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41

LZ

๐Ÿญ Industrials

LegalZoom.com, Inc.

Conservative #834Aggressive #1117Moderate Risk
$7.01+7.02%
Day High$7.17
Day Low$6.63
Volume3.8M
Mkt Cap$1.2B
52W Low $652W High $12
Market Cap
$1.2B
P/E Ratio
75.5
Sector avg: 49.9
Rev Growth
10.9%
Sector avg: 19.0%
Earnings Growth
-48.5%
Profit Margin
2.0%
Sector avg: -48.2%
Debt/Equity
0.08

Why This Score

LZ scores 42.2 on the Conservative profile, blending a fundamental score (80% weight, emphasizing quality and stability (84% of fundamental weight)) with a machine-learning signal (20% weight) trained on 82 features across 30 years of data.

Strengths
  • Minimal leverage (D/E 0.08) provides financial flexibility and downside protection.
  • High conviction (88/100) โ€” fundamental and ML signals agree on this stock.
Risk Factors
  • Elevated valuation at 75.5x earnings โ€” requires sustained growth to justify the premium.
  • Above-average volatility (13.9%) may not suit conservative risk tolerance.

Minor adjustments (-0.3 points) applied. LZ's rank of #834 primarily reflects its factor profile relative to the conservative weight vector.

Score Breakdown

Overall Score42.2
Fundamental Score41.9
ML Score25.0

Score by Horizon

3 Month
56.2
6 Month
62.8
Primary
1 Year
66.1

Quality Assessment

D
Quality Grade
Below average quality โ€” weak profitability or high leverage
1 quality flag detected โ€” see details below. These penalties are already factored into the final score.
Quality Flags
High accrual ratio (-1055.1%) โ€” earnings quality concern

Position Sizing

Suggested Allocation
5%
Confidence
high

Score Composition Waterfall

How each component affects the final score
Backtested Scoring Levers (IC-calibrated from 30y ElasticNet)
Weinstein (12.1%)
50
Basing
Sentiment (2.5%)
41
Neutral
Analyst (6.4%)
56
Neutral
Tradability (post-hoc)
85
Grade A
Base
38.5
SHAP
+1.3
Factors
+1.0
Conviction
+1.6
Divergence
-0.3
Final
42.2
Positive adjustment
Negative adjustment
Base blend
Final score

Factor Breakdown

47AVG
Value13
Quality32
Growth31
Stability67
Investment90

Signal SegmentsComputed from ML features

Fundamental (Valuation, Quality, Growth)34.0
Technical (Momentum, Weinstein, Volatility)35.0
External (Sentiment, Analyst, Macro)74.0
Scores below 50 indicate weakness in that segment relative to the universe.

Data Quality

Score
Features
Confidence
Feature Coverage89%

Growth Estimates

Short-term
-1.1% to +3.0%
Medium-term
-1.2% to +5.1%
Long-term
-1.2% to +7.2%

ML Model Core Features100 trained inputs โ†’ ML Score: 25

These features are direct inputs to the machine learning model. The model was trained on these signals alongside 100 features (including 12 momentum/technical indicators) to produce the ML percentile score.

Analyst Intelligence
Consensus Score56.3/100
Target Upside+30.4%
Coverage12 analysts
Market Sentiment
Sentiment Score41.4/100
News Volume1 articles
Technical Stage
Weinstein Stage1 โ€” Basing
12M Momentum-0.3%
6M Momentum-0.4%
Volatility+0.1%
Momentum & Technical
Momentum Acceleration+5.6%
Momentum ConsistencyStrong (0.85)
Relative Strength vs Sector-43.0%
Trend Strength (ADX Proxy)Moderate (2.3)
Momentum Quality-0.201
Momentum BreadthNarrow
Macro Regime
Bull RegimeYes
High Vol RegimeNo
S&P 500 Return+25.0%
Yield Curve-0.1bp

Sector-Relative AnalysisIn-model features

Value Trap Signal
2%
Low risk
Sector RevGr Rank
P69
Revenue growth vs Industrials peers
Sector PE Rank
P8
Valuation vs Industrials peers
Sector FCF Rank
P92
Free cash flow vs Industrials peers
Growth Deviation
+0.1ฯƒ
Z-score vs sector median
Stagnation Flag
NO
Not flagged

Analysis Signals

Scoring Factors
Fundamental score of 42 relative to sector peers42/100
Machine learning ensemble ranks this stock at the 25th percentileP25
Blended score: 80% fundamental (42) + 20% ML (25) = 38.538.5
Risk assessment: low. Low vol 0.1%; Drawdown 38% โ†’ 0.0ptLow
Earnings quality grade D: weak earnings quality, multiple concerns. Score adjusted by 0 pointsGrade D
SHAP feature alignment: +1.3pt (features align with model priorities)SHAP
Conviction adj: +1.6pt (conviction=N/A)Conviction
Divergence penalty: -0.3pt (ML 17pt lower)Divergence
Risk Factors
Quality concern: High accrual ratio (-1055.1%) โ€” earnings quality concernFlag

