Noel Bertram Watson Sells 15,000 Shares of LegalZoom.com (NASDAQ:LZ) Stock

LegalZoom.com, Inc. (NASDAQ:LZ) CFO Noel Bertram Watson sold 15,000 shares of LegalZoom.com stock in a transaction 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 transaction, the chief financial officer directly owned 1,480,860 shares of the company’s stock, valued at $10,306,785.60. This represents a 1.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.

LegalZoom.com Stock Performance

LZ opened at $6.56 on Friday. LegalZoom.com, Inc. has a 52-week low of $6.29 and a 52-week high of $12.40. The firm has a market cap of $1.16 billion, a P/E ratio of 82.01, a price-to-earnings-growth ratio of 1.20 and a beta of 1.22. The business’s fifty day moving average is $8.99 and its 200-day moving average is $9.76.

LegalZoom.com (NASDAQ:LZ) last posted its quarterly earnings results on Thursday, February 19th. The company reported $0.17 EPS for the quarter, missing analysts’ consensus estimates of $0.18 by ($0.01). LegalZoom.com had a net margin of 2.04% and a return on equity of 6.17%. The company had revenue of $190.27 million during the quarter, compared to analyst estimates of $184.85 million. During the same period last year, the firm earned $0.19 EPS. The firm’s revenue for the quarter was up 17.7% compared to the same quarter last year. On average, research analysts predict that LegalZoom.com, Inc. will post 0.25 earnings per share for the current fiscal year.

LegalZoom.com announced that its board has initiated a stock buyback program 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 programs are often a sign that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On LegalZoom.com

A number of institutional investors and hedge funds have recently bought and sold shares of LZ. Exchange Traded Concepts LLC bought a new position in LegalZoom.com in the third quarter valued at about $34,000. Parkside Financial Bank & Trust acquired a new position in shares of LegalZoom.com in the third quarter valued at approximately $40,000. Clearstead Advisors LLC raised its holdings in 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 last quarter. Osaic Holdings Inc. raised its holdings in LegalZoom.com by 477.3% in the 2nd quarter. Osaic Holdings Inc. now owns 4,555 shares of the company’s stock valued at $41,000 after buying an additional 3,766 shares during the last quarter. Finally, EverSource Wealth Advisors LLC boosted its position in LegalZoom.com by 976.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,564 shares of the company’s stock worth $41,000 after buying an additional 4,140 shares during the period. Institutional investors and hedge funds own 81.99% of the company’s stock.

More LegalZoom.com News

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

Analyst Ratings Changes

Several equities research analysts have weighed in on the company. Barclays upped their target price on LegalZoom.com from $10.00 to $12.00 and gave the stock an “equal weight” rating in a research note on Thursday, November 6th. Morgan Stanley upped their price objective on LegalZoom.com from $8.50 to $9.00 and gave the stock an “underweight” rating in a research report on Thursday, November 13th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of LegalZoom.com in a research note on Monday, December 29th. Wall Street Zen downgraded LegalZoom.com from a “strong-buy” rating to a “buy” rating in a research note on Saturday, November 1st. Finally, Zacks Research cut shares of LegalZoom.com from a “hold” rating to a “strong sell” rating in a report on Monday, January 19th. 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. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $10.42.

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.