Latest news with #GDDY
Yahoo
4 days ago
- Business
- Yahoo
GoDaddy (GDDY) Q2 Results Bolstered by Agentic AI Integration
GoDaddy Inc. (NYSE:GDDY) is one of the top tech stocks with a strong return on equity. On August 7, the company delivered strong second-quarter 2025 results, affirming an accelerated pace of innovation driven by the potential of agentic artificial intelligence. Revenue in the quarter was up 8% year-over-year to $1.2 billion, driven by a 7% increase in total bookings. Applications and commerce revenue grew 14% to $463.9 million as Core platform revenue increased 5% to $753.7 million. Net income totaled $199.9 million, representing a 37% increase. During the quarter, GoDaddy returned value to shareholders by repurchasing 5.2 million shares for $906 million. For the third quarter, the company is projecting revenues of between $1.22 billion and $1.24 billion, representing 7% year-over-year increase. For the full year, the company has raised its revenue expectations to between $4.89 billion and $4.94 billion, representing 7% growth at the midpoint. GoDaddy Inc. (NYSE:GDDY) is a technology company that provides a range of services to help individuals and businesses establish and grow their online presence. It offers domain registration, website hosting, and various online marketing tools. The company boasts of an impressive track record in converting financing into profits going by the high return on equity. While we acknowledge the potential of GDDY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 13 Best NYSE Penny Stocks to Invest in Now and 10 Best 52-Week High Stocks to Buy According to Analysts. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-08-2025
- Business
- Yahoo
GoDaddy Stock Outlook: Is Wall Street Bullish or Bearish?
With a market cap of $19 billion, GoDaddy Inc. (GDDY) is a global provider of domain registration, web hosting, and cloud-based products for small businesses, individuals, and professionals. The company operates through its Applications and Commerce and Core Platform segments, offering website-building tools, e-commerce solutions, payment services, domain products, hosting, and online security. Shares of the Tempe, Arizona-based company have lagged behind the broader market over the past 52 weeks. GDDY stock has dipped 14.1% over this time frame, while the broader S&P 500 Index ($SPX) has gained 19.5%. Moreover, shares of GoDaddy have decreased 31.4% on a YTD basis, compared to SPX's 8.6% rise. More News from Barchart 'It Will Be the Biggest Product Ever': Elon Musk Says Tesla's Optimus Robots Will Be Bigger Than Even Robotaxi Dear Archer Aviation Stock Fans, Mark Your Calendars for August 11 This Hidden-Gem AI Stock Has a Major Catalyst Coming on August 11 Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Looking closer, GDDY stock has also underperformed the Technology Select Sector SPDR Fund's (XLK) return of 29.4% over the past 52 weeks and a 14.4% gain on a YTD basis. Despite beating Q2 2025 estimates with EPS of $1.41 and revenue of $1.2 billion on Aug. 7, GoDaddy shares tumbled 11.3% on Aug. 8 as investors reacted to weaker underlying metrics, including a 2.2% year-over-year decline in total customers to 20,409. The company also announced it will exit its role as the registry service provider for the .CO domain starting Q4, which is expected to reduce bookings and revenue by about 50 bps, primarily impacting the fourth quarter. For the fiscal year ending in December 2025, analysts expect GDDY's EPS to grow 17.3% year-over-year to $5.69. The company's earnings surprise history is mixed. It beat the consensus estimates in two of the last four quarters while missing on two other occasions. Among the 18 analysts covering the stock, the consensus rating is a 'Moderate Buy.' That's based on 10 'Strong Buys,' one 'Moderate Buy' rating, and seven 'Holds.' On Aug. 8, Citi lowered its price target for GoDaddy to $214 while maintaining a 'Buy' rating. As of writing, the stock is trading below the mean price target of $214.31. The Street-high price target of $250 implies a potential upside of 83.8% from the current price levels. On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
10-08-2025
- Business
- Yahoo
GoDaddy Inc. Just Recorded A 5.4% EPS Beat: Here's What Analysts Are Forecasting Next
There's been a notable change in appetite for GoDaddy Inc. (NYSE:GDDY) shares in the week since its second-quarter report, with the stock down 15% to US$133. The result was positive overall - although revenues of US$1.2b were in line with what the analysts predicted, GoDaddy surprised by delivering a statutory profit of US$1.41 per share, modestly greater than expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Taking into account the latest results, the consensus forecast from GoDaddy's 18 analysts is for revenues of US$4.92b in 2025. This reflects a modest 3.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to increase 3.1% to US$6.00. In the lead-up to this report, the analysts had been modelling revenues of US$4.91b and earnings per share (EPS) of US$5.92 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates. Check out our latest analysis for GoDaddy With no major changes to earnings forecasts, the consensus price target fell 8.7% to US$195, suggesting that the analysts might have previously been hoping for an earnings upgrade. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values GoDaddy at US$250 per share, while the most bearish prices it at US$150. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await GoDaddy shareholders. These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the GoDaddy's past performance and to peers in the same industry. We can infer from the latest estimates that forecasts expect a continuation of GoDaddy'shistorical trends, as the 7.2% annualised revenue growth to the end of 2025 is roughly in line with the 7.5% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 12% per year. So although GoDaddy is expected to maintain its revenue growth rate, it's forecast to grow slower than the wider industry. The Bottom Line The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that GoDaddy's revenue is expected to perform worse than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of GoDaddy's future valuation. With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple GoDaddy analysts - going out to 2027, and you can see them free on our platform here. Even so, be aware that GoDaddy is showing 3 warning signs in our investment analysis , you should know about... Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
