GoDaddy (GDDY) Q1 Earnings Lag Estimates

Core Viewpoint - GoDaddy reported quarterly earnings of $1.27 per share, missing the Zacks Consensus Estimate of $1.35 per share, but showing an increase from $1.08 per share a year ago, indicating a -5.93% earnings surprise [1] Financial Performance - GoDaddy's revenues for the quarter ended March 2025 were $1.19 billion, surpassing the Zacks Consensus Estimate by 0.60%, and up from $1.11 billion year-over-year [2] - The company has exceeded consensus revenue estimates four times over the last four quarters [2] Stock Performance - GoDaddy shares have declined approximately 4.6% since the beginning of the year, compared to a -5.3% decline in the S&P 500 [3] - The stock's immediate price movement will largely depend on management's commentary during the earnings call [3] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $1.49 on revenues of $1.2 billion, and for the current fiscal year, it is $6.35 on revenues of $4.89 billion [7] - The estimate revisions trend for GoDaddy is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6] Industry Context - The Internet - Delivery Services industry, to which GoDaddy belongs, is currently ranked in the bottom 18% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact GoDaddy's stock performance [5]