Discontinuation of Coverage

Research evidence excerpt

Discontinuation of Coverage

Update

July 31, 2026 09:30 PM GMT

Morgan Stanley & Co. LLCMLegalZoom.com Inc | North America Elizabeth Porter, CFA

Equity Analyst

Discontinuation of Coverage Elizabeth.E.Porter@morganstanley.comLucas Cerisola +1 212 761-3632

Research Associate

Lucas.Cerisola@morganstanley.com +1 212 761-9194

Effective immediately, we are discontinuing coverage of LZ due

to a reallocation of resources. All prior research should no LegalZoom.com Inc (LZ.O, LZ US)

longer be relied upon. Software | United States of America

Stock Rating Underweight

Industry View Attractive

Final Ratings Summary Price target $6.50

Shr price, close (Jul 30, 2026) $7.86

LegalZoom.com (LZ): Our final rating is Underweight with a $6.50 PT. Mkt cap, curr (mm) $1,468

52-Week Range $12.40-5.22

LegalZoom.com's business model is to attract customers at the time of business

Fiscal Year Ending 12/24 12/25e 12/26e 12/27e

formation and then continue to serve their legal and compliance needs for life with a

EPS ($)** 0.55 0.62 0.72 0.88

mix of transaction and subscription services, including 1) DIY and do-it-for-me

Prior EPS ($)** - - - -

solutions for the automation of complex legal processes, 2) a subscription service P/E 10.6 12.1 7.6 6.8

EPS ($)§ 0.52 0.63 0.74 0.84

for maintaining compliance with legal / regulatory mandates and non-legal business Div yld (%) 0.0 0.0 0.0 0.0

operations (e-signature, tax), and 3) a network of lawyers to assist small businesses

Unless otherwise noted, all metrics are based on Morgan Stanley ModelWare

with legal advice when needed. Given increasing competition in the customer framework

** = Based on consensus methodology

acquisition channel of business formations, lapping of acquisition benefits, and § = Consensus data is provided by Refinitiv Estimates