Latest news with #LZ
Yahoo
5 days ago
- Business
- Yahoo
LegalZoom, Perplexity partner to offer legal services to AI search use
LegalZoom (LZ) announced a strategic partnership with Perplexity to empower legal solutions for Perplexity Pro subscribers. The company stated this is the first known partnership between a legal services provider and a major generative artificial intelligence platform. As part of the partnership, Perplexity Pro subscribers will gain access to exclusive offers from LegalZoom, including discounts on legal services and products tailored for individuals and small businesses. Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See the top stocks recommended by analysts >> Read More on LZ: Disclaimer & DisclosureReport an Issue JPMorgan ups LegalZoom target, adds to Analyst Focus List LegalZoom's Earnings Call: Balancing Growth and Challenges LegalZoom's Mixed Performance: Strong Revenue and EBITDA Amid Growth Challenges and Strategic Adjustments LegalZoom's Sell Rating: Growth Challenges and Sustainability Concerns Amid Strong Buyback Strategy LegalZoom Reports Strong Q1 2025 Financial Results
Yahoo
08-05-2025
- Business
- Yahoo
LegalZoom (NASDAQ:LZ) Posts Better-Than-Expected Sales In Q1, Stock Soars
Online legal service provider LegalZoom (NASDAQ:LZ) reported Q1 CY2025 results exceeding the market's revenue expectations , with sales up 5.1% year on year to $183.1 million. The company expects next quarter's revenue to be around $183 million, close to analysts' estimates. Its GAAP profit of $0.03 per share was $0.02 above analysts' consensus estimates. Is now the time to buy LegalZoom? Find out in our full research report. LegalZoom (LZ) Q1 CY2025 Highlights: Revenue: $183.1 million vs analyst estimates of $177.2 million (5.1% year-on-year growth, 3.4% beat) EPS (GAAP): $0.03 vs analyst estimates of $0.01 ($0.02 beat) Adjusted EBITDA: $37.01 million vs analyst estimates of $34.91 million (20.2% margin, 6% beat) Revenue Guidance for Q2 CY2025 is $183 million at the midpoint, roughly in line with what analysts were expecting EBITDA guidance for the full year is $165 million at the midpoint, in line with analyst expectations Operating Margin: 4.9%, up from 2.9% in the same quarter last year Free Cash Flow Margin: 22.6%, similar to the previous quarter Subscription Units: 1.92 million, up 319,000 year on year Market Capitalization: $1.32 billion 'Our first quarter results reflect accelerating subscription growth and solid progress towards our goal of double-digit subscription revenue growth in the fourth quarter,' said Jeff Stibel, Chairman and Chief Executive Officer of LegalZoom. Company Overview Founded by famous lawyer Robert Shapiro, LegalZoom (NASDAQ:LZ) offers online legal services and documentation assistance for individuals and businesses. Sales Growth A company's long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last three years, LegalZoom grew its sales at a sluggish 5% compounded annual growth rate. This fell short of our benchmark for the consumer internet sector and is a poor baseline for our analysis. LegalZoom Quarterly Revenue This quarter, LegalZoom reported year-on-year revenue growth of 5.1%, and its $183.1 million of revenue exceeded Wall Street's estimates by 3.4%. Company management is currently guiding for a 3.2% year-on-year increase in sales next quarter. Looking further ahead, sell-side analysts expect revenue to grow 4.7% over the next 12 months, similar to its three-year rate. This projection doesn't excite us and suggests its newer products and services will not lead to better top-line performance yet. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
Washington Post
07-05-2025
- Business
- Washington Post
LegalZoom: Q1 Earnings Snapshot
MOUNTAIN VIEW, Calif. — MOUNTAIN VIEW, Calif. — Inc. (LZ) on Wednesday reported first-quarter net income of $5.1 million. The Mountain View, California-based company said it had profit of 3 cents per share. Earnings, adjusted for one-time gains and costs, were 13 cents per share.
Yahoo
07-04-2025
- Business
- Yahoo
LegalZoom (LZ): Buy, Sell, or Hold Post Q4 Earnings?
LegalZoom currently trades at $6.64 per share and has shown little upside over the past six months, posting a middling return of 2.2%. However, the stock is beating the S&P 500's 14.2% decline during that period. Is now the time to buy LegalZoom, or should you be careful about including it in your portfolio? Get the full breakdown from our expert analysts, it's free. Even with the strong relative performance, we're sitting this one out for now. Here are three reasons why we avoid LZ and a stock we'd rather own. Founded by famous lawyer Robert Shapiro, LegalZoom (NASDAQ:LZ) offers online legal services and documentation assistance for individuals and businesses. A company's long-term sales performance can indicate its overall quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. Regrettably, LegalZoom's sales grew at a sluggish 5.8% compounded annual growth rate over the last three years. This fell short of our benchmark for the consumer internet sector. Average revenue per user (ARPU) is a critical metric to track because it measures how much the company earns in transaction fees from each user. ARPU also gives us unique insights into a user's average order size and LegalZoom's take rate, or "cut", on each order. LegalZoom's ARPU growth has been subpar over the last two years, averaging 2.5%. This isn't great, but the increase in subscription units is more relevant for assessing long-term business potential. We'll monitor the situation closely; if LegalZoom tries boosting ARPU by taking a more aggressive approach to monetization, it's unclear whether users can continue growing at the current pace. Forecasted revenues by Wall Street analysts signal a company's potential. Predictions may not always be accurate, but accelerating growth typically boosts valuation multiples and stock prices while slowing growth does the opposite. Over the next 12 months, sell-side analysts expect LegalZoom's revenue to rise by 4.8%, close to its 5.8% annualized growth for the past three years. This projection doesn't excite us and suggests its newer products and services will not lead to better top-line performance yet. LegalZoom's business quality ultimately falls short of our standards. Following its recent outperformance in a weaker market environment, the stock trades at 9× forward EV-to-EBITDA (or $6.64 per share). This valuation multiple is fair, but we don't have much faith in the company. We're pretty confident there are superior stocks to buy right now. We'd recommend looking at a top digital advertising platform riding the creator economy. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years. Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free. Sign in to access your portfolio
