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

Core Insights - LegalZoom (LZ) is expected to report quarterly earnings of $0.16 per share, reflecting a 23.1% increase year-over-year, with revenues projected at $160.26 million, a 1% increase from the previous year [1]. Earnings Estimates - The consensus EPS estimate has been revised down by 5.9% in the last 30 days, indicating a reassessment by analysts [2]. - Changes in earnings estimates are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate revisions and short-term stock performance [3]. Revenue Projections - Analysts estimate 'Revenue- Subscription' to reach $110.78 million, a 3.8% increase from the prior year [5]. - The consensus for 'Revenue- Transaction' is $49.48 million, indicating a 4.7% decrease from the previous year [5]. Key Metrics - The estimated 'Number of subscription units' is 1,723, up from 1,545 in the same quarter last year [5]. - The 'Average Order Value' is projected at $211.02, down from $242 in the same quarter last year [6]. - Analysts predict 'Number of Transactions units' to be 235, an increase from 215 year-over-year [6]. - The 'Number of business formations' is expected to be 107, down from 113 in the same quarter last year [6]. Stock Performance - Over the past month, LegalZoom shares have returned -1%, compared to the Zacks S&P 500 composite's -1.8% change, with a current Zacks Rank of 3 (Hold) [7].