A securities class action has been filed against GoDaddy Inc. (GDDY) on behalf of all purchasers of GoDaddy common stock between September 3, 2025 through February 24, 2026. This case has been filed in the USDC – SDNY.
The complaint alleges that throughout the Class Period, the Defendants made false and misleading statements, and omitted information necessary to make the statements not false or misleading at the time they were made, because while the Company represented to investors that its strategy “isn’t to grow customers just for the sake of growing customers” and that “[w]e’ve seen the average order size go up,” the Company had implemented a promotion focusing on short term contracts with smaller valuations, which in turn led to a decrease in total bookings and deceleration of bookings growth for both the fourth quarter and full year 2025. The Complaint further alleges that on February 24, 2026 after the close of the market, the truth regarding the Company’s promotional discount instituted in the fall of 2025 and its material, adverse effect on total bookings growth was revealed when the Company issued a press release reporting its fourth quarter and full year 2025 financial results with the SEC on Form 8-K (the “Press Release”). The Press Release revealed that total bookings growth had sharply decelerated to 5% in the fourth quarter of 2025.
The price of GoDaddy common stock declined from a closing price of $92.30 per share on Tuesday, February 24, 2026 to a closing price of $79.12 per share on Wednesday, February 25, 2026, a decline of $13.18 per share, or more than 14% on heavier than usual volume.