Why LegalZoom Stock Was Rocketing Higher This Week
LegalZoom (NASDAQ: LZ) stock, which has rarely been much of an outperformer on the market, did very well over the past few trading days. On news of solid quarterly performance, investors piled into the stock. This left it with an outsize gain in price of over 27% week to date as of Friday before market open, according to data compiled by S&P Global Market Intelligence.
Those quarterly results that so pleased the market were published after trading hours on Wednesday. LegalZoom earned revenue of $168.6 million, which was 1% higher year over year. The two components of the company's top line went in different directions, with subscription revenue rising 5% to $110.7 million, and transaction revenue dropping 7% to $57.9 million. Analysts tracking LegalZoom were estimating total revenue of $167.5 million.
The company managed more impressive growth on the bottom line, with non-GAAP (adjusted) net income flying 27% higher to $29.7 million. On a per-share basis this shook out to $0.17, again topping the average pundit projection ($0.15, in this case).
Source Fool.com
