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

Shares of GoDaddy Inc. (NYSE:GDDYGet Free Report) gapped down prior to trading on Wednesday after Citigroup lowered their price target on the stock from $195.00 to $110.00. The stock had previously closed at $92.30, but opened at $76.89. Citigroup currently has a buy rating on the stock. GoDaddy shares last traded at $77.1690, with a volume of 2,056,150 shares trading hands.

Several other equities analysts also recently commented on GDDY. Wells Fargo & Company dropped their price target on shares of GoDaddy from $145.00 to $77.00 and set an “equal weight” rating for the company in a research note on Wednesday. B. Riley Financial reduced their price target on GoDaddy from $225.00 to $215.00 and set a “buy” rating on the stock in a research report on Friday, October 31st. Evercore set a $95.00 price objective on GoDaddy in a research note on Wednesday. Morgan Stanley decreased their price target on shares of GoDaddy from $159.00 to $145.00 and set an “equal weight” rating for the company in a research note on Thursday, January 15th. Finally, Jefferies Financial Group reduced their price objective on shares of GoDaddy from $140.00 to $100.00 and set a “hold” rating on the stock in a report on Monday. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and seven have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $131.93.

Check Out Our Latest Research Report on GDDY

Insider Activity

In related news, CFO Mark Mccaffrey sold 3,317 shares of the stock in a transaction dated Tuesday, December 2nd. The shares were sold at an average price of $127.94, for a total transaction of $424,376.98. Following the completion of the transaction, the chief financial officer directly owned 66,816 shares of the company’s stock, valued at $8,548,439.04. This represents a 4.73% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CAO Phontip Palitwanon sold 2,397 shares of GoDaddy stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $128.44, for a total transaction of $307,870.68. Following the sale, the chief accounting officer owned 17,055 shares of the company’s stock, valued at approximately $2,190,544.20. The trade was a 12.32% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 13,615 shares of company stock valued at $1,743,102. Company insiders own 0.70% of the company’s stock.

Key Stories Impacting GoDaddy

Here are the key news stories impacting GoDaddy this week:

  • Positive Sentiment: Q4 earnings beat and upbeat outlook — GoDaddy reported stronger-than-expected EPS and an encouraging 2026 revenue and cash-flow outlook, supporting the case that the core business can still deliver margin expansion and cash generation. Q4 Earnings Beat
  • Positive Sentiment: Strategic product news — GoDaddy disclosed integrations with Salesforce AI/MuleSoft capabilities, which investors may view as validating its AI/agent strategy and potential new enterprise pull-through. Salesforce Integration
  • Neutral Sentiment: Some analysts retained constructive ratings even after cuts — major brokers cut price targets but kept “buy”/”overweight” stances (e.g., Citi and Barclays), signaling continued confidence in the story despite reduced near‑term expectations. Analyst Notes
  • Neutral Sentiment: Mixed analyst re-rates to neutral — UBS and Cantor Fitzgerald trimmed targets and moved to neutral ratings in recent reports, which may limit upside until guidance clarity returns. UBS PT Cut Cantor PT
  • Negative Sentiment: Widespread price-target cuts — Multiple banks slashed targets sharply (Wells Fargo to $77, RBC/UBS/Citi/Barclays and others also cut), increasing near‑term downside risk and signaling lower consensus valuations. Wells Fargo PT Cut Multiple PT Cuts
  • Negative Sentiment: Securities‑fraud investigations announced — Several law firms have opened probes into GoDaddy’s disclosures around the earnings period, creating legal/settlement risk and adding to investor uncertainty. Fraud Investigation
  • Negative Sentiment: Weaker 2026 revenue guidance drove a sharp knee‑jerk selloff after results — guidance was viewed as disappointing by some investors and triggered a move to multi‑year lows earlier in the week. Weaker Guidance Two-Year Low

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. NewSquare Capital LLC increased its position in GoDaddy by 170.9% during the second quarter. NewSquare Capital LLC now owns 149 shares of the technology company’s stock worth $27,000 after buying an additional 94 shares in the last quarter. Hemington Wealth Management lifted its position in shares of GoDaddy by 85.9% in the third quarter. Hemington Wealth Management now owns 184 shares of the technology company’s stock valued at $25,000 after acquiring an additional 85 shares in the last quarter. Rachor Investment Advisory Services LLC acquired a new stake in shares of GoDaddy during the fourth quarter valued at $25,000. Activest Wealth Management boosted its stake in shares of GoDaddy by 6,600.0% during the fourth quarter. Activest Wealth Management now owns 201 shares of the technology company’s stock valued at $25,000 after acquiring an additional 198 shares during the last quarter. Finally, Thurston Springer Miller Herd & Titak Inc. acquired a new stake in shares of GoDaddy during the fourth quarter valued at $25,000. 90.28% of the stock is owned by hedge funds and other institutional investors.

GoDaddy Trading Up 9.1%

The business has a 50-day moving average of $105.65 and a 200 day moving average of $125.24. The stock has a market cap of $11.66 billion, a PE ratio of 13.85, a PEG ratio of 0.72 and a beta of 0.94. The company has a debt-to-equity ratio of 17.50, a quick ratio of 0.57 and a current ratio of 0.61.

GoDaddy (NYSE:GDDYGet Free Report) last posted its quarterly earnings data on Tuesday, February 24th. The technology company reported $1.80 earnings per share for the quarter, beating analysts’ consensus estimates of $1.58 by $0.22. The business had revenue of $1.27 billion during the quarter, compared to analyst estimates of $1.27 billion. GoDaddy had a net margin of 17.67% and a return on equity of 369.00%. The company’s revenue was up 6.8% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.36 earnings per share. Equities research analysts predict that GoDaddy Inc. will post 6.63 EPS for the current fiscal year.

GoDaddy Company Profile

(Get Free Report)

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.

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