Godaddy Return On Equity
| GDDY Stock | USD 74.49 0.51 0.68% |
Godaddy fundamentals help investors to digest information that contributes to Godaddy's financial success or failures. It also enables traders to predict the movement of Godaddy Stock. The fundamental analysis module provides a way to measure Godaddy's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Godaddy stock.
Average Equity is likely to drop to about (392 M) in 2023. Godaddy | Return On Equity |
Godaddy Return On Equity Analysis
Godaddy's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
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| 2020 | 2021 | 2022 | 2023 (projected) | Accounts Payable | 51 M | 85.2 M | 130.9 M | 141.23 M | Receivables | 41.8 M | 63.6 M | 60.1 M | 64.84 M |
Return on Equity | = | Net Income Total Equity |
Current Godaddy Return On Equity | 0.68 |
Most of Godaddy's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Godaddy is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Godaddy Return On Equity Driver Correlations
Understanding the fundamental principles of building solid financial models for Godaddy is extremely important. It helps to project a fair market value of Godaddy Stock properly, considering its historical fundamentals such as Return On Equity. Since Godaddy's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Godaddy's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Godaddy's interrelated accounts and indicators.
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Godaddy Return On Equity Historical Pattern
Today, most investors in Godaddy Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Godaddy's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's return on equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Godaddy return on equity as a starting point in their analysis.
Godaddy Return On Equity |
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For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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Godaddy Shareholders Equity Attributable to Parent
Shareholders Equity Attributable to Parent |
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Based on the latest financial disclosure, Godaddy has a Return On Equity of 0.6801. This is 105.65% lower than that of the IT Services sector and significantly higher than that of the Information Technology industry. The return on equity for all United States stocks is notably lower than that of the firm.
Godaddy Return On Equity Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Godaddy's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Godaddy could also be used in its relative valuation, which is a method of valuing Godaddy by comparing valuation metrics of similar companies.Godaddy is currently under evaluation in return on equity category among related companies.
Godaddy Current Valuation Drivers
We derive many important indicators used in calculating different scores of Godaddy from analyzing Godaddy's financial statements. These drivers represent accounts that assess Godaddy's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Godaddy's important valuation drivers and their relationship over time.
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 (projected) | ||
| Net Income Per Employee | 11.3 K | 19.5 K | (74.57 K) | 36.65 K | 50.97 K | 54.99 K | |
| Revenue Per Employee | 389.99 K | 425.41 K | 499.57 K | 577.17 K | 592.08 K | 492.45 K | |
| Average Assets | 5.99 B | 6.32 B | 6.22 B | 7.33 B | 6.96 B | 6.79 B | |
| Earnings Before Interest Taxes and Depreciation Amortization EBITDA | 400.6 M | 426.8 M | (202.4 M) | 578.7 M | 696.7 M | 751.7 M | |
| Earnings Before Interest Taxes and Depreciation Amortization USD | 400.6 M | 426.8 M | (202.4 M) | 578.7 M | 696.7 M | 751.7 M | |
| Earnings before Tax | 68.1 M | 125 M | (496.4 M) | 253.1 M | 355.8 M | 383.89 M | |
| Average Equity | 667.08 M | 823.85 M | 10.57 M | (31.8 M) | (381.98 M) | (392.03 M) | |
| Enterprise Value | 12.95 B | 13.32 B | 16.68 B | 17.02 B | 14.79 B | 14.81 B | |
| Free Cash Flow | 472.1 M | 635.8 M | 698.1 M | 778.2 M | 920 M | 731.62 M | |
| Invested Capital | 1.52 B | 1.75 B | 2.1 B | 2.82 B | 2.9 B | 2.45 B | |
| Invested Capital Average | 1.53 B | 1.72 B | 1.66 B | 2.83 B | 2.92 B | 2.47 B | |
| Market Capitalization | 11.39 B | 11.7 B | 14.01 B | 14.13 B | 11.63 B | 12.06 B | |
| Tangible Asset Value | 1.92 B | 2.23 B | 1.9 B | 2.49 B | 2.18 B | 2.1 B | |
