1 million in Q1 2026 from $5.1 million in the same period in 2025, partially attributed to a one-time gain in the prior year and increased sales and marketing expenses. The stock reacted negatively, declining 6.41% to $6.71 immediately following the earnings announcement.
2. Weakened Business Formation Outlook and Decreased Website Traffic.
LegalZoom has experienced a notable decline in its core business indicators. The company saw a 29% year-over-year decrease in website traffic during April 2026. This reduction in traffic has contributed to a projected 2.0% year-over-year decline in business formations, indicating a potential erosion of LegalZoom's competitive standing and a slowdown in a key service offering.
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Stock Movement Drivers
Fundamental Drivers
The -28.5% change in LZ stock from 1/31/2026 to 5/22/2026 was primarily driven by a -52.1% change in the company's Net Income Margin (%).| (LTM values as of) | 1312026 | 5222026 | Change |
|---|---|---|---|
| Stock Price ($) | 8.89 | 6.36 | -28.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 727 | 780 | 7.2% |
| Net Income Margin (%) | 3.1% | 1.5% | -52.1% |
| P/E Multiple | 72.0 | 97.5 | 35.4% |
| Shares Outstanding (Mil) | 180 | 175 | 3.0% |
| Cumulative Contribution | -28.5% |
Market Drivers
1/31/2026 to 5/22/2026| Return | Correlation | |
|---|---|---|
| LZ | -28.5% | |
| Market (SPY) | 8.1% | 17.1% |
| Sector (XLI) | 4.1% | -6.4% |
Fundamental Drivers
The -36.2% change in LZ stock from 10/31/2025 to 5/22/2026 was primarily driven by a -64.1% change in the company's Net Income Margin (%).| (LTM values as of) | 10312025 | 5222026 | Change |
|---|---|---|---|
| Stock Price ($) | 9.97 | 6.36 | -36.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 706 | 780 | 10.5% |
| Net Income Margin (%) | 4.1% | 1.5% | -64.1% |
| P/E Multiple | 62.7 | 97.5 | 55.6% |
| Shares Outstanding (Mil) | 181 | 175 | 3.4% |
| Cumulative Contribution | -36.2% |
Market Drivers
10/31/2025 to 5/22/2026| Return | Correlation | |
|---|---|---|
| LZ | -36.2% | |
| Market (SPY) | 9.9% | 19.4% |
| Sector (XLI) | 11.5% | -1.2% |
Fundamental Drivers
The -13.1% change in LZ stock from 4/30/2025 to 5/22/2026 was primarily driven by a -66.7% change in the company's Net Income Margin (%).| (LTM values as of) | 4302025 | 5222026 | Change |
|---|---|---|---|
| Stock Price ($) | 7.32 | 6.36 | -13.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 682 | 780 | 14.3% |
| Net Income Margin (%) | 4.4% | 1.5% | -66.7% |
| P/E Multiple | 42.3 | 97.5 | 130.5% |
| Shares Outstanding (Mil) | 173 | 175 | -1.0% |
| Cumulative Contribution | -13.1% |
Market Drivers
4/30/2025 to 5/22/2026| Return | Correlation | |
|---|---|---|
| LZ | -13.1% | |
| Market (SPY) | 36.0% | 25.2% |
| Sector (XLI) | 32.7% | 11.6% |
Fundamental Drivers
The -32.2% change in LZ stock from 4/30/2023 to 5/22/2026 was primarily driven by a -51.0% change in the company's P/S Multiple.| (LTM values as of) | 4302023 | 5222026 | Change |
|---|---|---|---|
| Stock Price ($) | 9.38 | 6.36 | -32.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 620 | 780 | 25.8% |
| P/S Multiple | 2.9 | 1.4 | -51.0% |
| Shares Outstanding (Mil) | 192 | 175 | 10.0% |
| Cumulative Contribution | -32.2% |
Market Drivers
4/30/2023 to 5/22/2026| Return | Correlation | |
|---|---|---|
| LZ | -32.2% | |
| Market (SPY) | 86.3% | 32.0% |
| Sector (XLI) | 79.6% | 25.4% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| LZ Return | -88% | -52% | 46% | -34% | 32% | -35% | -95% |
| Peers Return | 7% | -8% | 20% | 6% | -33% | -24% | -36% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 9% | 98% |
Monthly Win Rates [3] | |||||||
| LZ Win Rate | 8% | 17% | 50% | 42% | 50% | 20% | |
| Peers Win Rate | 44% | 22% | 44% | 36% | 29% | 36% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 60% | |
Max Drawdowns [4] | |||||||
| LZ Max Drawdown | -88% | -56% | -36% | -59% | -36% | -47% | |
| Peers Max Drawdown | -11% | -16% | -8% | -10% | -49% | -51% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: VRSK, GIB, ACCL, FOFO, ZTG.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 5/22/2026 (YTD)
How Low Can It Go
| Event | LZ | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -27.0% | -18.8% |
| % Gain to Breakeven | 36.9% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -10.8% | -6.7% |
