UBS Group Cuts LegalZoom.com (NASDAQ:LZ) Price Target to $8.00

LegalZoom.com (NASDAQ:LZ) had its price objective lowered by UBS Group from $12.00 to $8.00 in a research report released on Friday,Benzinga reports. UBS Group currently has a neutral rating on the stock.

A number of other research analysts have also recently weighed in on the stock. JPMorgan Chase & Co. cut their price objective on shares of LegalZoom.com from $14.00 to $11.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 18th. William Blair upgraded shares of LegalZoom.com from a “market perform” rating to an “outperform” rating in a report on Thursday, November 6th. Zacks Research downgraded shares of LegalZoom.com from a “hold” rating to a “strong sell” rating in a research note on Monday, January 19th. Barclays boosted their target price on LegalZoom.com from $10.00 to $12.00 and gave the company an “equal weight” rating in a research report on Thursday, November 6th. Finally, Citigroup reduced their price target on LegalZoom.com from $12.00 to $10.50 and set a “neutral” rating on the stock in a report on Friday, November 21st. Three research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $10.42.

LegalZoom.com Stock Down 7.0%

LegalZoom.com stock opened at $6.56 on Friday. The company’s 50-day moving average price is $8.99 and its 200-day moving average price is $9.78. The company has a market cap of $1.16 billion, a PE ratio of 82.01, a price-to-earnings-growth ratio of 1.12 and a beta of 1.22. LegalZoom.com has a twelve month low of $6.29 and a twelve month high of $12.40.

LegalZoom.com (NASDAQ:LZ) last released its quarterly earnings results on Thursday, February 19th. The company reported $0.17 EPS for the quarter, missing the consensus estimate of $0.18 by ($0.01). LegalZoom.com had a return on equity of 6.17% and a net margin of 2.04%.The company had revenue of $190.27 million during the quarter, compared to analysts’ expectations of $184.85 million. During the same quarter in the prior year, the business posted $0.19 EPS. The company’s revenue was up 17.7% on a year-over-year basis. As a group, sell-side analysts expect that LegalZoom.com will post 0.25 earnings per share for the current fiscal year.

LegalZoom.com declared that its Board of Directors has approved a stock repurchase plan on Thursday, February 19th that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the company to reacquire up to 8.1% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s management believes its stock is undervalued.

Insiders Place Their Bets

In other LegalZoom.com news, CFO Noel Bertram Watson sold 15,000 shares of the stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $6.96, for a total transaction of $104,400.00. Following the transaction, the chief financial officer directly owned 1,480,860 shares in the company, valued at $10,306,785.60. This represents a 1.00% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 5.90% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. Exchange Traded Concepts LLC purchased a new position in LegalZoom.com during the 3rd quarter worth $34,000. Parkside Financial Bank & Trust purchased a new position in shares of LegalZoom.com during the third quarter worth $40,000. Clearstead Advisors LLC lifted its holdings in shares of LegalZoom.com by 58.5% in the 3rd quarter. Clearstead Advisors LLC now owns 3,906 shares of the company’s stock valued at $41,000 after buying an additional 1,441 shares during the period. Osaic Holdings Inc. lifted its holdings in LegalZoom.com by 477.3% in the second 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. Finally, EverSource Wealth Advisors LLC lifted its stake in shares of LegalZoom.com by 976.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,564 shares of the company’s stock valued at $41,000 after purchasing an additional 4,140 shares during the period. Hedge funds and other institutional investors own 81.99% of the company’s stock.

Key Headlines Impacting LegalZoom.com

Here are the key news stories impacting LegalZoom.com this week:

• Positive Sentiment: Q4 & full‑year results showed revenue and cash‑flow strength (Q4 revenue $190.3M vs. $184.9M est.; full‑year revenue +11%; record operating cash flow and free cash flow; $203.1M cash, no debt). GlobeNewswire: Press Release
• Positive Sentiment: Board authorized a $100M share repurchase (represents ~8.1% of shares), a tangible capital‑return action that typically supports the share price. RTT News: Buyback
• Neutral Sentiment: Results were mixed: EPS missed by $0.01 (reported $0.17 vs. $0.18 consensus) even as revenue grew ~17.7% YoY; margins and earnings leverage remain watch points. MarketBeat: Earnings
• Neutral Sentiment: Guidance: FY‑2026 revenue $805M–$825M (around or slightly above consensus) and Q1 revenue guide in line — supports top‑line continuation but investors will watch execution. GlobeNewswire: Guidance
• Negative Sentiment: Analyst downgrades and PT cuts pressured sentiment: UBS cut its PT from $12 to $8 and moved to Neutral; other banks (JPMorgan coverage noted) have similarly become more cautious. Analyst tone likely amplified selling. Benzinga: UBS PT Cut AmericanBankingNews: JPMorgan Note
• Negative Sentiment: Insider selling: CFO Noel Watson sold 15,000 shares (~$104K) last week; while small vs. his holdings, exec sales can create near‑term headline pressure. SEC Form 4

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.