10-08-2025
- Business
- Yahoo
Why GoDaddy's Stock Swooned on Friday
Key Points GoDaddy's Q2 earnings jumped to $1.41 per share, slightly beating the consensus estimate of $1.38. The stock fell more than 11% because investors expected a bigger earnings surprise. Today's price drop could create a buying opportunity for growth-focused investors. 10 stocks we like better than GoDaddy › Shares of GoDaddy (NYSE: GDDY) fell as much as 11.5% on Friday, following a solid earnings report with modest guidance. By 3:30 p.m. ET, the domain name registrar's shares had dropped by 11%. GoDaddy's modest earnings beat GoDaddy's second-quarter sales rose by 8% year over year, stopping at $1.21 billion. Earnings jumped from $1.01 to $1.41 per diluted share. The analyst consensus pointed to earnings near $1.38 per share with a top-line revenue target right in line with the reported figures. GoDaddy also issued third-quarter and full-year revenue guidance roughly on par with the current analyst views. In short, GoDaddy performed almost exactly as expected with a slight lean to the upside. When barely beating expectations isn't enough So why did the stock fall more than 11% on this robust report? Because the slight earnings surprise just wasn't impressive enough. GoDaddy isn't a terribly expensive stock, but it has outperformed the broader market in the last three years. Its financial results don't always beat the Street targets, but when they do, the surprises tend to be large. This mild outperformance just wasn't enough. The price drop may have opened a buying window for growth investors, though. GoDaddy's revenue is rising and its margins are growing wider. And the company is taking advantage of recent share price cuts, investing $906 million in share buybacks in the first half of 2025. I see it as a vote of confidence in GoDaddy's business prospects, suggesting that investors could follow the same strategy. Should you buy stock in GoDaddy right now? Before you buy stock in GoDaddy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and GoDaddy wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,563!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,108,033!* Now, it's worth noting Stock Advisor's total average return is 1,047% — a market-crushing outperformance compared to 181% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 4, 2025 Anders Bylund has no position in any of the stocks mentioned. The Motley Fool recommends GoDaddy. The Motley Fool has a disclosure policy. Why GoDaddy's Stock Swooned on Friday was originally published by The Motley Fool
Yahoo
08-08-2025
- Business
- Yahoo
GoDaddy (NYSE:GDDY) Beats Q2 Sales Targets
Domain registrar and web services company GoDaddy (NYSE:GDDY) reported Q2 CY2025 results exceeding the market's revenue expectations , with sales up 8.3% year on year to $1.22 billion. The company expects next quarter's revenue to be around $1.23 billion, close to analysts' estimates. Its GAAP profit of $1.41 per share was 5.4% above analysts' consensus estimates. Is now the time to buy GoDaddy? Find out in our full research report. GoDaddy (GDDY) Q2 CY2025 Highlights: Revenue: $1.22 billion vs analyst estimates of $1.21 billion (8.3% year-on-year growth, 0.9% beat) EPS (GAAP): $1.41 vs analyst estimates of $1.34 (5.4% beat) Adjusted EBITDA: $381.7 million vs analyst estimates of $372.6 million (31.3% margin, 2.4% beat) The company slightly lifted its revenue guidance for the full year to $4.92 billion at the midpoint from $4.9 billion Operating Margin: 21.9%, up from 18.5% in the same quarter last year Free Cash Flow Margin: 32.2%, down from 34.4% in the previous quarter Customers: 20.41 million, down from 20.48 million in the previous quarter Annual Recurring Revenue: $4.18 billion at quarter end, up 8.5% year on year Billings: $1.28 billion at quarter end Market Capitalization: $21.41 billion Company Overview Founded by Bob Parsons after selling his first company to Intuit, GoDaddy (NYSE:GDDY) provides small and mid-sized businesses with the ability to buy a web domain and tools to create and manage a website. Revenue Growth A company's long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last three years, GoDaddy grew its sales at a weak 5.9% compounded annual growth rate. This was below our standard for the software sector and is a rough starting point for our analysis. This quarter, GoDaddy reported year-on-year revenue growth of 8.3%, and its $1.22 billion of revenue exceeded Wall Street's estimates by 0.9%. Company management is currently guiding for a 7.2% year-on-year increase in sales next quarter. Looking further ahead, sell-side analysts expect revenue to grow 6.8% over the next 12 months, similar to its three-year rate. This projection is underwhelming and implies its newer products and services will not lead to better top-line performance yet. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Annual Recurring Revenue While reported revenue for a software company can include low-margin items like implementation fees, annual recurring revenue (ARR) is a sum of the next 12 months of contracted revenue purely from software subscriptions, or the high-margin, predictable revenue streams that make SaaS businesses so valuable. GoDaddy's ARR came in at $4.18 billion in Q2, and over the last four quarters, its growth was underwhelming as it averaged 8.1% year-on-year increases. This performance mirrored its total sales and suggests that increasing competition is causing challenges in securing longer-term commitments. Customer Base GoDaddy reported 20.41 million customers at the end of the quarter, a sequential decrease of 75,000. That's worse than what we've observed previously, suggesting the company's sales momentum is slowing. However, we note that GoDaddy actually increased its annualized recurring revenue (ARR) during the quarter, indicating that its new customers may have signed huge contracts, existing customers stepped up their spending, or some combination of both. Key Takeaways from GoDaddy's Q2 Results We enjoyed seeing GoDaddy beat analysts' bookings expectations this quarter. We were also happy its EBITDA outperformed Wall Street's estimates. Overall, this print had some key positives. Investors were likely hoping for more, and shares traded down 2.9% to $145.97 immediately following the results. Should you buy the stock or not? If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free.