| % Gain to Breakeven | 12.0% | 7.1% |
| Time to Breakeven | 6 days | 31 days |
| 2010 Eurozone Sovereign Debt Crisis / Flash Crash | ||
| % Loss | -15.4% | -15.4% |
| % Gain to Breakeven | 18.2% | 18.2% |
| Time to Breakeven | 24 days | 125 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -56.7% | -53.4% |
| % Gain to Breakeven | 131.1% | 114.4% |
| Time to Breakeven | 141 days | 1085 days |
| Summer 2007 Credit Crunch | ||
| % Loss | -15.0% | -8.6% |
| % Gain to Breakeven | 17.7% | 9.5% |
| Time to Breakeven | 41 days | 47 days |
In The Past
LegalZoom.com's stock fell -27.0% during the 2025 US Tariff Shock. Such a loss loss requires a 36.9% gain to breakeven.
Preserve Wealth
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Asset Allocation
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| Event | LZ | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -27.0% | -18.8% |
| % Gain to Breakeven | 36.9% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -56.7% | -53.4% |
| % Gain to Breakeven | 131.1% | 114.4% |
| Time to Breakeven | 141 days | 1085 days |
In The Past
LegalZoom.com's stock fell -27.0% during the 2025 US Tariff Shock. Such a loss loss requires a 36.9% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About LegalZoom.com (LZ)
AI Analysis | Feedback
Here are a few analogies for LegalZoom.com (LZ):
TurboTax for legal services. Like TurboTax simplifies tax preparation for individuals and small businesses online, LegalZoom simplifies the creation of legal documents and compliance solutions such as business formations, wills, and intellectual property protection.
Shopify for legal and compliance needs for small businesses. Similar to how Shopify provides a comprehensive platform for entrepreneurs to set up and manage their online businesses, LegalZoom offers a platform for entrepreneurs to handle the foundational legal and compliance aspects of starting and running a small business.
AI Analysis | Feedback
- Business Formation Services: LegalZoom assists individuals and small businesses with the legal processes required to establish new companies.
- Estate Planning Documents: The platform enables customers to create essential legal documents for estate planning, such as wills and trusts.
- Intellectual Property Protection: LegalZoom offers services to help customers protect their intellectual property, including trademarks and copyrights.
- Forms and Agreements: Customers can complete various legal forms and agreements through the platform.
- Access to Attorney Advice: The company provides a service connecting customers with independent attorneys for legal consultations and advice.
- Tax Preparation and Bookkeeping Services: LegalZoom connects users with experts who can assist with tax preparation and bookkeeping needs.
AI Analysis | Feedback
Major Customers of LegalZoom.com (LZ)
LegalZoom.com primarily serves two broad categories of customers:
- Small Businesses: These customers utilize LegalZoom's platform for various business-related legal and compliance needs. This includes services such as forming a business entity (e.g., LLC, corporation), protecting intellectual property (like trademarks or copyrights), drafting or reviewing business-related forms and agreements, and accessing tax preparation and bookkeeping services.
- Individuals: These customers leverage LegalZoom's services for personal legal matters. Key offerings for individuals include creating essential estate planning documents (such as wills and trusts), completing general legal forms and agreements, and obtaining advice from independent attorneys for personal legal issues.
AI Analysis | Feedback
nullAI Analysis | Feedback
Jeff Stibel, Chief Executive OfficerJeffrey Stibel has served as LegalZoom's Chief Executive Officer since July 2024. He was a member of the company's board of directors since October 2014 and Chairman since October 2018. Mr. Stibel has been a partner of Bryant Stibel & Company, an investment and strategic advisory platform, since January 2013. He previously served as President, Chief Executive Officer, and Chairman of the Dun & Bradstreet Credibility Corporation from July 2010 to July 2015, and as Vice Chairman of Dun & Bradstreet Corporation from July 2015 to March 2018. Before that, Mr. Stibel was President and Chief Executive Officer of Web.com, Inc. He also served on the board of directors of AutoWeb, Inc.
