LegalZoom.com Inc (LZ)vsThomson Reuters Corporation Common Shares (TRI)
LZ
LegalZoom.com Inc
$8.42
+4.21%
INDUSTRIALS · Cap: $1.33B
TRI
Thomson Reuters Corporation Common Shares
$106.34
+2.95%
INDUSTRIALS · Cap: $45.09B
Smart Verdict
WallStSmart Research — data-driven comparison
Thomson Reuters Corporation Common Shares generates 883% more annual revenue ($7.66B vs $779.71M). TRI leads profitability with a 19.9% profit margin vs 1.5%. TRI trades at a lower P/E of 28.2x. TRI earns a higher WallStSmart Score of 60/100 (C+).
LZ
Hold36
out of 100
Grade: F
TRI
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+27.6%
Fair Value
$9.82
Current Price
$8.42
$1.40 discount
Margin of Safety
-52.5%
Fair Value
$58.50
Current Price
$106.34
$47.84 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Strong operational efficiency at 30.3%
Conservative balance sheet, low leverage
Areas to Watch
Trading at 9.9x book value
Smaller company, higher risk/reward
ROE of 7.8% — below average capital efficiency
1.5% margin — thin
Moderate valuation
Comparative Analysis Report
WallStSmart ResearchBull Case : LZ
The strongest argument for LZ centers on Debt/Equity. Revenue growth of 12.9% demonstrates continued momentum.
Bull Case : TRI
The strongest argument for TRI centers on Operating Margin, Debt/Equity. Profitability is solid with margins at 19.9% and operating margin at 30.3%. PEG of 1.32 suggests the stock is reasonably priced for its growth.
Bear Case : LZ
The primary concerns for LZ are Price/Book, Market Cap, Return on Equity. A P/E of 128.7x leaves little room for execution misses. Thin 1.5% 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 1.31 — expect wider price swings.
LZ is growing revenue faster at 12.9% — sustainability is the question.
TRI generates stronger free cash flow (349M), providing more financial flexibility.
Bottom Line
TRI scores higher overall (60/100 vs 36/100), backed by strong 19.9% margins. LZ offers better value entry with a 27.6% 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.
Compare with Other SPECIALTY BUSINESS SERVICES Stocks
Want to dig deeper into these stocks?