Russell Investments Group Ltd. significantly increased its holdings in LegalZoom.com, Inc. (NASDAQ: LZ) by a remarkable 125.1% during the second quarter of 2023. This information was disclosed in the company’s latest Form 13F filing with the U.S. Securities and Exchange Commission (SEC). Following this acquisition, Russell Investments now owns 419,388 shares valued at approximately $3.73 million.
A number of other institutional investors have also altered their positions in LegalZoom.com recently. For instance, Quantbot Technologies LP acquired a new stake worth around $29,000 in the first quarter. Similarly, Jefferies Financial Group Inc. purchased shares valued at about $91,000, while Focus Partners Advisor Solutions LLC and XTX Topco Ltd. invested approximately $96,000 and $99,000, respectively, during the second quarter. Versor Investments LP also made a notable entry with a new position valued at around $109,000. Currently, hedge funds and other institutional investors own around 81.99% of LegalZoom’s stock.
Analysts’ Perspectives on LegalZoom.com
Wall Street analysts have recently provided insights on the future performance of LegalZoom.com. On November 1, 2023, Wall Street Zen downgraded LegalZoom from a “strong-buy” rating to a “buy” rating. Conversely, on November 6, 2023, William Blair upgraded the stock from “market perform” to “outperform.” Weiss Ratings maintained a “hold (c)” rating, while Morgan Stanley revised its price target from $8.50 to $9.00, assigning an “underweight” rating. Citigroup adjusted its price target from $12.00 to $10.50, giving it a “neutral” rating.
Currently, three analysts have rated LegalZoom with a Buy rating, four have provided a Hold rating, and one has issued a Sell rating, resulting in an average rating of “Hold” with a price target of $11.50 according to data from MarketBeat.com.
Recent Insider Transactions
In other developments, LegalZoom’s Chief Financial Officer, Noel Bertram Watson, sold 15,000 shares of the company on November 18, 2023, at an average price of $9.56, totaling $143,400. Post-sale, Watson holds 1,551,582 shares, valued at approximately $14.83 million, reflecting a 0.96% decrease in his stake.
Additionally, insider Nicole Miller sold 23,506 shares on the same date at an average price of $9.63, amounting to $226,362.78. Following this transaction, Miller owns 868,627 shares, valued at about $8.36 million, representing a 2.63% drop in her ownership. These transactions were duly reported to the SEC.
LegalZoom’s stock performance has shown fluctuations, opening at $9.38 on November 18, 2023. The company has a fifty-two-week low of $6.47 and a high of $12.40, with a market capitalization of $1.66 billion. The price-to-earnings ratio stands at 78.17, with a P/E/G ratio of 3.48 and a beta of 1.23.
LegalZoom.com last reported its quarterly earnings on November 5, 2023, revealing earnings per share (EPS) of $0.17, which fell short of the consensus estimate of $0.20 by $0.03. The company generated $190.16 million in revenue, surpassing analysts’ expectations of $183.27 million. LegalZoom’s net margin was 3.05%, with a return on equity of 9.91%, reflecting a year-over-year revenue increase of 12.8%. Analysts predict an EPS of $0.25 for the current fiscal year.
LegalZoom.com, Inc. operates an online platform catering to the legal, compliance, and business management needs of small businesses and consumers across the United States. Its offerings include business formation products, intellectual property services, and tax preparation services.
For ongoing updates regarding LegalZoom and its stakeholders, interested parties can visit HoldingsChannel.com for the latest 13F filings and trades.
