GoDaddy Valuation

Is GDDY undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of GDDY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: GDDY ($190.12) is trading below our estimate of fair value ($342.78)

Significantly Below Fair Value: GDDY is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for GDDY?

Key metric: As GDDY is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for GDDY. This is calculated by dividing GDDY's market cap by their current earnings.
What is GDDY's PE Ratio?
PE Ratio14.4x
EarningsUS$1.85b
Market CapUS$26.31b

Price to Earnings Ratio vs Peers

How does GDDY's PE Ratio compare to its peers?

The above table shows the PE ratio for GDDY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average75.7x
VRSN VeriSign
20.3x2.7%US$17.1b
AKAM Akamai Technologies
25.1x16.5%US$13.1b
WIX Wix.com
160.2x32.3%US$10.3b
SHOP Shopify
97.1x17.2%US$135.1b
GDDY GoDaddy
14.4x-7.5%US$26.3b

Price-To-Earnings vs Peers: GDDY is good value based on its Price-To-Earnings Ratio (14.4x) compared to the peer average (75.7x).


Price to Earnings Ratio vs Industry

How does GDDY's PE Ratio compare vs other companies in the US IT Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
TAOP Taoping
1.1xn/aUS$2.35m
GTCH GBT Technologies
0.1xn/aUS$1.68m
DLTI DLT Resolution
0.3xn/aUS$228.03k
TMNA Agri-Fintech Holdings
0.0004xn/aUS$129.25k
GDDY 14.4xIndustry Avg. 44.8xNo. of Companies5PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: GDDY is good value based on its Price-To-Earnings Ratio (14.4x) compared to the US IT industry average (44.8x).


Price to Earnings Ratio vs Fair Ratio

What is GDDY's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

GDDY PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.4x
Fair PE Ratio32.8x

Price-To-Earnings vs Fair Ratio: GDDY is good value based on its Price-To-Earnings Ratio (14.4x) compared to the estimated Fair Price-To-Earnings Ratio (32.8x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst GDDY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$190.12
US$182.51
-4.0%
9.6%US$225.00US$135.00n/a17
Nov ’25US$163.36
US$179.95
+10.2%
8.3%US$200.00US$135.00n/a17
Oct ’25US$153.16
US$169.25
+10.5%
9.6%US$190.00US$120.00n/a17
Sep ’25US$167.41
US$167.20
-0.1%
9.8%US$190.00US$120.00n/a16
Aug ’25US$141.41
US$150.29
+6.3%
12.0%US$178.00US$115.00n/a14
Jul ’25US$141.50
US$145.73
+3.0%
11.4%US$175.00US$115.00n/a15
Jun ’25US$139.63
US$145.38
+4.1%
11.1%US$175.00US$115.00n/a16
May ’25US$122.29
US$131.31
+7.4%
9.7%US$150.00US$110.00n/a17
Apr ’25US$121.11
US$130.84
+8.0%
9.7%US$150.00US$110.00n/a17
Mar ’25US$113.72
US$125.02
+9.9%
7.0%US$150.00US$110.00n/a16
Feb ’25US$108.44
US$112.22
+3.5%
13.6%US$130.00US$88.00n/a16
Jan ’25US$106.16
US$105.28
-0.8%
15.7%US$130.00US$80.00n/a16
Dec ’24US$102.01
US$102.91
+0.9%
14.7%US$125.00US$80.00n/a16
Nov ’24US$73.46
US$89.97
+22.5%
8.2%US$107.00US$80.00US$163.3616
Oct ’24US$74.48
US$89.81
+20.6%
8.5%US$107.00US$80.00US$153.1615
Sep ’24US$72.65
US$90.16
+24.1%
7.5%US$102.00US$80.00US$167.4114
Aug ’24US$77.30
US$90.80
+17.5%
7.9%US$103.00US$80.00US$141.4114
Jul ’24US$75.13
US$91.45
+21.7%
9.5%US$110.00US$80.00US$141.5016
Jun ’24US$75.07
US$92.06
+22.6%
8.7%US$110.00US$80.00US$139.6314
May ’24US$75.75
US$93.99
+24.1%
7.7%US$110.00US$80.00US$122.2914
Apr ’24US$77.72
US$93.92
+20.8%
8.0%US$110.00US$80.00US$121.1113
Mar ’24US$75.76
US$94.84
+25.2%
7.9%US$110.00US$80.00US$113.7213
Feb ’24US$83.00
US$94.07
+13.3%
9.1%US$110.00US$80.00US$108.4413
Jan ’24US$74.82
US$93.05
+24.4%
8.5%US$110.00US$83.00US$106.1613
Dec ’23US$79.73
US$92.89
+16.5%
8.9%US$110.00US$83.00US$102.0112
Nov ’23US$79.25
US$97.88
+23.5%
10.0%US$112.00US$83.00US$73.4611

Analyst Forecast: Target price is lower than the current share price.


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