Noel Watson, Chief Operating Officer & Chief Financial Officer
Noel Watson has served as LegalZoom's Chief Financial Officer since November 2020 and as Chief Operating Officer since August 2024. Prior to LegalZoom, he served as Chief Financial Officer at TrueCar, Inc. from June 2019 to November 2020. From April 2006 to June 2019, Mr. Watson held various roles at TripAdvisor, Inc., including Vice President Finance and Chief Accounting Officer. He currently serves on the Board of Directors of Affirm and previously served as a member of the Board of Directors and Chair of the Audit Committee of Zynga Inc.
Nicole Miller, Chief Legal Officer
Nicole Miller has served as LegalZoom's Chief Legal Officer since March 2024 and as Secretary since August 2020. She previously served as Executive Vice President and General Counsel since June 2020 and as interim Chief People Officer from August 2020 to April 2021. From July 2014 to June 2020, Ms. Miller held various roles at The Honest Company, most recently as General Counsel.
Sheily Chhabria Panchal, Chief People Officer
Sheily Chhabria Panchal has served as LegalZoom's Chief People Officer since April 2021. From October 2019 to April 2021, she was Vice President of Global Human Resources at Activision Blizzard. Prior to that, she served as Executive Vice President of People Operations for ServiceTitan, Inc. from January 2017 to May 2019. Ms. Panchal also held various leadership positions at Google, Inc., most recently as Director of Global Trust and Safety Operations, from August 2006 to February 2016.
Kathy Tsitovich, Chief Corporate Development & Partnerships Officer
Kathy Tsitovich joined LegalZoom in 2020 after spending more than 20 years at Intuit, most recently as a Vice President.
AI Analysis | Feedback
LegalZoom.com (LZ) faces several key risks to its business model:-
Regulatory Scrutiny and Unauthorized Practice of Law (UPL)
LegalZoom's core business model, which involves providing legal document preparation and non-attorney assistance, is under constant regulatory threat due to the varying definitions of the unauthorized practice of law (UPL) across different states. This complex, multi-jurisdictional legal risk necessitates continuous legal defense and lobbying efforts. The company explicitly states it is not a law firm and cannot provide legal advice, which can leave customers vulnerable if their documents are challenged in court or if they overlook critical legal requirements. -
Intense Competition and High Customer Acquisition Costs
The legal solutions market in which LegalZoom operates is highly competitive and constantly evolving. The company faces competition from a range of entities, including other online business formation providers, traditional offline law firms, solo attorneys, and new specialized entrants. This competitive pressure forces LegalZoom to maintain significant marketing spend to preserve its strong brand recognition, which in turn impacts its ability to expand profit margins. -
Dependence on Business Formations and Profitability Challenges
A substantial portion of LegalZoom's transaction revenue is derived from business formation services, which exposes the company to market fluctuations and economic downturns that can affect the number of new businesses being formed. Despite its strong market position and efforts to grow subscription revenue, LegalZoom has a history of net losses. Achieving consistent profitability under Generally Accepted Accounting Principles (GAAP) remains a challenge, primarily due to high operating expenses, particularly in sales and marketing. Continued net losses could erode investor confidence and hinder future growth initiatives.
AI Analysis | Feedback
The clear emerging threat to LegalZoom.com is the rapid advancement and adoption of generative artificial intelligence (AI) and AI-powered legal technology platforms. These technologies are increasingly capable of automating the drafting of legal documents, agreements, and providing initial legal information or guidance, directly competing with and potentially offering more efficient or cost-effective alternatives to LegalZoom's core services such as business formations, estate planning document creation, and the completion of forms and agreements.
AI Analysis | Feedback
LegalZoom.com (LZ) operates within several addressable markets for its legal and compliance solutions, primarily serving small businesses and individuals in the United States. Below are the estimated market sizes for its main products and services:
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Online Legal Services (General): The U.S. market for Virtual Legal Advisory Services was valued at approximately USD 3.53 billion in 2024 and is projected to expand at a Compound Annual Growth Rate (CAGR) of 14.67%. Globally, the online legal services market is expected to reach $28.81 billion in 2026 and grow to $47 billion by 2030. North America held the largest share of the online legal services market in 2025.
