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LZLegalZoom.com, Inc.Hold5.1·$5.62+0.18%
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LegalZoom.com, Inc. (LZ) Stock Analysis

Falling Knife setup

HoldVALUE-TRAP 1/5Moderate Confidence

Industrials · Specialty Business Services

Hold if already holding. Not a fresh buy at $5.62, but acceptable to hold if already in. Reason: Market cap $0.96B below $1B minimum.

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... Read more

$5.62+31.7% A.UpsideScore 5.1/10#17 of 21 Specialty Business Services
QualityF-score8 / 9FCF yield13.62%
Stop $5.37Target $7.39(analyst − 13%)A.R:R 2.8:1
Analyst target$8.50+51.2%6 analysts
$7.39our TP
$5.62price
$8.50mean
$11

Hold if already holding. Not a fresh buy at $5.62, but acceptable to hold if already in. Reason: Market cap $0.96B below $1B minimum. Chart setup: Death cross, below all MAs, RSI 29, MACD bearish. Market cap $0.96B below $1B minimum. Not in investable universe. Score 5.1/10, moderate confidence.

Passes 7/9 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 58d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA). Suitability: aggressive.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-09
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Aug 6, 202658d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Market cap $0.96B below $1B minimum

Key Metrics

P/E (TTM)93.5
P/E (Fwd)6.8
Mkt Cap$963M
EV/EBITDA26.1
Profit Mgn1.5%
ROE6.8%
Rev Growth12.9%
Beta1.31
DividendNone
Rating analysts17

Quality Signals

Piotroski F8/9MoatWide

Options Flow

P/C7.67bearish
IV66%elevated
Max Pain$18+220.3% vs spot

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 floor-breakers

Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static

Volume
0.0
Obv
1.0
Ma Position
1.0
Macd
2.2
Rsi
3.0
Capitulation risk (RSI 29, below 200MA)Volume distribution (falling OBV)Below 200-MA, MA slope -5.4%/30d — confirmed downtrend

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Surprise Avg
0.0
Earnings Timing
5.0
Erm
6.5
Earnings concerns: 0B/2M

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
2.9
Value Rank
3.4
Growth Rank
8.1
Industry growth leader
GatesMomentum 1.4<4.5Death cross (50MA < 200MA)A.R:R 2.8 ≥ 1.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 58d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARFalling KnifeSuitability: Aggressive
RSI
29 · Oversold
20D MA 50D MA 200D MADEATH CROSSSupport $5.54Resistance $6.76

Price Targets

$5
$7
A.Upside+31.5%
A.R:R2.8:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Market cap $0.96B below $1B minimum
! momentum at 1.4 (below the engine's 4.5 threshold)
! Death cross — 50-day MA below 200-day MA

Earnings

M
M
M
M
0/4 beats
Next Earnings2026-08-06 (58d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is LZ stock a buy right now?

Hold if already holding. Not a fresh buy at $5.62, but acceptable to hold if already in. Reason: Market cap $0.96B below $1B minimum. Chart setup: Death cross, below all MAs, RSI 29, MACD bearish. Market cap $0.96B below $1B minimum. Not in investable universe. Target $7.39 (+31.5%), stop $5.37 (−4.7%), A.R:R 2.8:1. Score 5.1/10, moderate confidence.

What is the LZ stock price target?

Take-profit target: $7.39 (+31.7% upside). Target $7.39 (+31.5%), stop $5.37 (−4.7%), A.R:R 2.8:1. Stop-loss: $5.37.

What are the risks of investing in LZ?

Market cap $0.96B below $1B minimum.

Is LZ overvalued or undervalued?

LegalZoom.com, Inc. trades at a P/E of 93.5 (forward 6.8). TrendMatrix value score: 7.0/10. Verdict: Hold.

What do analysts say about LZ?

17 analysts cover LZ with a consensus score of 3.9/5. Average price target: $9.

What does LegalZoom.com, Inc. do?LegalZoom.com, Inc. together with its subsidiaries, operates an online platform that supports the legal, compliance,...

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; and intellectual property products consisting of trademark and patent applications, and copyright registrations. It also provides consumer, estate planning, and other services comprising last will and testament, living will, living trust, power of attorney, and legal forms. In addition, the company offers subscriptions services, including registered agent, compliance, small business attorney advice through our legal plans, compliance concierge, compliance and legal concierge, reinstatement concierge and compliance concierge, business concierge, business and legal concierge, consumer attorney advice through legal plans, business licenses, virtual mail and check deposit services, estate planning bundle, bookkeeping, e-signature, and trademark monitoring. The company was incorporated in 1999 and is headquartered in Mountain View, California.

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