GoDaddy (GDDY - Free Report) closed at $69.15 in the latest trading session, marking a +0.42% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.54%. Elsewhere, the Dow lost 0.94%, while the tech-heavy Nasdaq lost 0.54%.
Prior to today's trading, shares of the cloud-based technology products developer had lost 2.1% over the past month. This has lagged the Computer and Technology sector's gain of 5.9% and the S&P 500's gain of 3.22% in that time.
GDDY will be looking to display strength as it nears its next earnings release, which is expected to be February 13, 2020. On that day, GDDY is projected to report earnings of $0.37 per share, which would represent year-over-year growth of 32.14%. Our most recent consensus estimate is calling for quarterly revenue of $777.01 million, up 11.67% from the year-ago period.
It is also important to note the recent changes to analyst estimates for GDDY. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.67% higher. GDDY is holding a Zacks Rank of #1 (Strong Buy) right now.
Looking at its valuation, GDDY is holding a Forward P/E ratio of 61.55. Its industry sports an average Forward P/E of 23.14, so we one might conclude that GDDY is trading at a premium comparatively.
Meanwhile, GDDY's PEG ratio is currently 4.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Internet - Delivery Services stocks are, on average, holding a PEG ratio of 2.78 based on yesterday's closing prices.
The Internet - Delivery Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 17, putting it in the top 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.