Sector Peer Comparison(Industrials โ€” Rank #84 of 135 stocks)

StockScoreP/ERev GrowthMarginMkt Cap
LZ42.275.510.9%2.0%$1.2B
FER84.112.27.4%35.3%$52.6B
NDSN77.235.13.8%17.4%$16.2B
OMAB76.420.14.3%32.7%$6.1B
ODFL76.339.8-0.9%20.4%$40.8B
FAST73.142.68.7%15.3%$51.7B
CSX71.526.5-3.1%20.5%$78.9B
WWD71.347.87.3%12.4%$23.0B
LECO71.331.5-4.4%11.6%$15.6B
PCAR71.028.2-4.2%12.4%$65.1B
CTAS70.841.97.7%17.5%$80.3B
RYAAY69.913.03.8%11.6%$36.1B
CPRT69.523.09.7%33.4%$35.6B
FELE69.335.5-2.1%8.9%$4.3B
NSSC68.934.5-3.8%24.7%$1.7B
AEIS68.081.221.4%8.3%$12.3B
Sector Average45.849.919.0%-48.2%โ€”

Company Overviewvia FMP

LegalZoom.com, Inc. operates an online platform for legal and compliance solutions in the United States. The company's platform offers products and services, including business formations, creating estate planning documents, protecting intellectual property, completing certain forms and agreements, providing access to independent attorney advice, and connecting customers with experts for tax preparation and bookkeeping services. It serves small businesses and individuals. LegalZoom.com, Inc. was incorporated in 1999 and is headquartered in Glendale, California.

CEO
Jeffrey Stibel
Employees
964
Beta
1.22
Industry
Specialty Business Services
FMP-Identified Peers

Technical Picturecomputed from daily prices

RSI (14)
39.0
Neutral
Trend
Bearish
10-day vs 50-day MA
From 52W High
-43.5%
High: $12.4
From 52W Low
+14.2%
Low: $6.14
Moving Averages
10-Day
$6.70
Above
20-Day
$7.40
Below
50-Day
$8.80
Below
200-Day
$9.50
Below
60-Day Support
$6.14
60-Day Resistance
$10.51
Weinstein Stage Analysisbased on 200-day SMA framework
Stage 1 โ€” BasingScore: 32/100

Stock is building a base after a decline. The 200-day moving average is flattening. Watch for a breakout above the 200-day SMA on increased volume.

Monitor for breakout above 200-day SMA on volume
Transition signal: 1โ†’2
Price vs 200 SMA
-26.2%
200 SMA Slope (60d)
+1.44%
Flattening
Volume Ratio
1.15x
10d avg vs 50d avg
Days in Stage
30
Confidence: 80%
Recent Gap Up

Financial Statementslast 4 quarters via FMP

MetricQ4 2025Q3 2025Q2 2025Q1 2025
Revenue$190M$190M$193M$183M
Gross Profit$129M$128M$125M$117M
Operating Income$14M$6M$-3M$9M
Net Income$6M$5M$-266,000$5M
EPS (Diluted)$0.03$0.02$-0.00$0.03
Gross Margin67.6%67.3%65.0%63.7%
Operating Margin7.3%3.4%-1.6%4.9%
Net Margin3.2%2.4%-0.1%2.8%

Why This Stock

IndustrialsRevenue growth 10.9%Valuation below sector median (P/E 75.5)

Tradability FilterGrade A โ€” 85/100Score impact: -5.2pt

Volume
100
2.8M avg/day
Dollar Vol
75
$18M/day
Float
100
119M shares
Mkt Cap
42
$1.2B
Range
100
102% spread
Composite Liquidity Score85/100
FDCBA

Multi-Year Range Analysis

Sideways: 0/100
YearLowHighRangeStatus
2021$15.01$40.9492.7%Wide
2022$7.37$17.3680.8%Wide
2023$6.89$15.6877.9%Wide
2024$5.33$13.7488.2%Wide
2025$6.47$12.4062.9%Wide
3-Year Range
98.5%
Narrow Years
0 / 5
Sideways Penalty
None

Growth Projection Adjustment

0.7x dampening
weinstein basing

Growth estimates have been dampened based on technical and fundamental signals. This is a post-hoc adjustment to prevent overly optimistic projections for stocks showing declining momentum or deteriorating fundamentals.

Free Float
67.2%
Outstanding Shares
177M
Bid-Ask Spread
102.0%
Institutional Tradable
Yes

Scores are generated by a multi-stage ML pipeline combining fundamental analysis, ensemble predictions, and structural risk signals. All data is for research purposes only and does not constitute financial advice. Past performance does not guarantee future results.