
Legalzoom.com (LZ) Stock Forecast & Price Target
Legalzoom.com (LZ) Analyst Ratings
Bulls say
LegalZoom.com Inc demonstrates a stable yearly retention rate of 63% as of December 2024, indicating strong customer loyalty and consistent demand for its services. The company's successful strategy of bundling offerings, particularly in e-signature, accounting solutions, and compliance subscriptions, is driving the growth of subscription units and enhancing upsell opportunities. Furthermore, LegalZoom's strategic positioning as the preferred initial service for one-third of its business formation customers underlines its competitive advantage in the market for legal and compliance services.
Bears say
The analysis of LegalZoom.com Inc. reveals a concerning trend in its business formation metrics, with a projected 5.5% year-over-year decline in Q1 2025 amidst broader adverse market conditions, including an 18% year-over-year drop in traffic to major business registration websites. The company's website visits have also decreased significantly, by approximately 23% year-over-year, reflecting decreasing consumer engagement and potential challenges in sustaining its market presence. Additionally, risks associated with a heavy reliance on small-to-medium business clients, coupled with increasing advertising investments and a revenue model dependent on business formation growth, further underpin a negative outlook for LegalZoom's stock performance.
This aggregate rating is based on analysts' research of Legalzoom.com and is not a guaranteed prediction by Public.com or investment advice.
Legalzoom.com (LZ) Analyst Forecast & Price Prediction
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