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Business Formations: The global Business Entity Formation market is projected to reach approximately $15 billion by 2033, growing at a CAGR of 6.5% from 2025. North America is identified as the largest market within this sector. The Company Registration Service Market globally was valued at USD 10.52 billion in 2023 and is projected to reach USD 18.5 billion by 2031, growing at a CAGR of 6.51%. In the U.S. alone, more than 4.4 million new businesses were registered in 2024, with Limited Liability Companies (LLCs) constituting nearly 68% of these formations.
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Estate Planning Documents: The global estate planning services market was valued at USD 297 million in 2024 and is anticipated to reach USD 503 million by 2032. North America leads in market adoption, accounting for nearly 40% of global estate planning revenue. Another estimate places the global Estate Planning Services Market at approximately USD 114.11 billion in 2026, projected to reach USD 171.17 billion by 2035, with North America holding about a 45% share. The U.S. end-of-life planning market, which includes estate planning, generated revenues of USD 9.62 billion in 2023 and is expected to reach USD 14.72 billion by 2030, with estate planning being the largest revenue-generating service within this category.
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Intellectual Property Protection: The global intellectual property (IP) services market was valued at US$ 4.2 billion in 2024 and is projected to reach US$ 14.3 billion by 2035. North America held the largest revenue share of 37.4% in this market in 2024. The global intellectual property legal services market is valued at USD 17.2 billion in 2025 and is projected to reach USD 36.0 billion by 2035.
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Tax Preparation Services: The U.S. market for Tax Preparation Services was valued at $14.2 billion in 2024 and is projected to be $14.3 billion in 2025. Globally, the tax preparation services market was estimated at US$37.0 billion in 2024 and is expected to reach US$46.2 billion by 2030. North America was the largest region in the tax preparation services market in 2025.
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Bookkeeping Services: The U.S. market size for Payroll & Bookkeeping Services was $75.1 billion in 2024 and is projected to be $76.5 billion in 2025. The global Bookkeeping Services Market was valued at US$ 12.7 billion in 2026 and is anticipated to grow to US$ 28.4 billion by 2035. North America is the dominating region in the global bookkeeping services market. The U.S. is the world's largest bookkeeping services market. Another report indicates the global Bookkeeping Services market was valued at US$ 3045 million in 2025 and is anticipated to reach US$ 5049 million by 2032.
AI Analysis | Feedback
LegalZoom.com (LZ) is expected to drive future revenue growth over the next 2-3 years through several key initiatives:
- Expansion of Subscription Revenue and Higher-Value Offerings: LegalZoom is strategically shifting its focus towards higher-value subscription offerings, including legal plans, compliance solutions, and concierge services. This approach aims to attract and retain higher-value customers, leading to increased average revenue per user (ARPU) and a more resilient revenue base. This strategy has already resulted in accelerating subscription revenue growth and positive ARPU trends.
- AI Integration and "Human-in-the-Loop" Strategy: The company is leveraging artificial intelligence (AI) to expand its serviceable addressable market and enhance its competitive advantage. By integrating AI with human expertise in a "human-in-the-loop" model, LegalZoom aims to provide sophisticated solutions for complex legal matters and reach individuals who may not yet realize their legal needs, thereby opening new market opportunities.
- Expansion Beyond Business Formations: LegalZoom is expanding its services beyond initial business formations to cater to the ongoing needs of existing businesses throughout their lifecycle. This includes introducing additional expert and service layers, such as legal advice subscriptions, trademark and intellectual property (IP) services, and concierge offerings, to capture a larger share of wallet from small businesses.
- Strategic Acquisitions: Acquisitions, such as Formation Nation, have played a role in contributing to both subscription and transaction revenue growth, indicating that strategic inorganic growth will continue to be a driver of overall revenue expansion.
- Quality Customer Acquisition and Targeted Marketing: LegalZoom is prioritizing the acquisition of "quality" customers who are more likely to engage with and benefit from their comprehensive, higher-value lifecycle offerings. The company plans to strategically increase marketing investments to target these valuable customers.
AI Analysis | Feedback
Share Repurchases
- LegalZoom expanded its stock repurchase program by an additional $75 million in May 2024, increasing the total authorized amount to $175 million. Approximately $59 million had been repurchased as of May 21, 2024, leaving about $116 million available for future buybacks.
