For the quarter ended December 2025, LegalZoom (LZ) reported revenue of $190.27 million, up 17.7% over the same period last year. EPS came in at $0.17, compared to $0.19 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $184.33 million, representing a surprise of +3.22%. The company delivered an EPS surprise of -7.61%, with the consensus EPS estimate being $0.18.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how LegalZoom performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Average revenue per subscription unit (ARPU) at period end: $0.27 million compared to the $0.26 million average estimate based on three analysts.
- Subscription units at period end: 1,939 versus the three-analyst average estimate of 1,969.
- Average order value (AOV): $248.00 versus the three-analyst average estimate of $244.10.
- Transaction units: 239 versus the three-analyst average estimate of 243.
- Business formations: 112 compared to the 108 average estimate based on two analysts.
- Revenue- Subscription: $130.95 million versus the three-analyst average estimate of $125.44 million. The reported number represents a year-over-year change of +20.4%.
- Revenue- Transaction: $59.32 million versus $59.3 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +12% change.
View all Key Company Metrics for LegalZoom here>>>
Shares of LegalZoom have returned -17.9% over the past month versus the Zacks S&P 500 composite's -0.8% change. The stock currently has a Zacks Rank #5 (Strong Sell), indicating that it could underperform the broader market in the near term.
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LegalZoom.com, Inc. (LZ): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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