| Working Capital | (458.9 M) | (425.8 M) | (1.02 B) | (546.9 M) | (877.2 M) | (946.45 M) |
Godaddy Fundamentals
| Return On Equity | 0.68 | |||
| Return On Asset | 0.0477 | |||
| Profit Margin | 0.08 % | |||
| Operating Margin | 0.13 % | |||
| Current Valuation | 14.26 B | |||
| Shares Outstanding | 146.81 M | |||
| Shares Owned by Insiders | 0.28 % | |||
| Shares Owned by Institutions | 95.80 % | |||
| Number of Shares Shorted | 2.58 M | |||
| Price to Earning | 36.04 X | |||
| Price to Book | 24.35 X | |||
| Price to Sales | 2.80 X | |||
| Revenue | 4.09 B | |||
| Gross Profit | 2.61 B | |||
| EBITDA | 716.7 M | |||
| Net Income | 352.9 M | |||
| Cash and Equivalents | 916.5 M | |||
| Cash per Share | 5.86 X | |||
| Total Debt | 3.95 B | |||
| Current Ratio | 0.63 X | |||
| Book Value Per Share | (4.50) X | |||
| Cash Flow from Operations | 979.7 M | |||
| Short Ratio | 1.79 X | |||
| Earnings Per Share | 2.06 X | |||
| Price to Earnings To Growth | 1.56 X | |||
| Target Price | 93.29 | |||
| Number of Employees | 6.91 K | |||
| Beta | 0.96 | |||
| Market Capitalization | 11.03 B | |||
| Total Asset | 6.97 B | |||
| Retained Earnings | (2.42 B) | |||
| Working Capital | (877.2 M) | |||
| Current Asset | 693.9 M | |||
| Current Liabilities | 1.11 B | |||
| Z Score | 1.97 | |||
| Net Asset | 6.97 B |
About Godaddy Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Godaddy's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Godaddy using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Godaddy based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.| Last Reported | Projected for 2023 | ||
| Average Equity | -382 M | -392 M |
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Our tools can tell you how much better you can do entering a position in Godaddy without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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Macroaxis puts the power of mathematics on your side. We analyze your portfolios and positions such as Godaddy using complex mathematical models and algorithms, but make them easy to understand. There is no real person involved in your portfolio analysis. We perform a number of calculations to compute absolute and relative portfolio volatility, correlation between your assets, value at risk, expected return as well as over 100 different fundamental and technical indicators.Build Optimal Portfolios
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Check out Godaddy Piotroski F Score and Godaddy Altman Z Score analysis. For more information on how to buy Godaddy Stock please use our How to Invest in Godaddy guide. Note that the Godaddy information on this page should be used as a complementary analysis to other Godaddy's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Global Correlations module to find global opportunities by holding instruments from different markets.
Complementary Tools for Godaddy Stock analysis
When running Godaddy's price analysis, check to measure Godaddy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Godaddy is operating at the current time. Most of Godaddy's value examination focuses on studying past and present price action to predict the probability of Godaddy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Godaddy's price. Additionally, you may evaluate how the addition of Godaddy to your portfolios can decrease your overall portfolio volatility.
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Is Godaddy's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Godaddy. If investors know Godaddy will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Godaddy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.036) | Earnings Share 2.06 | Revenue Per Share 26.93 | Quarterly Revenue Growth 0.032 | Return On Assets 0.0477 |
The market value of Godaddy is measured differently than its book value, which is the value of Godaddy that is recorded on the company's balance sheet. Investors also form their own opinion of Godaddy's value that differs from its market value or its book value, called intrinsic value, which is Godaddy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Godaddy's market value can be influenced by many factors that don't directly affect Godaddy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Godaddy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Godaddy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Godaddy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.