- In September 2023, LegalZoom repurchased approximately $45.1 million of its common stock directly from a selling stockholder in a private, non-underwritten transaction.
- The company's Board of Directors approved a $100 million increase to its stock repurchase program in February 2026, after having repurchased $80 million in stock during 2025.
Share Issuance
- In June 2021, LegalZoom priced its initial public offering (IPO) of 19,121,000 shares of common stock at $28.00 per share, with gross proceeds to the company from the offering and a concurrent private placement totaling approximately $625.4 million.
- As part of the acquisition of Formation Nation in February 2025, LegalZoom issued approximately 2.2 million restricted shares of its common stock.
Inbound Investments
- Concurrent with its IPO in June 2021, LegalZoom sold 3,214,285 additional shares of common stock to entities affiliated with Technology Crossover Ventures (TCV), an existing stockholder, in a private placement.
- In September 2023, entities affiliated with Technology Crossover Ventures (TCV) intended to purchase $20.0 million worth of LegalZoom's common stock directly from a selling stockholder in a private transaction.
Outbound Investments
- LegalZoom acquired Formation Nation, a small business services company, in February 2025 for $49.3 million in upfront cash, approximately 2.2 million restricted shares, and an additional $15.4 million in cash subject to a one-year holdback.
- In 2021, LegalZoom acquired Earth Class Mail, a virtual mailbox service for businesses, for $63 million.
- The company acquired Revv, a Global SaaS document automation and form template company, in 2022.
Capital Expenditures
- LegalZoom.com's Capital Expenditures 10-Year CAGR was 0.0% in 2025.
- Free cash flow, a metric encompassing operating cash flow minus capital expenditures, reached a record $147.9 million in 2025.
- Capital expenditures primarily focus on investments in new, high-value, and long-term assets such as property, machinery, licensing, and technology, as well as repairs on existing fixed company assets to support business growth and long-term goals.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| LegalZoom.com Earnings Notes | 12/16/2025 | |
| Would You Still Hold LegalZoom.com Stock If It Fell 30%? | 10/17/2025 | |
| LegalZoom.com (LZ) Net Income Comparison | 08/08/2025 | |
| LegalZoom.com (LZ) Operating Cash Flow Comparison | 08/08/2025 | |
| LegalZoom.com (LZ) Revenue Comparison | 08/08/2025 | |
| LegalZoom.com (LZ) Operating Income Comparison | 08/08/2025 | |
| LegalZoom.com (LZ) EBITDA Comparison | 08/08/2025 | |
| LegalZoom.com (LZ) Debt Comparison | 08/08/2025 | |
| LegalZoom.com (LZ) Tax Expense Comparison | 08/08/2025 | |
| LZ Dip Buy Analysis | 07/10/2025 | |
| ARTICLES | ||
| Stocks Trading At 52-Week Low | 02/24/2026 | |
| Market Movers | Winners: LZ, ASTH, GCT | Losers: TTD, SEZL, BLND | 08/09/2025 |
Trade Ideas
Select ideas related to LZ.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 04302026 | GEO | GEO | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | 0.0% | 0.0% | 0.0% |
| 04302026 | RUN | Sunrun | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 0.0% | 0.0% | 0.0% |
| 04172026 | RSG | Republic Services | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 0.8% | 0.8% | -1.1% |
