LZ

LegalZoom.com Inc.

Consumer, TMT


Presented:03/29/2022
Price:$14.37
Cap:$2.85B
Current Price:$6.79
Cap:$1.19B

Presented

Date03/29/2022
Price$14.37
Market Cap$2.85B
Ent Value$2.94B
P/E RatioN/A
Book Value$1.00
Div Yield0%
Shares O/S198.42M
Ave Daily Vol1,337,677
Short Int7.22%

Current

Price$6.79
Market Cap$1.19B
LegalZoom.com, Inc. engages in the provision of online legal solutions and services. Its products and services include attorney advice, wills, trusts, and family, and business. The company was founded by Brian P. Y. Liu, Brian S. Lee, Edward R. Hartman, and Robert Leslie Shapiro in July 1999 and is headquartered in Glendale, CA.

Publicly traded companies mentioned herein: GoDaddy Inc (GDDY), Intuit Inc (INTU), Legalzoom.com Inc (LZ)

Highlights

The presenter is long shares of Legalzoom.com Inc (LZ), which is the category leader for online legal services. LZ’s solutions are geared toward small businesses, primarily helping with business formations (i.e., LLCs and corporations), via a fast and easy to use offering that costs a fraction of traditional attorney fees. There is a transactions business and a subscriptions business; the subscriptions segment is outgrowing transactions and will drive a powerful mix shift that improves the business’s overall growth and margin profile. As that story plays out, the presenter expects its multiple to rerate in line with 20%+ growers and double the stock price, which would represent a recovery to its $28 IPO price. 

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Idea Discussion

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