Update shared on 07 Nov 2025
Fair value Increased 4.91%Analysts have raised their price target for LegalZoom.com from $11.64 to $12.21. They cited improved profit margin forecasts, even though expectations for revenue growth are slightly lower.
What's in the News
- LegalZoom.com increased its full-year 2025 revenue guidance. The company now expects revenue between $748 million and $752 million, reflecting 10% year-over-year growth at the midpoint (Corporate Guidance).
- The company also released new guidance for the fourth quarter of 2025, projecting revenue in the range of $182 million to $186 million. This represents 14% year-over-year growth at the midpoint (Corporate Guidance).
- LegalZoom.com announced a partnership with Design.com, integrating AI-powered logo creation and trademark protection tools for small businesses directly within the LegalZoom platform (Client Announcements).
- The company launched embedded legal services flow, enabling partners to integrate LegalZoom’s legal services into their platforms. This aims to improve user experience and conversion rates (Product-Related Announcements).
- LegalZoom.com expanded its legal services to include attorney-assisted provisional patent application filings, providing more accessible and affordable patent protection for businesses and inventors (Product-Related Announcements).
Valuation Changes
- The consensus analyst price target has risen slightly, moving from $11.64 to $12.21.
- The discount rate increased marginally, from 6.99% to 7.15%.
- Revenue growth expectations have fallen slightly, from 7.48% to 7.18%.
- Net profit margin has improved significantly, growing from 8.24% to 11.97%.
- The future P/E ratio has fallen considerably, declining from 40.27x to 28.17x.
Disclaimer
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