GoDaddy Inc. is a well-known provider of domain name registration and web hosting services, among other offerings. The company operates under two main segments, namely Applications and Commerce (A&C) and Core Platform (Core). GoDaddy’s financial standing is crucial for both current and potential investors, with the company’s impressive earnings reports showcasing its ability to maintain stability in challenging times.
Recently, Forsta AP Fonden, a Swedish institutional investor, disclosed that it had increased its stake in GoDaddy by 45.7% during the last quarter of 2020, with the fund owning 105,900 shares of GoDaddy’s stock, valued at $7,923,000 at the end of the quarter. Additionally, several key players have increased their investments in GoDaddy in recent times, indicating that the company is perceived as having promising markets and expected growth.
In this article, we will take a closer look at the investments made by hedge funds and institutional investors in GoDaddy and the recent insider trading, as well as the company’s business model and analyst ratings.
Investments by Hedge Funds and Institutional Investors in GoDaddy Inc.
In recent times, investments made by hedge funds and institutional investors in GoDaddy Inc. have seen significant changes. Several key players, such as WINTON GROUP Ltd and Manufacturers Life Insurance Company, have increased their stakes in the company. Guggenheim Capital LLC and Robeco Institutional Asset Management B.V. also increased their percentage ownership by almost 11% and over 240%, respectively.
The total percentage of GoDaddy’s stock owned by hedge funds and other institutional investors currently stands at an impressive 97.32%. This trend highlights the company’s perceived market strength and growth potential, making it an attractive investment opportunity for these entities.
Insider Trading in GoDaddy Inc.
Despite the positive investments made by key players, insider trading has also occurred in GoDaddy Inc. recently. Michele Lau sold off approximately $29K worth of shares, while Nick Daddario sold more than eight hundred shares totaling nearly $68K in value.
Insider trading occurs when individuals with access to non-public information use that information to trade stocks or other securities, creating an unfair advantage over other investors. Such actions are typically illegal and can result in fines and other penalties for those involved.
GoDaddy Inc.’s Business Model
GoDaddy’s business model involves providing website building tools alongside domain name registration and web hosting services through two distinct operating segments: A&C and Core. The A&C segment deals with sales related to products containing proprietary software, such as commerce products and third-party email and productivity solutions.
GoDaddy’s business model provides clients with comprehensive solutions for their online needs, making it an attractive option for businesses and individuals alike. The company’s offerings cover all aspects of online presence, from registering domain names to building and maintaining websites, creating a one-stop-shop for customers.
Analyst Ratings for GoDaddy Inc.
Analyst ratings for GoDaddy Inc.’s performance have been mixed. Jefferies Financial Group lowered its rating from buy to hold and set a new price objective on the stock at $80.00, while Benchmark reaffirmed its buy rating and set a target price of $100.00. Evercore ISI bumped the stock rating from “in-line” to “outperform” and upped its target price from $86.00 to $103.00.
Raymond James upgraded GoDaddy from a hold rating to strong-buy and upped the share’s target price from $88.00 to $94.00, while Robert W. Baird began coverage on GDDY on the 11th of April with an out while Robert W. Baird began coverage on GDDY on the 11th of April with an outperform rating and a $95 price target. Overall, the consensus rating for GoDaddy is a Buy, with an average price target of $93.70.
Investors should note that while analyst ratings and price targets can provide valuable insight, they should not be the sole basis for making investment decisions. It is important to conduct thorough research and analysis on a company’s financials, industry trends, and overall market conditions before investing.
Summary
GoDaddy’s recent investments by hedge funds and institutional investors, as well as its strong financial performance, indicate that the company is seen as having promising growth potential. Despite recent insider trading activity, GoDaddy’s business model and comprehensive offerings make it an attractive option for businesses and individuals looking for a one-stop-shop for their online needs.
Investors should keep in mind that the stock market is inherently volatile, and investing always carries risks. Careful consideration and research are necessary before making any investment decisions, and investors should always consult with a financial advisor to determine their individual risk tolerance and investment goals.
Join the Discussion