Why LegalZoom Stock Rocketed 25% Higher Today
LegalZoom (NASDAQ: LZ) stock was a hot item on the market Wednesday. The legal services and advisory company's share price zoomed 25% higher on the day thanks to quarterly results that put a giant smile on investors' faces.
LegalZoom took the wraps off its first quarter following the close of the market on Tuesday. It revealed that its total revenue was just under $166 million for the period, representing a 7% year-over-year improvement. Of the company's two key income streams, subscriptions were the motor of this growth. They came in at over $97 million, for a 15% rise. Transaction revenue, by contrast, sank 5% to a shade over $62 million.
As for profitability, according to non-GAAP (adjusted) standards, LegalZoom flipped into the black on the bottom line. It booked a net income of slightly under $14 million ($0.07 per share), quite an improvement from the first quarter 2022 loss of $5.4 million.
Source Fool.com
