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GoDaddy (GDDY) Buys Domains, Assets From Mind + Machines Group

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GoDaddy Inc.’s (GDDY - Free Report) subsidiary, GoDaddy Registry, recently announced that it has acquired the .club and .design domain extensions for an undisclosed amount.

In addition, the company has acquired 28 other domain extensions and certain select assets from Minds + Machines Group Limited.

Noatbly, GoDaddy Registry won contracts to manage the .basketball and .rugby extensions along with the Ally Financial branded .ally domain.

The acquired domains also include descriptive domain extensions that cater to specific customer needs. These include location-based domains such as .miami and lifestyle, business and niche domains like .vip, .fashion, .yoga and .cooking.

Post the deal, GoDaddy will operate more than 240 top-level domain extensions and have access to more than 14 million additional domains, which is huge.

Share Price Performance

GoDaddy has returned 212.1% in the past year, outperforming the industry’s 97.6% rally and S&P 500’s rise of 61.6%.

Bottom Line

GoDaddy designs and develops cloud-based technology products for individuals, small businesses and web design professionals. Its products include domain, hosting, presence and business applications.

GoDaddy has been acquiring assets to bolster the portfolio of generic, geo-targeted and top-level domains. It has acquired Afternic, which operates the world's largest premium domain reseller network, including 18 of the top 20 registrars. It has also acquired the majority of domain names in a private company, Worldwide Media, Inc.

Going forward, its investments in products, technology platform, and customer care as well as delivery of innovative and increasingly personalized products and services globally will drive shareholders’ value.

Zacks Rank & Stocks to Consider

Currently, GoDaddy carries a Zacks Rank #4 (Sell). Some better-ranked stocks in the broader technology sector include Analog Devices, Inc. (ADI - Free Report) , NXP Semiconductors N.V. (NXPI - Free Report) and ON Semiconductor Corporation (ON - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Long-term earnings growth for Analog Devices, NXP Semiconductors, and ON Semiconductor is currently projected at 12.3%, 10%, and 41.5%, respectively.

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