LegalZoom.com (NASDAQ:LZ) Stock Rating Lowered by Citigroup

LegalZoom.com (NASDAQ:LZ) was downgraded by Citigroup from a “buy” rating to a “neutral” rating in a research note issued on Wednesday, MarketBeat Ratings reports. They presently have a $8.00 target price on the stock, down from their prior target price of $15.00. Citigroup’s price target suggests a potential upside of 34.45% from the company’s current price.

A number of other analysts have also issued reports on LZ. Raymond James began coverage on LegalZoom.com in a research note on Wednesday, March 27th. They set a “market perform” rating on the stock. JPMorgan Chase & Co. downgraded shares of LegalZoom.com from an “overweight” rating to a “neutral” rating and lowered their price target for the stock from $14.00 to $9.00 in a report on Wednesday. JMP Securities cut shares of LegalZoom.com from an “outperform” rating to a “market perform” rating in a research note on Wednesday. Finally, Bank of America cut shares of LegalZoom.com from a “buy” rating to an “underperform” rating and lowered their target price for the stock from $13.00 to $6.00 in a research note on Wednesday. Two research analysts have rated the stock with a sell rating, five have given a hold rating and one has given a buy rating to the company. According to data from MarketBeat.com, LegalZoom.com currently has an average rating of “Hold” and a consensus price target of $11.21.

LegalZoom.com Stock Performance

Shares of LegalZoom.com stock opened at $5.95 on Wednesday. The stock has a market capitalization of $1.12 billion, a P/E ratio of 54.10, a P/E/G ratio of 2.88 and a beta of 1.10. LegalZoom.com has a 52-week low of $5.33 and a 52-week high of $15.68. The stock’s 50-day simple moving average is $8.67 and its 200 day simple moving average is $10.69.

LegalZoom.com (NASDAQ:LZ) last announced its quarterly earnings results on Tuesday, May 7th. The company reported $0.03 EPS for the quarter, meeting analysts’ consensus estimates of $0.03. LegalZoom.com had a net margin of 3.15% and a return on equity of 19.47%. The company had revenue of $174.21 million for the quarter, compared to analysts’ expectations of $174.87 million. Equities research analysts forecast that LegalZoom.com will post 0.24 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Wellington Management Group LLP boosted its stake in LegalZoom.com by 21.0% in the third quarter. Wellington Management Group LLP now owns 1,198,461 shares of the company’s stock worth $13,111,000 after buying an additional 208,030 shares in the last quarter. Citigroup Inc. boosted its stake in shares of LegalZoom.com by 38.4% in the 3rd quarter. Citigroup Inc. now owns 51,894 shares of the company’s stock valued at $568,000 after purchasing an additional 14,388 shares in the last quarter. Vanguard Group Inc. grew its holdings in shares of LegalZoom.com by 21.0% during the 3rd quarter. Vanguard Group Inc. now owns 12,999,938 shares of the company’s stock valued at $142,219,000 after purchasing an additional 2,257,224 shares during the last quarter. Public Employees Retirement System of Ohio purchased a new position in LegalZoom.com in the 3rd quarter worth $1,753,000. Finally, Legato Capital Management LLC bought a new stake in LegalZoom.com in the fourth quarter worth $889,000. Institutional investors own 81.99% of the company’s stock.

About LegalZoom.com

LegalZoom.com, Inc, together with its subsidiaries, operates an online platform that supports the legal, compliance, and business management needs of small businesses and consumers in the United States. The company's platform offers business formation products, such as limited liability company, incorporation of C and S corporations, nonprofit formations, doing-business-as, corporate changes and filings, business licenses, legal forms, and beneficial ownership information reports; intellectual property products consisting of trademark and patent applications, and copyright registrations; and tax services, including business and personal tax preparations.