GoDaddy Inc. (GDDY – Free Report) has introduced a service, namely List for Sale, in a bid to strengthen its domain offerings.
Notably, the new service helps customers to list and sell their unused domain names. Customers owning a domain name can access this service without any charge and generate profit on unused domains.
An estimate pricing tool is offered to users for setting an accurate pricing for their listing.
New domain names that have been introduced into Afternic unlock valuable inventory for domain investors.
We believe the underlined solution is likely to expand the company’s customer base, which might contribute to revenues of the Domains segment.
Notably, this particular segment has become an integral part of GoDaddy’s overall business. It generated 47% of total revenues in first-quarter 2021. Also, revenues from this segment grew 19% year over year.
Domain Names Market Holds Promise
We note that the latest move poises GoDaddy well to expand presence in the growing domain names market.
This market has shown a high degree of resilience to the coronavirus pandemic, as businesses across diverse industries were severely hit by the pandemic.
Growing initiatives toward digital transformation by companies amid the pandemic are driving this market’s prospects.
Companies are now investing more in digital marketing strategies and improving site performance, shopping experience as well as social media integration.
According to a report by ResearchAndMarkets, the global market for domain names is likely to reach 597.5 million cumulative number of registered domain names by 2027, witnessing a CAGR of 6.7% between 2020 and 2027.
GoDaddy’s Initiatives to Strengthen Solutions
GoDaddy is making strong efforts to strengthen products and services for offering better solutions to customers. The latest move is a step forward in this direction.
Last month, GoDaddy introduced a new payment solution — namely GoDaddy Payments — that will seamlessly manage commerce transactions of GoDaddy Websites + Marketing and Managed WordPress WooCommerce customers directly.
In late April, GoDaddy introduced the Hub by GoDaddy Pro for delivering a new integrated project, site, and client management platform for website developers as well as designers.
Moreover, GoDaddy’s release of a plugin bundle expansion offering free access to a library of more than 75 premium WooCommerce extensions for its Managed WordPress Ecommerce customers remains noteworthy.
We believe that these endeavors will continue to shape GoDaddy’s growth trajectory and sustain momentum in various end-markets served in the upcoming period.
Zacks Rank & Stocks to Consider
Currently, GoDaddy carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader technology sector include Agilent Technologies (A – Free Report) , Apple (AAPL – Free Report) and Analog Devices (ADI – Free Report) . While Agilent sports a Zacks Rank #1 (Strong Buy), Apple and Analog Devices carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Long-term earnings growth rates for Agilent, Apple and Analog Devices are currently projected at 13%, 12.5%and 12.3%, respectively.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
