Is the business good?
How good a business is GDDY?
GoDaddy earns 38% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
38%
Return on invested capital · cost of capital 9.0% · 29 points above what the capital costs: growth creates value
- Operating margin
- 25%
Operating margin · Software - Infrastructure median 6.1% · 12 months to Q2 2026
- Cash conversion
- 1.87×
Cash conversion · 1.80× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −7.4%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 8.2% |
| FY2021 | 10% |
| FY2022 | 12% |
| FY2023 | 13% |
| FY2024 | 20% |
| FY2025 | 23% |
Details›
- Gross margin12 months to Q2 2026
- 64%
- Operating margin12 months to Q2 2026
- 25%
- Net margin12 months to Q2 2026
- 18%
- Free cash flow margin
- 33%
- Revenue, trailing twelve months
- $5.10B
- Free cash flow, trailing twelve months
- $1.70B
- Net income, trailing twelve months
- $910M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 38%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Software - Infrastructure
Ranks #33 of 78 by Smart Score