GoDaddy (NYSE:GDDY) Shares Gap Down on Analyst Downgrade

Shares of GoDaddy Inc. (NYSE:GDDY) gapped down prior to trading on Wednesday after Wells Fargo & Company lowered their price target on the stock from $145.00 to $77.00. The stock had previously closed at $92.30, but opened at $76.89. Wells Fargo & Company currently has an equal weight rating on the stock. GoDaddy shares last traded at $77.1690, with a volume of 2,056,150 shares trading hands.

GDDY has been the topic of several other reports. B. Riley Financial decreased their target price on shares of GoDaddy from $225.00 to $215.00 and set a “buy” rating on the stock in a report on Friday, October 31st. Royal Bank Of Canada set a $70.00 target price on GoDaddy in a research note on Wednesday, January 7th. Benchmark decreased their price target on GoDaddy from $240.00 to $210.00 and set a “buy” rating on the stock in a research note on Monday. Citigroup dropped their price objective on GoDaddy from $214.00 to $195.00 and set a “buy” rating for the company in a research report on Friday, October 31st. Finally, JPMorgan Chase & Co. decreased their target price on GoDaddy from $222.00 to $200.00 and set an “overweight” rating on the stock in a research report on Friday, October 31st. One analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and seven have given a Hold rating to the company. According to MarketBeat.com, GoDaddy presently has an average rating of “Moderate Buy” and an average target price of $153.50.

Insider Buying and Selling

In other GoDaddy news, CFO Mark Mccaffrey sold 3,317 shares of the company’s stock in a transaction that occurred on Tuesday, December 2nd. The shares were sold at an average price of $127.94, for a total value of $424,376.98. Following the completion of the transaction, the chief financial officer directly owned 66,816 shares in the company, valued at approximately $8,548,439.04. This represents a 4.73% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Amanpal Singh Bhutani sold 6,932 shares of GoDaddy stock in a transaction on Tuesday, December 2nd. The stock was sold at an average price of $127.94, for a total transaction of $886,880.08. Following the transaction, the chief executive officer owned 399,133 shares in the company, valued at approximately $51,065,076.02. This trade represents a 1.71% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 13,615 shares of company stock worth $1,743,102 in the last ninety days. Company insiders own 0.70% of the company’s stock.

Key Headlines Impacting GoDaddy

Here are the key news stories impacting GoDaddy this week:

• Positive Sentiment: Q4 EPS beat and profit improvement — GoDaddy reported $1.80 EPS (above consensus) with revenue roughly in line and operating profit and net income up year-over-year, which supports near‑term earnings strength. Read More.
• Positive Sentiment: Salesforce/MuleSoft integration — GoDaddy announced integration with Salesforce’s MuleSoft Agent Fabric (AI agent discovery/identity), a strategic partnership that could accelerate enterprise AI adoption and product distribution over time. Read More.
• Neutral Sentiment: Analyst support remains mixed but includes buys — several firms still carry Buy/Overweight ratings and there are a range of price targets (median near $145), showing divergent views on upside vs. near-term risk. Read More.
• Neutral Sentiment: Earnings call and detail reads — Call transcript and metric breakdowns are available for investors who want granular guidance and margin commentary. These may clarify management’s cadence on AI product rollouts. Read More.
• Negative Sentiment: Revenue guidance below Street expectations — Management forecasted FY revenue slightly under consensus and signaled slower adoption of AI tools and weaker customer acquisition, which prompted investor concern about growth. Read More.
• Negative Sentiment: Analyst downgrades and price‑target cuts pressured the stock — Coverage notes and downgrades pushed shares to a 12‑month low in some sessions; Benchmark trimmed its target (still a Buy) while some shops are more cautious. Read More.
• Negative Sentiment: Near-term sell pressure and insider activity — Reports highlight insider sales and post‑earnings share weakness (stock fell on guidance), suggesting short-term headwinds despite the EPS beat. Read More.

Institutional Trading of GoDaddy

A number of institutional investors and hedge funds have recently added to or reduced their stakes in GDDY. Fjarde AP Fonden Fourth Swedish National Pension Fund boosted its stake in GoDaddy by 20.9% during the second quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 99,344 shares of the technology company’s stock worth $17,888,000 after acquiring an additional 17,200 shares in the last quarter. Nomura Asset Management Co. Ltd. boosted its position in shares of GoDaddy by 14.0% during the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 86,648 shares of the technology company’s stock worth $15,602,000 after purchasing an additional 10,631 shares in the last quarter. GDS Wealth Management grew its stake in shares of GoDaddy by 16.3% in the 2nd quarter. GDS Wealth Management now owns 59,940 shares of the technology company’s stock valued at $10,793,000 after buying an additional 8,388 shares during the period. Neo Ivy Capital Management acquired a new stake in shares of GoDaddy in the 2nd quarter valued at about $470,000. Finally, Quantbot Technologies LP acquired a new position in GoDaddy during the 2nd quarter worth approximately $15,659,000. Institutional investors and hedge funds own 90.28% of the company’s stock.

GoDaddy Trading Down 15.8%

The company has a debt-to-equity ratio of 41.06, a quick ratio of 0.57 and a current ratio of 0.57. The business has a 50 day moving average of $107.39 and a two-hundred day moving average of $125.84. The firm has a market capitalization of $10.50 billion, a price-to-earnings ratio of 13.37, a P/E/G ratio of 0.80 and a beta of 0.94.

GoDaddy (NYSE:GDDY) last issued its quarterly earnings data on Tuesday, February 24th. The technology company reported $1.80 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.58 by $0.22. The firm had revenue of $1.27 billion during the quarter, compared to analysts’ expectations of $1.27 billion. GoDaddy had a net margin of 17.01% and a return on equity of 231.34%. The business’s revenue was up 6.8% on a year-over-year basis. During the same period last year, the company earned $1.36 earnings per share. Equities analysts predict that GoDaddy Inc. will post 6.63 EPS for the current year.

GoDaddy Company Profile

GoDaddy is a technology company that provides a suite of online services aimed primarily at small businesses, entrepreneurs and individuals looking to establish and grow an online presence. The company’s core activities include domain name registration and aftermarket services, a range of website hosting options, and tools for building, managing and promoting websites. Its product mix is designed to simplify the technical aspects of running a website so customers can focus on their businesses.

Product and service offerings span website builders and managed WordPress hosting, shared and dedicated hosting, e-commerce capabilities, email and productivity solutions, SSL certificates and site security tools, and online marketing and search engine optimization services.