When you have a complicated legal document to fill out, who you gonna' call? LegalZoom is probably on that list. The Relative Strength (RS) Rating for LegalZoom.com jumped to a higher percentile Tuesday, with a rise from 78 to 82. LegalZoom stock rose sharply Tuesday afternoon.
LegalZoom Stock Ratings Excellent
Although the company is small cap with about $650 million annual sales, it boasts some high ratings. LegalZoom has a near-best 98 Earnings Per Share Rating out of 99. Additionally, LegalZoom stock has a 91 Composite Rating and a C+ Accumulation/Distribution Rating. The C+ rating shows that big money investors like ETFs and mutual funds are buying slightly more of its shares than selling.
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The raised 82 RS Rating shows that LegalZoom stock topped 82% of stocks, regardless of industry group, for price performance this past year. Market research shows that stocks that go on to make the biggest gains typically have an RS Rating of at least 80 in the early stages of their moves.
The number of funds holding LegalZoom shares rose from 188 last December to 282 in the September-ended quarter, the latest for which figures are available.
Earnings grew 200% last quarter, to 12 cents per share. That was up from 100% growth in the prior report, and the company reported 400% and 333% EPS growth the two quarters before that. Revenue growth also quickened last quarter, from 4% the prior stanza to 8%, or $167.3 million.
Shares Soaring, But From Deep Bottom
LegalZoom went public in June 2021 and traded as high as 40.94 shortly after that. From there it nose-dived amid the Covid pandemic. It bottomed at 6.89 a share on May 5 this year. From there it's soared about 62% and traded at about 11.16 Tuesday afternoon. See if the stock goes on to form a chart pattern that could ignite a fresh run.
The company earns the No. 8 rank among its peers in the 77-stock Internet-Content industry group. Pinterest and Alphabet are also among the group's highest-rated stocks.
When looking for the best stocks to buy and watch, a stock's relative price strength vs. other stocks is a good indicator.
IBD's proprietary Relative Strength Rating measures market leadership with a 1 (worst) to 99 (best) score. The rating shows how a stock's price movement over the trailing 52 weeks compares to all the other stocks in our database.
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