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LegalZoom.com (LegalZoom.com) PS Ratio : 3.67 (As of Apr. 27, 2024)


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What is LegalZoom.com PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, LegalZoom.com's share price is $12.48. LegalZoom.com's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $3.40. Hence, LegalZoom.com's PS Ratio for today is 3.67.

The historical rank and industry rank for LegalZoom.com's PS Ratio or its related term are showing as below:

LZ' s PS Ratio Range Over the Past 10 Years
Min: 2.41   Med: 3.54   Max: 9.96
Current: 3.64

During the past 7 years, LegalZoom.com's highest PS Ratio was 9.96. The lowest was 2.41. And the median was 3.54.

LZ's PS Ratio is ranked worse than
82.35% of 1065 companies
in the Business Services industry
Industry Median: 1.08 vs LZ: 3.64

LegalZoom.com's Revenue per Sharefor the three months ended in Dec. 2023 was $0.82. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $3.40.

Warning Sign:

LegalZoom.com Inc revenue per share has been in decline over the past 3 years.

During the past 12 months, the average Revenue per Share Growth Rate of LegalZoom.com was 7.40% per year. During the past 3 years, the average Revenue per Share Growth Rate was -3.30% per year. During the past 5 years, the average Revenue per Share Growth Rate was 15.00% per year.

During the past 7 years, LegalZoom.com's highest 3-Year average Revenue per Share Growth Rate was 57.40% per year. The lowest was -3.30% per year. And the median was 20.45% per year.

Back to Basics: PS Ratio


LegalZoom.com PS Ratio Historical Data

The historical data trend for LegalZoom.com's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

LegalZoom.com PS Ratio Chart

LegalZoom.com Annual Data
Trend Dec10 Dec11 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Get a 7-Day Free Trial - - 4.51 2.44 3.32

LegalZoom.com Quarterly Data
Dec11 Mar12 Jun12 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.44 2.89 3.67 3.27 3.32

Competitive Comparison of LegalZoom.com's PS Ratio

For the Specialty Business Services subindustry, LegalZoom.com's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


LegalZoom.com's PS Ratio Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, LegalZoom.com's PS Ratio distribution charts can be found below:

* The bar in red indicates where LegalZoom.com's PS Ratio falls into.



LegalZoom.com PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

LegalZoom.com's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=12.48/3.404
=3.67

LegalZoom.com's Share Price of today is $12.48.
LegalZoom.com's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $3.40.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


LegalZoom.com  (NAS:LZ) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


LegalZoom.com PS Ratio Related Terms

Thank you for viewing the detailed overview of LegalZoom.com's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


LegalZoom.com (LegalZoom.com) Business Description

Traded in Other Exchanges
Address
101 North Brand Boulevard, 11th Floor, Glendale, CA, USA, 91203
LegalZoom.com Inc is an online provider of services that meet the legal needs of small businesses and consumers in the United States.
Executives
Richard Preece officer: COO and Chief Product Officer 101 NORTH BRAND BOULEVARD, 11TH FLOOR, GLENDALE CA 91203
Nicole Miller officer: General Counsel 101 NORTH BRAND BOULEVARD, 11TH FLOOR, GLENDALE CA 91203
Lucaszoom Llc director, 10 percent owner LUCASZOOM LLC, 3000 SAND HILL ROAD, BUILDING 1, SUITE 1, MENLO PARK CA 94025
Dipan Patel director, 10 percent owner LEGALZOOM.COM, INC., 101 NORTH BRAND BOULEVARD, 11TH FLOOR, GLENDALE CA 91203
Daniel A Wernikoff director, officer: Chief Executive Officer C/O INTUIT INC., 2700 COAST AVENUE, MOUNTAIN VIEW CA 94043
Noel Bertram Watson officer: Chief Financial Officer 400 1ST AVENUE, C/O TRIPADVISOR, INC., NEEDHAM MA 02494
Shrisha Radhakrishna officer: Chief Technology Officer 101 NORTH BRAND BOULEVARD, 11TH FLOOR, GLENDALE CA 91203
Neil Tolaney director TECHNOLOGY CROSSOVER MANAGEMENT, 250 MIDDLEFIELD ROAD, MENLO PARK CA 94025
Sivan Whiteley director 1455 MARKET STREET, SUITE 600, SAN FRANCISCO CA 94103
Elizabeth Hamren director 101 NORTH BRAND BOULEVARD, 11TH FLOOR, GLENDALE CA 91203
Brian Ruder director, 10 percent owner LEGALZOOM.COM, INC., 101 NORTH BRAND BOULEVARD, 11TH FLOOR, GLENDALE CA 91203
Francisco Partners Management, Lp 10 percent owner ONE LETTERMAN DRIVE, BUILDING C, SUITE 410, SAN FRANCISCO CA 94129
Permira V L.p.2 director, 10 percent owner TRAFALGAR COURT, LES BANQUES, ST PETER PORT Y7 GY1 6DJ
Christine T Wang director ONE LETTERMAN DRIVE, BLDG C, STE 410, SAN FRANCISCO CA 94129
Khai Ha director C/O GPI CAPITAL, L.P., 1345 AVENUE OF THE AMERICAS, 32ND FLOOR, NEW YORK NY 10105