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What Analyst Projections for Key Metrics Reveal About LegalZoom (LZ) Q4 Earnings

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The upcoming report from LegalZoom (LZ - Free Report) is expected to reveal quarterly earnings of $0.16 per share, indicating an increase of 23.1% compared to the year-ago period. Analysts forecast revenues of $160.26 million, representing an increase of 1% year over year.

The consensus EPS estimate for the quarter has undergone a downward revision of 5.9% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.

Given this perspective, it's time to examine the average forecasts of specific LegalZoom metrics that are routinely monitored and predicted by Wall Street analysts.

The combined assessment of analysts suggests that 'Revenue- Subscription' will likely reach $110.78 million. The estimate indicates a change of +3.8% from the prior-year quarter.

The consensus among analysts is that 'Revenue- Transaction' will reach $49.48 million. The estimate indicates a change of -4.7% from the prior-year quarter.

The consensus estimate for 'Number of subscription units' stands at 1,723. Compared to the current estimate, the company reported 1,545 in the same quarter of the previous year.

Based on the collective assessment of analysts, 'Average Order Value' should arrive at $211.02. Compared to the current estimate, the company reported $242 in the same quarter of the previous year.

The average prediction of analysts places 'Number of Transactions units' at 235. The estimate is in contrast to the year-ago figure of 215.

It is projected by analysts that the 'Number of business formations' will reach 107. Compared to the present estimate, the company reported 113 in the same quarter last year.

View all Key Company Metrics for LegalZoom here>>>

Over the past month, shares of LegalZoom have returned -1% versus the Zacks S&P 500 composite's -1.8% change. Currently, LZ carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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