GoDaddy (NYSE:GDDY) Shares Gap Down on Disappointing Earnings

Shares of GoDaddy Inc. (NYSE:GDDY - Get Free Report) gapped down before the market opened on Friday following a weaker than expected earnings announcement. The stock had previously closed at $212.54, but opened at $194.75. GoDaddy shares last traded at $190.69, with a volume of 1,129,279 shares traded.

The technology company reported $1.42 EPS for the quarter, missing analysts' consensus estimates of $1.43 by ($0.01). The business had revenue of $1.19 billion during the quarter, compared to analysts' expectations of $1.18 billion. GoDaddy had a return on equity of 267.29% and a net margin of 41.74%.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on GDDY shares. Wells Fargo & Company initiated coverage on shares of GoDaddy in a research note on Monday, February 3rd. They issued an "equal weight" rating and a $198.00 price target for the company. Robert W. Baird increased their target price on GoDaddy from $200.00 to $225.00 and gave the stock an "outperform" rating in a research report on Tuesday, November 19th. Citigroup lifted their price target on GoDaddy from $240.00 to $251.00 and gave the company a "buy" rating in a research report on Friday, January 3rd. B. Riley upped their price target on GoDaddy from $220.00 to $225.00 and gave the stock a "buy" rating in a research note on Friday. Finally, Raymond James raised their price objective on GoDaddy from $185.00 to $230.00 and gave the company a "strong-buy" rating in a research report on Tuesday, January 21st. Seven investment analysts have rated the stock with a hold rating, nine have issued a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, GoDaddy has an average rating of "Moderate Buy" and an average price target of $213.20.

Insider Buying and Selling

In related news, CAO Phontip Palitwanon sold 770 shares of GoDaddy stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $196.64, for a total value of $151,412.80. Following the completion of the sale, the chief accounting officer now directly owns 23,059 shares in the company, valued at approximately $4,534,321.76. This trade represents a 3.23 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Brian Sharples sold 500 shares of the company's stock in a transaction dated Monday, December 2nd. The shares were sold at an average price of $197.77, for a total transaction of $98,885.00. Following the transaction, the director now owns 23,621 shares in the company, valued at $4,671,525.17. This represents a 2.07 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 23,482 shares of company stock worth $4,709,650 in the last three months. Insiders own 0.61% of the company's stock.

Institutional Investors Weigh In On GoDaddy

A number of hedge funds have recently added to or reduced their stakes in the stock. Ashton Thomas Securities LLC purchased a new position in shares of GoDaddy in the 3rd quarter worth $27,000. Anchor Investment Management LLC purchased a new position in GoDaddy in the third quarter worth about $31,000. Versant Capital Management Inc bought a new stake in shares of GoDaddy during the 4th quarter valued at about $43,000. Rakuten Securities Inc. increased its position in shares of GoDaddy by 311.3% during the 4th quarter. Rakuten Securities Inc. now owns 218 shares of the technology company's stock valued at $43,000 after purchasing an additional 165 shares during the last quarter. Finally, Friedenthal Financial bought a new position in shares of GoDaddy in the 4th quarter worth approximately $49,000. 90.28% of the stock is currently owned by hedge funds and other institutional investors.

GoDaddy Stock Performance

The business's fifty day moving average is $203.78 and its 200-day moving average is $180.59. The company has a quick ratio of 0.56, a current ratio of 0.56 and a debt-to-equity ratio of 10.61. The company has a market cap of $25.40 billion, a PE ratio of 13.98 and a beta of 1.15.

GoDaddy Company Profile

GoDaddy Inc engages in the design and development of cloud-based products in the United States and internationally. It operates through two segments: Applications and Commerce, and Core Platform. The Applications and Commerce segment provides applications products, including Websites + Marketing, a mobile-optimized online tool that enables customers to build websites and e-commerce enabled online stores; and Managed WordPress, a streamlined and optimized website building that allows customers to easily build and manage a faster WordPress site; Managed WooCommerce Stores to sell anything and anywhere online; and marketing tools and services, such as GoDaddy Studio mobile application, search engine optimization, Meta and Google My Business, and email and social media marketing designed to help businesses acquire and engage customers and create content.