GoDaddy DCF Stock Analysis. Buy or Sell?

GoDaddy DCF Stock Analysis. Buy or Sell?

GoDaddy DCF Stock Analysis.

Here’s my assumptions:

Risk Free Rate (10 Years Interest Rate Swap): 3.95%

Risk Premium (Taken from the Aswath Damodaran equity premium spreadsheet): 4.62%

Interest Rate Spread on The Risk free rate ( For the cost of debt calculation): 4.5%

Historical Data

Revenue growth in the last 10 years (CAGR): 9.38%

Earnings growth in the last 10 years (CAGR): / (from -$75.6M to $828.5M)

Unlevered Free Cash Flow growth in the last 10 years (CAGR): 16.48%

Future Assumptions

End of Year FCF growth: 10%

Growth until end of 2026: 8%

Growth until end of 2034: 5%

Perpetual growth: 3%

Net Debt: 2.89B

Outstanding Stock Options Present Value Assumption: $0.028B

Assumptions used for the Black & Scholes model:

  • Stock Price: $90
  • Strike Price: $54.28
  • Time to expiration: 3.5 years
  • Risk Free Rate: 3.95%
  • Volatility: 25%

Restricted Stock Units Present Value Assumption: $0.449B

Stock Valuation based on these assumptions: $201

Last update 02/22/2026

All the content in this newsletter should be taken as informational content only. THIS IS NOT FINANCIAL ADVICE! Do your own Due Diligence before investing or contact a professional financial advisor.

I don’t have a position in GoDaddy (GDDY) and I don’t plan to add a position in the coming days.