| 04102026 | VRSK | Verisk Analytics | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 12.3% | 12.3% | 0.0% |
| 04102026 | UHAL | U-Haul | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 0.3% | 0.3% | -1.0% |
| 02202026 | LZ | LegalZoom.com | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | -1.7% | -1.7% | -16.5% |
Research & Analysis
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 4.67 |
| Mkt Cap | 14.2 |
| Rev LTM | 3,102 |
| Op Inc LTM | 1,366 |
| FCF LTM | 1,127 |
| FCF 3Y Avg | 986 |
| CFO LTM | 1,382 |
| CFO 3Y Avg | 1,219 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 7.9% |
| Rev Chg 3Y Avg | 7.4% |
| Rev Chg Q | 3.9% |
| QoQ Delta Rev Chg LTM | 1.0% |
| Op Inc Chg LTM | 7.0% |
| Op Inc Chg 3Y Avg | 8.2% |
| Op Mgn LTM | 16.4% |
| Op Mgn 3Y Avg | 16.4% |
| QoQ Delta Op Mgn LTM | 0.3% |
| CFO/Rev LTM | 22.4% |
| CFO/Rev 3Y Avg | 21.3% |
| FCF/Rev LTM | 18.9% |
| FCF/Rev 3Y Avg | 16.7% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 14.2 |
| P/S | 1.4 |
| P/Op Inc | 16.9 |
| P/EBIT | 17.0 |
| P/E | 25.4 |
| P/CFO | 6.4 |
| Total Yield | 5.0% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | 8.8% |
| D/E | 0.2 |
| Net D/E | 0.2 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | -4.1% |
| 3M Rtn | -4.5% |
| 6M Rtn | -26.7% |
| 12M Rtn | -41.0% |
| 3Y Rtn | -37.2% |
| 1M Excs Rtn | -7.2% |
| 3M Excs Rtn | -12.1% |
| 6M Excs Rtn | -39.5% |
| 12M Excs Rtn | -68.9% |
| 3Y Excs Rtn | -118.5% |
Price Behavior
| Market Price | $6.36 | |
| Market Cap ($ Bil) | 1.1 | |
| First Trading Date | 12/29/2006 | |
| Distance from 52W High | -43.1% | |
| 50 Days | 200 Days | |
| DMA Price | $6.18 | $8.67 |
| DMA Trend | down | down |
| Distance from DMA | 2.9% | -26.7% |
| 3M | 1YR | |
| Volatility | 47.9% | 54.8% |
| Downside Capture | 58.75 | 172.65 |
| Upside Capture | 29.71 | 72.31 |
| Correlation (SPY) | 8.8% | 23.9% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.42 | 0.65 | 1.06 | 0.98 | 1.32 | 1.20 |
| Up Beta | -0.55 | -0.30 | -0.12 | 0.35 | 0.99 | 0.90 |
| Down Beta | 1.83 | 0.88 | 1.10 | 1.04 | 1.36 | 1.21 |
| Up Capture | 137% | 59% | 69% | 56% | 117% | 150% |
| Bmk +ve Days | 15 | 22 | 31 | 66 | 141 | 428 |
| Stock +ve Days | 13 | 20 | 31 | 60 | 126 | 381 |
| Down Capture | 415% | 138% | 220% | 160% | 148% | 110% |
| Bmk -ve Days | 4 | 18 | 30 | 56 | 108 | 321 |
| Stock -ve Days | 9 | 23 | 33 | 65 | 122 | 356 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with LZ | |
|---|---|---|---|---|
| LZ | -32.4% | 54.8% | -0.53 | - |
| Sector ETF (XLI) | 23.3% | 15.4% | 1.16 | 6.9% |
| Equity (SPY) | 29.5% | 12.0% | 1.86 | 24.1% |
| Gold (GLD) | 35.5% | 26.8% | 1.11 | -11.4% |
| Commodities (DBC) | 42.9% | 18.7% | 1.77 | -5.9% |
| Real Estate (VNQ) | 15.2% | 13.1% | 0.82 | 3.2% |
| Bitcoin (BTCUSD) | -29.5% | 41.7% | -0.73 | 10.4% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with LZ | |
|---|---|---|---|---|
| LZ | -30.0% | 58.5% | -0.39 | - |
| Sector ETF (XLI) | 12.2% | 17.4% | 0.54 | 33.3% |
| Equity (SPY) | 14.0% | 17.0% | 0.64 | 39.9% |
| Gold (GLD) | 18.8% | 18.0% | 0.85 | -0.5% |
| Commodities (DBC) | 10.4% | 19.4% | 0.42 | 6.5% |
| Real Estate (VNQ) | 3.8% | 18.8% | 0.10 | 31.1% |
| Bitcoin (BTCUSD) | 12.2% | 55.3% | 0.42 | 22.1% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with LZ | |
|---|---|---|---|---|
| LZ | -16.3% | 58.5% | -0.39 | - |
| Sector ETF (XLI) | 14.0% | 20.0% | 0.62 | 33.3% |
