LegalZoom.com Inc (LZ)vsThomson Reuters Corporation Common Shares (TRI)
LZ
LegalZoom.com Inc
$6.61
+0.46%
INDUSTRIALS · Cap: $1.06B
TRI
Thomson Reuters Corporation Common Shares
$116.09
-0.27%
INDUSTRIALS · Cap: $53.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Thomson Reuters Corporation Common Shares generates 888% more annual revenue ($7.83B vs $792.49M). TRI leads profitability with a 21.2% profit margin vs 2.1%. TRI trades at a lower P/E of 32.3x. TRI earns a higher WallStSmart Score of 65/100 (C+).
LZ
Hold37
out of 100
Grade: F
TRI
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+25.6%
Fair Value
$9.56
Current Price
$6.61
$2.95 discount
Margin of Safety
-46.0%
Fair Value
$61.08
Current Price
$116.09
$55.01 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Large-cap with strong market position
Keeps 21 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 28.3%
Earnings expanding 47.2% YoY
Areas to Watch
Trading at 8.7x book value
Smaller company, higher risk/reward
2.1% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : LZ
The strongest argument for LZ centers on Debt/Equity.
Bull Case : TRI
The strongest argument for TRI centers on Market Cap, Profit Margin, Debt/Equity. Profitability is solid with margins at 21.2% and operating margin at 28.3%. PEG of 1.22 suggests the stock is reasonably priced for its growth.
Bear Case : LZ
The primary concerns for LZ are Price/Book, Market Cap, Profit Margin. A P/E of 68.9x leaves little room for execution misses. Thin 2.1% margins leave little buffer for downturns.
Bear Case : TRI
The primary concerns for TRI are P/E Ratio.
Key Dynamics to Monitor
LZ profiles as a value stock while TRI is a mature play — different risk/reward profiles.
LZ carries more volatility with a beta of 1.21 — expect wider price swings.
TRI is growing revenue faster at 9.5% — sustainability is the question.
TRI generates stronger free cash flow (722M), providing more financial flexibility.
Bottom Line
TRI scores higher overall (65/100 vs 37/100), backed by strong 21.2% margins. LZ offers better value entry with a 25.6% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
LegalZoom.com Inc
INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA
LegalZoom.com, Inc. operates an online platform for legal and compliance solutions in the United States. The company is headquartered in Glendale, California.
Thomson Reuters Corporation Common Shares
INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA
Thomson Reuters Corporation provides business information services in the Americas, Europe, the Middle East, Africa, and Asia Pacific.
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