Stock events for LegalZoom.com, Inc. (LZ)
LegalZoom.com, Inc. (LZ) stock has experienced fluctuations over the past six months. The stock was down 36% over the preceding six months as of March 4, 2026. On July 9, 2024, the company announced the departure of its CEO and reduced its 2024 revenue guidance, leading to a 25% drop in share price. On February 19, 2026, LegalZoom reported strong fourth-quarter and full-year 2025 financial results and announced a $100 million increase to its share repurchase authorization. Despite positive financial results, the stock has faced pressure due to market fears regarding AI's potential to disrupt legal services.
Demand Seasonality affecting LegalZoom.com, Inc.’s stock price
LegalZoom.com, Inc. experiences demand seasonality for its products and services, aligning its marketing investments with peak formation seasonality. A survey conducted by LegalZoom in January 2026 revealed a rising interest in entrepreneurship among underemployed adults, suggesting a sustained interest in starting businesses and seeking legal assistance during uncertain economic times.
Overview of LegalZoom.com, Inc.’s business
LegalZoom.com, Inc. (LZ) is an online platform that helps individuals and small businesses navigate the legal system in the United States. It operates within the Internet Services sector, providing legal and business services through technology and access to attorneys. The company offers services for small businesses, including business formation, intellectual property protection, compliance, tax advice, business licenses, accounting, virtual mailbox, and e-signature solutions. Consumer offerings focus on estate planning, including wills, trusts, and healthcare directives.
LZ’s Geographic footprint
LegalZoom.com, Inc.'s primary geographic footprint is the United States, providing its legal services across all 50 states.
LZ Corporate Image Assessment
LegalZoom's brand reputation has seen both positive developments and challenges in the past year. The company is recognized for transforming how people navigate the legal system and has pursued strategic partnerships and technological advancements, including a partnership with Design.com and an enterprise deal with OpenAI. However, the abrupt departure of its CEO in July 2024, coupled with reduced financial guidance, led to investor scrutiny and an investigation. The legal vertical, including LegalZoom, is perceived to face a high risk of AI disintermediation, contributing to negative sentiment.
Ownership
LegalZoom.com, Inc. has a diverse ownership structure comprising institutional, retail, and individual investors. As of December 2025, 48.52% to 81.99% of the company's stock is held by institutional investors, while insiders hold around 5.90% to 6.57%, and public companies and individual investors own between 19.94% and 24.98%. Major institutional shareholders include Francisco Partners Management, LP, Vanguard Group Inc, Technology Crossover Management IX, Ltd., and BlackRock, Inc.
