LegalZoom.com (NASDAQ:LZ) Stock Price Down 6% – Here’s Why

LegalZoom.com, Inc. (NASDAQ:LZ)’s stock price traded down 6% during trading on Monday . The company traded as low as $5.32 and last traded at $5.2850. 621,334 shares were traded during trading, a decline of 80% from the average daily volume of 3,107,342 shares. The stock had previously closed at $5.62.

Analysts Set New Price Targets

A number of research firms recently weighed in on LZ. UBS Group decreased their price objective on LegalZoom.com from $8.00 to $7.00 and set a “neutral” rating for the company in a report on Thursday, May 7th. JPMorgan Chase & Co. reiterated a “neutral” rating and issued a $7.00 price target (down from $8.00) on shares of LegalZoom.com in a research report on Thursday, August 6th. Weiss Ratings reissued a “sell (d+)” rating on shares of LegalZoom.com in a research note on Thursday, July 2nd. Wall Street Zen downgraded LegalZoom.com from a “buy” rating to a “hold” rating in a research report on Saturday, August 8th. Finally, William Blair lowered LegalZoom.com from an “outperform” rating to a “market perform” rating in a research note on Thursday, August 6th. Five analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, LegalZoom.com presently has an average rating of “Reduce” and a consensus price target of $7.30.

LegalZoom.com Stock Down 5.4%

The firm has a market cap of $910.25 million, a P/E ratio of 59.06, a PEG ratio of 1.06 and a beta of 1.28. The stock’s 50-day simple moving average is $6.68 and its 200 day simple moving average is $6.60.

LegalZoom.com (NASDAQ:LZ) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $0.16 earnings per share for the quarter, topping analysts’ consensus estimates of $0.15 by $0.01. LegalZoom.com had a return on equity of 15.83% and a net margin of 2.13%.The firm had revenue of $205.29 million during the quarter, compared to the consensus estimate of $205.83 million. During the same period last year, the business posted $0.15 EPS. The business’s revenue was up 6.6% compared to the same quarter last year. On average, research analysts forecast that LegalZoom.com, Inc. will post 0.32 earnings per share for the current fiscal year.

Insider Buying and Selling

In other LegalZoom.com news, 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 value of $126,329.42. Following the completion of the sale, the insider directly owned 1,119,222 shares in the company, valued at approximately $7,364,480.76. The trade was a 1.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 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. 7.40% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On LegalZoom.com

Institutional investors and hedge funds have recently modified their holdings of the business. Osaic Holdings Inc. lifted its position in shares of LegalZoom.com by 477.3% during the 2nd quarter. Osaic Holdings Inc. now owns 4,555 shares of the company’s stock valued at $41,000 after acquiring an additional 3,766 shares during the period. EverSource Wealth Advisors LLC boosted its stake in LegalZoom.com by 976.4% during the second quarter. EverSource Wealth Advisors LLC now owns 4,564 shares of the company’s stock worth $41,000 after acquiring an additional 4,140 shares in the last quarter. Parallel Advisors LLC grew its holdings in LegalZoom.com by 8,589.8% in the third quarter. Parallel Advisors LLC now owns 5,127 shares of the company’s stock worth $53,000 after purchasing an additional 5,068 shares during the period. Kemnay Advisory Services Inc. acquired a new stake in LegalZoom.com in the fourth quarter worth $74,000. Finally, Parkside Financial Bank & Trust increased its stake in LegalZoom.com by 91.4% in the fourth quarter. Parkside Financial Bank & Trust now owns 7,433 shares of the company’s stock valued at $74,000 after purchasing an additional 3,550 shares in the last quarter. 81.99% of the stock is currently owned by institutional investors.

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.