| Equity (SPY) | 15.7% | 17.9% | 0.75 | 39.9% |
| Gold (GLD) | 13.0% | 16.0% | 0.67 | -0.5% |
| Commodities (DBC) | 7.8% | 17.9% | 0.35 | 6.5% |
| Real Estate (VNQ) | 5.5% | 20.7% | 0.23 | 31.1% |
| Bitcoin (BTCUSD) | 67.2% | 66.9% | 1.06 | 22.1% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 2/19/2026 | -7.0% | -0.6% | -12.2% |
| 11/5/2025 | 7.4% | 0.9% | -6.2% |
| 8/7/2025 | 31.2% | 27.5% | 23.7% |
| 5/7/2025 | 23.6% | 26.9% | 26.5% |
| 2/10/2025 | 0.9% | -0.4% | -0.4% |
| 11/6/2024 | 13.1% | 0.6% | 0.6% |
| 8/7/2024 | -1.5% | -5.9% | 8.3% |
| 5/7/2024 | -23.9% | -21.2% | -30.5% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 11 | 10 | 9 |
| # Negative | 6 | 7 | 8 |
| Median Positive | 10.4% | 5.5% | 8.9% |
| Median Negative | -11.6% | -5.9% | -9.2% |
| Max Positive | 31.2% | 27.5% | 33.8% |
| Max Negative | -23.9% | -21.2% | -35.3% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/06/2026 | 10-Q |
| 12/31/2025 | 02/23/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 02/26/2025 | 10-K |
| 09/30/2024 | 11/06/2024 | 10-Q |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 05/07/2024 | 10-Q |
| 12/31/2023 | 02/29/2024 | 10-K |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/08/2023 | 10-Q |
| 03/31/2023 | 05/09/2023 | 10-Q |
| 12/31/2022 | 03/01/2023 | 10-K |
| 09/30/2022 | 11/10/2022 | 10-Q |
| 06/30/2022 | 08/11/2022 | 10-Q |
Recent Forward Guidance [BETA]
Latest: Q4 2025 Earnings Reported 2/19/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2026 Revenue | 200.00 Mil | 201.50 Mil | 203.00 Mil | 9.5% | Higher New | Guidance: 184.00 Mil for Q4 2025 | |
| Q1 2026 Revenue Growth | 10.0% | -28.6% | -4.0% | Lower New | Guidance: 14.0% for Q4 2025 | ||
| Q1 2026 Adjusted EBITDA | 34.00 Mil | 35.00 Mil | 36.00 Mil | -25.5% | Lower New | Guidance: 47.00 Mil for Q4 2025 | |
| 2026 Revenue | 805.00 Mil | 815.00 Mil | 825.00 Mil | 8.7% | Higher New | Guidance: 750.00 Mil for 2025 | |
| 2026 Revenue Growth | 8.0% | -20.0% | -2.0% | Lower New | Guidance: 10.0% for 2025 | ||
| 2026 Adjusted EBITDA | 190.00 Mil | 195.00 Mil | 200.00 Mil | 15.4% | Higher New | Guidance: 169.00 Mil for 2025 | |
Prior: Q3 2025 Earnings Reported 11/5/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2025 Revenue | 182.00 Mil | 184.00 Mil | 186.00 Mil | 0.5% | Raised | Guidance: 183.00 Mil for Q3 2025 | |
| Q4 2025 Adjusted EBITDA | 46.00 Mil | 47.00 Mil | 48.00 Mil | 4.4% | Raised | Guidance: 45.00 Mil for Q3 2025 | |
| 2025 Revenue | 748.00 Mil | 750.00 Mil | 752.00 Mil | ||||
| 2025 Adjusted EBITDA | 168.00 Mil | 169.00 Mil | 170.00 Mil | ||||
Insider Activity
Expand for More| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Miller, Nicole | CHIEF LEGAL OFFICER | Direct | Sell | 5192026 | 6.58 | 19,199 | 126,329 | 7,364,481 | Form |
| 2 | Watson, Noel Bertram | Chief Operating Officer & CFO | Direct | Sell | 5192026 | 6.45 | 15,000 | 96,776 | 13,173,384 | Form |
| 3 | Stibel, Jeffrey M | Chief Executive Officer | Direct | Buy | 5112026 | 6.15 | 125,000 | 768,988 | 18,182,611 | Form |
| 4 | Miller, Nicole | CHIEF LEGAL OFFICER | Direct | Sell | 2272026 | 6.63 | 23,325 | 154,645 | 5,390,409 | Form |
| 5 | Watson, Noel Bertram | Chief Operating Officer & CFO | Direct | Sell | 2192026 | 6.96 | 15,000 | 104,414 | 10,308,118 | Form |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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