B. Riley Cuts Target Price on Go Daddy (GDDY) to $215

GoDaddy Inc. (NYSE:GDDY) is one of the 14 Most Undervalued NYSE Stocks to Buy According to Analysts.

B. Riley, on February 25, cut its target price on GoDaddy by 11.6% to $215 but retained the firm’s Buy recommendation on the stock. This target price update comes on the heels of GoDaddy’s Q4 2025 results, which were mostly above expectations. Management’s 2026 guidance, however, was a mixed bag, with lower-than-expected revenue but higher margins, ultimately leading to the target price cut. Despite the cut, the firm still sees potential upside from customer growth. It also thinks that the stock’s current valuation and a $2 billion share buyback program make the company’s risk/reward profile attractive.

GoDaddy released its Q4 2025 results on February 24. The earnings brief showed the company beating analyst expectations, posting EPS of $1.80 (vs. the street consensus of $1.59). The earnings beat was driven by revenue growth and margin expansion.

Revenue grew 7% YoY thanks to double-digit growth in average revenue per user (ARPU), combined with stable growth in total bookings. The majority of the growth is attributable to the double-digit growth in the applications and commerce segment.

Operating income margins, meanwhile, improved significantly. Mark McCaffrey, GoDaddy’s Chief Financial Officer, attributed this expansion to better operational execution, “aided by AI-driven efficiencies.”

For 2026, management is targeting full-year revenue between $5.195 billion and $5.275 billion, still driven mostly by the applications and commerce segment. This figure is slightly below consensus estimates of $5.28 billion. Management is also looking to further improve margins by ~1 percentage point.

GoDaddy Inc. (NYSE:GDDY) is the world’s largest domain name registrar. The company is based in Tempe, Arizona, and was founded in 1997 by Robert R. Parsons.

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