A securities class action has been filed against GoDaddy Inc. (“GoDaddy” or the “Company”) and certain of its officers on behalf of all purchasers of GoDaddy common stock during the period from September 3, 2025 through February 24, 2026, inclusive (the “Class Period”) who were damaged thereby. 

GoDaddy common stock trades on the New York Stock Exchange under the ticker symbol GDDY.

According to the complaint, GoDaddy is an American publicly traded internet domain registry, domain registrar, and web hosting company headquartered in Tempe, Arizona. The complaint alleges that GoDaddy primarily serves small and micro companies and targets small business owners and entrepreneurs, including customers seeking an all-in-one platform to build and manage an online presence.

What Does the GoDaddy Securities Class Action Allege?

The action, Johnson v. GoDaddy Inc., et al., Case No. 1:26-cv-07144, was filed on August 21, 2026, in the United States District Court for the Southern District of New York. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and SEC Rule 10b-5 promulgated thereunder.

According to the complaint, during the Class Period, Defendants made materially false and misleading statements and/or omitted material information concerning GoDaddy’s customer-acquisition and go-to-market strategy. The complaint alleges that:

• GoDaddy introduced a heavily discounted promotional price of $4.99 for one-year dotcom domain contracts, significantly below the Company’s typical multi-year contracts, which ranged from $10 to $20 per year;
• The promotion allegedly contradicted Defendants’ representations that GoDaddy was focused on attracting “high-intent” customers who purchased more products and spent more money, including representations that the Company had “turned off” discounting at the front of its customer funnel;
• The shorter-term promotional contracts with smaller valuations were likely to, and allegedly did, negatively affect total bookings growth and average order size; and
• Defendants allegedly failed to disclose the promotion and its adverse effect on bookings while continuing to represent that GoDaddy’s high-intent customer strategy was working and that total bookings growth for 2025 was expected to be in line with revenue growth.

The complaint further alleges that, during investor presentations and earnings calls between September and December 2025, GoDaddy executives repeatedly emphasized the Company’s strategy of targeting higher-intent customers. Among other things, the complaint alleges that CFO Mark McCaffrey stated on September 3, 2025 that GoDaddy had made a “conscious decision” to “turn off discounting” because discounting attracted customers who came in for price and later churned. The complaint alleges that GoDaddy nevertheless instituted promotional discounts during the Class Period.

What Happened to GoDaddy’s Stock Price?

The complaint alleges that the truth was revealed after the market closed on February 24, 2026, when GoDaddy reported its fourth quarter and full year 2025 financial results. According to the complaint, total bookings growth decelerated to 5% in the fourth quarter of 2025, down from 9% in the prior quarter and below analyst estimates of 7%. Full-year 2025 total bookings growth came in at 7%, below Defendants’ previously stated expectation of 8%.

According to the complaint, during the associated earnings call, CEO Aman Bhutani disclosed that GoDaddy had introduced a promotional price for dotcom domains with a one-year term and that stronger-than-expected demand for the offer, together with the shift in contract-term mix, reduced upfront bookings and near-term revenue. The complaint further alleges that CFO Mark McCaffrey acknowledged that the annual promotional contracts affected bookings and reduced average order size at initiation.

Following these disclosures, GoDaddy’s stock price declined $13.18 per share, or more than 14%, from a closing price of $92.30 per share on February 24, 2026 to $79.12 per share on February 25, 2026, on heavier than usual volume.

Review the GoDaddy securities class action complaint.

GoDaddy Investors Who Suffered Losses

Investors who purchased GoDaddy common stock during the Class Period and suffered financial losses may complete Kehoe Law Firm’s confidential Stockholder Information Request Form or contact Michael Yarnoff, Esq. for a free, no-obligation evaluation of potential legal claims.

GDDY investors who wish to seek appointment as lead plaintiff have until October 20, 2026 to move the Court. An investor’s ability to share in any potential recovery does not depend on serving as lead plaintiff.

Michael Yarnoff, Esq.
(215) 792-6676, Ext. 804
[email protected]
[email protected]

About Kehoe Law Firm, P.C.

Kehoe Law Firm, P.C. is a nationally recognized, plaintiff-side class action law firm representing investors and consumers in matters involving securities fraud, corporate misconduct, mergers and acquisitions, antitrust violations, whistleblower claims, data breaches, consumer fraud, employment law violations, and retirement-plan mismanagement. Its attorneys have served as lead or co-lead counsel in major securities cases, recovering more than $10 billion for institutional and individual investors.

There is no cost or obligation to speak with the firm, and there are no upfront fees or litigation costs. We handle class action matters on a contingency-fee basis. Any attorneys’ fees or expenses sought in connection with a recovery are subject to court approval.

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