LegalZoom AI Price Prediction

The valuation is rich relative to current earnings, with a high P/E ratio of 86.5 on modest EPS of 0.12, implying the market is pricing in substantial future growth. Without detailed revenue and margin history, the data suggests a company that is profitable but still in an early or scaling phase where earnings are not yet robust. Overall, the financial picture leans toward a growth story that must continue to execute to justify its valuation.

• High P/E ratio of 86.5 on EPS of 0.12 indicates the stock is priced for strong future growth rather than current earnings strength.
• Positive EPS confirms the business is profitable, but the low absolute earnings level leaves limited margin for execution missteps.
• Given the elevated multiple, any slowdown in revenue growth or margin expansion could pressure the stock, keeping the financial outlook more neutral than clearly bullish.

At $10.38, the stock trades modestly above its 200-day moving average of $9.45, suggesting a slight longer-term uptrend despite only a 3% gain over the last month. The RSI at 31.95 is near oversold territory, implying recent selling pressure and the potential for a technical bounce rather than clear momentum. Overall, the technical setup is mixed: mildly constructive versus the 200-day average but weak in near-term momentum.

• Price of $10.38 is above the 200-day moving average of $9.45, a mildly positive long-term technical signal indicating the broader trend is not broken.
• RSI at 31.95 is close to the oversold threshold (30), suggesting recent weakness and the possibility of a short-term rebound, but not yet a strong uptrend.
• Only a 3% rise over the last month points to subdued momentum, aligning more with a consolidation phase than a strong bullish breakout.

Website traffic of roughly 1.96 million monthly visitors and 5,000 daily app downloads indicate a solid and active user funnel, but app downloads are flat month over month, pointing to stable rather than accelerating demand. Job openings are up 6% MoM, a modestly positive sign of investment and growth, while social media metrics show a mixed but generally steady presence with small gains on some platforms and slight declines on others. Overall, alternative data suggests a stable business with incremental growth signals, but not clear evidence of a strong inflection.

• Web traffic at ~1.96 million monthly visitors and 5,000 daily app downloads shows a healthy digital footprint, but 0.0% MoM growth in downloads implies no recent acceleration in user acquisition.
• Job openings at 53, up 6% MoM, suggest ongoing hiring and investment in operations or growth initiatives, a modestly positive indicator for future activity.
• Social media following is broadly stable with minor increases on Instagram, YouTube, and LinkedIn and slight declines on Twitter/X and TikTok, indicating steady brand presence but no breakout engagement trend.

Taken together, LegalZoom’s high valuation multiple, modest but positive profitability, mixed technical picture, and largely stable alternative data support a neutral stance. The stock appears priced for continued growth, yet current signals point more to steady execution than to a clear upside or downside inflection. Future performance will hinge on whether revenue and earnings growth can accelerate enough to justify the elevated P/E.

• The combination of a high P/E, modest earnings, and stable but not rapidly accelerating demand indicators supports a neutral rather than clearly bullish or bearish view.
• Investors will likely focus on upcoming revenue and margin trends to determine whether the current growth expectations embedded in the valuation are achievable or need to be revised.