LZ
LegalZoom.com, Inc.
LZ's fundamentals are strong and it looks cheap: trading at 41x earnings, below its usual 70x. Analysts expect earnings growth.
LZ Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Healthy | |
| Healthy | |
| Weak |
LZ's profitability and cash flow are currently healthy, and its revenue is stable, but its balance sheet is weak.
LZ PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 6.9x | $4.89 | — |
| Current | 41x | $4.89 | — |
| Cheap | 60x | $7.19 | +47% |
| Fair | 70x | $8.40 | +72% |
| Expensive | 129x | $15.53 | +218% |
Historical ranges are pointers, not guarantees.
LZ's PE is in its cheap range at 41x. If earnings grow as analysts expect, today's price would be 6.9x next year's earnings.
LZ Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Growth | |
| Stable | |
| Improving | |
| Limited | |
| Moderate |
Analysts expect LZ's earnings to grow and its profitability to improve, with its revenue holding steady.
LZ Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $0.71 | +494% |
| Q3 2026 | $0.12 | 0% |
| Q2 2026 | $0.09 | -44% |
| Q1 2026 | $0.06 | -65% |
| Q4 2025 | $0.08 | -50% |
| Q3 2025 | $0.12 | 0% |
| Q2 2025 | $0.16 | +60% |
| Q1 2025 | $0.17 | +70% |
| Q4 2024 | $0.16 | +129% |
LZ's earnings per share have fallen from their peak: $0.12 over the past year, against $0.17 in early 2025.
LZ Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $195.1M | +2.6% |
| Q2 2026 | $205.3M | +6.6% |
| Q1 2026 | $206.8M | +13% |
| Q4 2025 | $190.3M | +18% |
| Q3 2025 | $190.2M | +13% |
| Q2 2025 | $192.5M | +8.5% |
| Q1 2025 | $183.1M | +5.1% |
| Q4 2024 | $161.7M | +1.9% |
LZ's revenue has grown year over year every quarter since late 2020: $195M last quarter, up 2.6% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 6.9% | +3.5 points |
| Q2 2026 | 5.2% | +6.8 points |
| Q1 2026 | 1.3% | -3.6 points |
| Q4 2025 | 6.6% | -1.5 points |
| Q3 2025 | 3.4% | -6.2 points |
| Q2 2025 | -1.6% | -2.3 points |
| Q1 2025 | 4.9% | +2 points |
| Q4 2024 | 8.1% | +3.8 points |
LZ's operating margin was 6.9% last quarter, up 3.5 points from the same quarter a year ago.
LZ Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $34.1M | -27% |
| Q2 2026 | $33.7M | +6.6% |
| Q1 2026 | $41M | -0.8% |
| Q4 2025 | $28M | -22% |
| Q3 2025 | $47M | +114% |
| Q2 2025 | $31.6M | +82% |
| Q1 2025 | $41.3M | +67% |
| Q4 2024 | $35.9M | +154% |
LZ generated $137M in free cash flow over the past year, down 12% from the year before.
LZ Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -1.6% | -2.7M shares |
| 1 year | -9.5% | -17.8M shares |
| 3 years | -14% | -28.5M shares |
| 5 years | -14% | -27.4M shares |
| Available history | +35% | +43.5M shares |
LZ has 169M diluted shares, down 9.5% from a year ago, with $146M in buybacks over the past year.
| Quarter | Spent |
|---|---|
| Q3 2026 | $14.2M |
| Q2 2026 | $45.5M |
| Q1 2026 | $43.5M |
| Q4 2025 | $42.9M |
| Q3 2025 | $17.2M |
| Q2 2025 | $20.4M |
| Q1 2025 | — |
| Q4 2024 | $3.1M |
LZ spent $146M buying back its own shares over the past year, about four times what it spent the year before.
LZ Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q2 2021 | 13.0x | High |
| Q1 2021 | 6.2x | High |
| Q4 2020 | 5.9x | High |
LZ's net debt is about 13 years of its operating earnings (EBITDA).
LZ Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 38.6 | Neutral |
| Stochastic | 20.9 | Neutral |
LZ's weekly RSI is 39 (neutral) and its Stochastic is 21 (neutral).
LZ PE vs Industrials Sector
| Metric | LZ | Sector median | Relative |
|---|---|---|---|
| PE | 41x | 24x | 70% above |
| PE % | 0 | 62 | 62 pts below |
LZ is trading at 41x earnings, a 70% premium to the Industrials sector's median of 24x.
LZ Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $5.89 | 17% below |
| 20 week MA | $6.28 | 22% below |
| 50 week MA | $6.87 | 29% below |
| 100 week MA | $8.03 | 39% below |
| 200 week MA | $8.93 | 45% below |
LZ is in a downtrend: it's below all five of its weekly moving averages, and 45% below its 200-week average.
LZ Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2021 | $38.9 | $16.1 | -59% |
| 2022 | $16.1 | $7.72 | -52% |
| 2023 | $7.72 | $11.3 | +46% |
| 2024 | $11.3 | $7.82 | -31% |
| 2025 | $7.82 | $10.1 | +29% |
| 2026 YTD | $10.1 | $4.89 | -51% |
LZ has finished lower in three of the last five years. It's down 51% so far in 2026.