GoDaddy (GDDY) Faces Mixed Analyst Views Following Q3 Earnings Beat
GoDaddy surpassed third-quarter forecasts with $1.34 billion in revenue and $2.08 in EPS, though brokerages maintain an average Hold rating on GDDY shares.
Wall Street brokerages currently hold a consensus Hold rating on GoDaddy Inc. (NYSE:GDDY), according to reports from MarketBeat. Out of eighteen covering firms, nine recommend buying the stock, eight advise holding, and one suggests selling. The average 12-month price objective across these analysts stands at $113.62.
Recent brokerage actions show varied perspectives following the company's third-quarter earnings. On Friday, October 30th, UBS Group lifted its target price from $100.00 to $112.00 while reiterating a neutral rating. On Monday, November 2nd, Citigroup raised its price target from $105.00 to $135.00 and assigned a buy rating. Earlier in October, Royal Bank Of Canada lowered its recommendation from outperform to sector perform with a $95.00 price target.
The analyst assessments follow third-quarter results delivered on Thursday, October 29th, that topped consensus expectations. The company recorded earnings per share of $2.08, exceeding estimates of $1.90. Revenue reached $1.34 billion, representing a 6% to 6.1% year-over-year increase and beating expectations of $1.33 billion. Net income rose 24.4% to $261.8 million, while normalized EBITDA rose 10% to $449.3 million. Shares jumped 10.7% in the trading session following the release, bolstered by momentum in its Airo artificial intelligence tool, which exceeded a $100 million annualized bookings run rate.
For the full fiscal year 2026, GoDaddy management affirmed its revenue outlook toward the higher end of its $5.215 billion to $5.255 billion range, with approximately $1.8 billion projected in free cash flow. Analysts expect the firm to post full-year earnings of 7.48 per share. Looking further out, fundamental analysis data published by ChartMill projects annual revenue growth of 5.24% and annual EPS expansion of 12.75%.
Meanwhile, regulatory filings show institutional investors hold 90.28% of GoDaddy shares, while corporate insiders control 0.93%. Recent insider activity included a pre-arranged sale on Friday, November 6th by Director Leah Sweet, who sold 645 shares at an average price of $116.67. On Monday, November 2nd, Chief Executive Officer Amanpal Bhutani sold 4,500 shares at an average price of $117.80 under a pre-arranged trading plan.