GoDaddy Inc. (GDDY) AI Stock Analysis

NYSE: GDDYAI research summary: business, growth, valuation, analysts, bull and bear case.

GDDY AI stock analysis summary

AI Research

GoDaddy Inc. (GDDY) is a provider of cloud-based technology solutions, including domain registration, web hosting, and online security services. In FY2025, the company generated $4.95B in revenue with an operating margin of 22.8% and free cash flow of $1.58B. It carries $3.84B in total debt alongside a trailing P/E of 15.8x.

Market cap
$13.42B
Revenue (TTM)
$5.10B
P/E
15.8x
fwd 8.7x
1Y return
-17.2%
S&P 500 16.8%
Avg. target
$106.75
0.7% vs last close

Bull case

  • Free cash flow climbed to $1.58B in FY2025, up from $576.1M in FY2021.
  • GoDaddy trades at a forward P/E of 8.7x and PEG of 0.53, both below the S&P 500 Technology peer median forward P/E of 20.9x.
  • Operating margin reached 27.1% over the trailing twelve months, exceeding the S&P 500 Technology peer median of 23.0%.

Bear case

  • Total debt of $3.84B significantly exceeds cash and short-term investments of $1.16B, resulting in net debt of $2.69B.
  • The stock declined 17.2% over the trailing year, underperforming the S&P 500 return of 16.8%.
  • Quarterly revenue growth was 6.6% year-over-year in the latest quarter, below the S&P 500 Technology peer median growth rate of 20.5%.

What GoDaddy does

GoDaddy Inc. provides cloud-based technology solutions designed to help businesses and individuals establish and manage digital identities. The company's core offerings center on domain name registration services, which allow customers to secure online identities. It also delivers shared website hosting featuring web analytics, SSL certificates, and WordPress integration, alongside virtual private and virtual dedicated servers for customizable configurations. GoDaddy provides managed hosting that oversees setup, monitoring, maintenance, security, and patching. Furthermore, its product suite encompasses security tools, website creation tools through Websites + Marketing, and business applications such as Microsoft Office 365 and email marketing solutions.

Growth and profitability

GoDaddy expanded revenue at an 8.3% five-year CAGR from FY2020 to FY2025. Annual revenue grew from $3.82B in FY2021 to $4.95B in FY2025, accompanied by operating margin expansion from 10.0% to 22.8%. Net income reached $1.37B in FY2023 before moderating to $936.9M in FY2024 and $875.0M in FY2025, which yielded diluted EPS of $7.06. Free cash flow increased steadily from $576.1M in FY2021 to $1.58B in FY2025. In the trailing twelve months, revenue totaled $5.10B with an operating margin of 27.1%. For the latest quarter ended June 30, 2026, quarterly revenue grew 6.6% year-over-year, while quarterly earnings expanded 29.8%.

GDDY income statement →

Balance sheet and cash flow

As of June 30, 2026, GoDaddy held $1.16B in cash and short-term investments against $3.84B in total debt, resulting in net debt of $2.69B. Total assets stood at $8.00B, while shareholders' equity was $6.7M, giving a debt-to-equity ratio of 573.34 and a current ratio of 0.63. In FY2025, operating cash flow reached $1.60B while capital expenditures were limited to $23.9M. GoDaddy utilized its liquidity to repurchase $1.60B in common shares, contributing to a 22.2% reduction in share count over five years.

GDDY balance sheet →

Valuation and performance

At a last close of $105.96, GoDaddy trades at a trailing P/E of 15.8x and a forward P/E of 8.7x, both well below the median of its S&P 500 Technology peers at 31.5x and 20.9x, respectively. Its enterprise value of $14.89B translates to an EV/EBITDA multiple of 10.6x, compared to the peer median of 19.9x, and a price-to-sales ratio of 2.6x versus 6.3x for peers. Over the past year, GoDaddy stock fell 17.2%, lagging the S&P 500 benchmark return of 16.8%. Over five years, GoDaddy returned 51.8% against 83.0% for the index.

GDDY key metrics →

What analysts expect

Wall Street coverage consists of 5 Strong Buy, 2 Buy, 10 Hold, 0 Sell, and 1 Strong Sell ratings. The mean price target of $106.75 represents a 0.7% premium over the last close of $105.96. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $5.24B and EPS of $7.40, reflecting 18.9% EPS growth. For the following fiscal year, 14 analysts project revenue of $5.51B and EPS of $9.17. GoDaddy has beaten EPS expectations in 3 of the last 4 quarters, with its next earnings release scheduled for October 29, 2026.

GDDY forecast and price target →

Key risks and what to watch

  • The company's current ratio stands at 0.63 as of June 30, 2026, reflecting short-term liquidity constraints.
  • High leverage is evidenced by total debt of $3.84B against shareholders' equity of just $6.7M, yielding a debt-to-equity ratio of 573.34.
  • Net income contracted from $1.37B in FY2023 to $875.0M in FY2025.

AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer

About this GDDY AI stock analysis

This page is an AI-written research summary of GoDaddy Inc. (GDDY). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: GDDY income statement, GDDY balance sheet, GDDY key metrics, GDDY analyst forecast, GDDY chart. See the GDDY stock overview for the latest quote and news.

GDDY AI stock analysis FAQ

What was GoDaddy's revenue and earnings in FY2025?

In FY2025, GoDaddy reported revenue of $4.95B, representing 8.3% growth over the prior year, and net income of $875.0M with diluted EPS of $7.06.

Does GoDaddy pay a dividend?

GoDaddy does not pay a dividend, instead directing capital toward buybacks, including $1.60B spent on share repurchases in FY2025.

What are analyst price targets and expectations for GDDY?

Analysts maintain a mean price target of $106.75, representing a 0.7% difference from its last close of $105.96. For FY2026, consensus estimates anticipate revenue of $5.24B and EPS of $7.40.

How does GoDaddy's valuation compare to its technology peers?

GoDaddy trades at a trailing P/E of 15.8x and an EV/EBITDA of 10.6x, compared to S&P 500 Technology peer medians of 31.5x and 19.9x, respectively.

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