GoDaddy Inc. (GDDY) Rating Lowered to Sell at Zacks Investment Research
GoDaddy Inc. (NYSE:GDDY) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Tuesday.
According to Zacks, “GoDaddy is a website host and Internet domain registrar. In the second quarter, the company posted strong results with both revenues and earnings beating the Zacks Consensus Estimate. The increase in earnings was driven by growing revenues, strong adoption of its new products, including its new mobile-optimized website builder, GoCentral and contribution from HEG acquisition. The company’s investment in products, technology platform and customer care, as well as offering innovative and increasingly personalized products and services globally will drive shareholder value. However, significant competition, heavy debt burden along with controversies surrounding the company will pose major challenges. Over the last one year, the stock has outperformed the industry it belongs to.”
Other equities research analysts have also recently issued research reports about the company. B. Riley reaffirmed a “buy” rating and set a $53.00 price target on shares of GoDaddy in a report on Wednesday, July 19th. BidaskClub cut GoDaddy from a “strong-buy” rating to a “buy” rating in a report on Tuesday, July 11th. Deutsche Bank AG lifted their price target on GoDaddy from $48.00 to $51.00 and gave the company a “buy” rating in a report on Monday, August 14th. SunTrust Banks, Inc. initiated coverage on GoDaddy in a report on Tuesday, August 15th. They set a “buy” rating and a $50.00 price target on the stock. Finally, Jefferies Group LLC initiated coverage on GoDaddy in a report on Thursday, August 24th. They set a “buy” rating and a $55.00 price target on the stock. One research analyst has rated the stock with a sell rating, four have issued a hold rating and thirteen have given a buy rating to the stock. GoDaddy currently has an average rating of “Buy” and a consensus price target of $47.46.
Shares of GoDaddy (GDDY) traded down 0.73% during trading on Tuesday, hitting $43.78. The stock had a trading volume of 1,017,505 shares. The firm has a market cap of $4.87 billion, a P/E ratio of 344.72 and a beta of 0.62. GoDaddy has a one year low of $31.63 and a one year high of $45.37. The firm’s 50-day moving average is $43.87 and its 200-day moving average is $43.87.
GoDaddy (NYSE:GDDY) last issued its earnings results on Tuesday, August 8th. The technology company reported $0.13 EPS for the quarter, beating the Zacks’ consensus estimate of $0.03 by $0.10. GoDaddy had a return on equity of 6.05% and a net margin of 1.21%. The company had revenue of $557.80 million during the quarter, compared to the consensus estimate of $551.26 million. During the same period in the previous year, the firm posted ($0.11) earnings per share. GoDaddy’s quarterly revenue was up 22.3% compared to the same quarter last year. Equities research analysts forecast that GoDaddy will post $0.30 EPS for the current year.
In other GoDaddy news, insider Barbara J. Rechterman sold 35,000 shares of GoDaddy stock in a transaction that occurred on Wednesday, July 12th. The shares were sold at an average price of $42.42, for a total value of $1,484,700.00. Following the transaction, the insider now owns 54,741 shares in the company, valued at $2,322,113.22. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, EVP James M. Carroll sold 33,600 shares of GoDaddy stock in a transaction that occurred on Tuesday, August 22nd. The stock was sold at an average price of $41.58, for a total transaction of $1,397,088.00. Following the completion of the transaction, the executive vice president now owns 42,087 shares in the company, valued at approximately $1,749,977.46. The disclosure for this sale can be found here. In the last three months, insiders have sold 12,286,448 shares of company stock worth $536,626,602. 22.68% of the stock is owned by corporate insiders.
A number of institutional investors have recently bought and sold shares of the business. Ardsley Advisory Partners acquired a new position in GoDaddy in the second quarter worth approximately $5,090,000. Public Employees Retirement System of Ohio grew its position in GoDaddy by 77.5% in the second quarter. Public Employees Retirement System of Ohio now owns 30,389 shares of the technology company’s stock worth $1,289,000 after buying an additional 13,272 shares during the last quarter. Koch Industries Inc. acquired a new position in GoDaddy in the second quarter worth approximately $248,000. California State Teachers Retirement System grew its position in GoDaddy by 51.2% in the second quarter. California State Teachers Retirement System now owns 139,602 shares of the technology company’s stock worth $5,922,000 after buying an additional 47,275 shares during the last quarter. Finally, The Manufacturers Life Insurance Company grew its position in GoDaddy by 7.8% in the second quarter. The Manufacturers Life Insurance Company now owns 5,476 shares of the technology company’s stock worth $232,000 after buying an additional 397 shares during the last quarter. Hedge funds and other institutional investors own 77.95% of the company’s stock.
GoDaddy Inc is a technology provider to small businesses, Web design professionals and individuals. The Company delivers cloud-based products and personalized customer care. It operates a domain marketplace, where its customers can find the digital real estate that matches their idea. It provides Website building, hosting and security tools to help customers construct and protect online presence.
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