GoDaddy Inc. Class Action Lawsuit - GDDY
Case Summary
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The GoDaddy class action lawsuit seeks to represent purchasers of GoDaddy Inc. (NYSE: GDDY) common stock between September 3, 2025 and February 24, 2026, inclusive (the “Class Period”). Captioned Johnson v. GoDaddy Inc., No. 26-cv-07144 (S.D.N.Y.), the GoDaddy class action lawsuit charges GoDaddy and certain of GoDaddy’s top executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the GoDaddy class action lawsuit, please provide your information in the form on this page. You can also contact attorneys Ken Dolitsky or Michael Albert of Robbins Geller by calling 800/851-7783 or via e-mail at info@rgrdlaw.com. Lead plaintiff motions for the GoDaddy class action lawsuit must be filed with the court no later than October 20, 2026.
CASE ALLEGATIONS: GoDaddy engages in the design and development of cloud-based products.
The GoDaddy class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) while discussing the material issue of their go-to-market strategy around high-intent customers, defendants failed to disclose that they had also implemented a promotional discount for dotcom domains that were likely to and did result in shorter term contracts with smaller valuations that were likely to result in a deceleration in total bookings for the fourth quarter and full year 2025; (ii) despite stating that GoDaddy “turned off” discounting at the front of GoDaddy’s customer funnel, defendants failed to disclose that GoDaddy instituted promotional discounts during the Class Period; and (iii) despite telling 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,” GoDaddy had implemented a promotion that directly contradicted those representations by 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.
On February 24, 2026, GoDaddy issued a press release reporting its fourth quarter and full year 2025 financial results, allegedly disclosing that total bookings growth had sharply decelerated to 5% in the fourth quarter of 2025. That same day, GoDaddy hosted a conference call with analysts and investors, where Aman Bhutani, GoDaddy’s Chief Executive Officer, allegedly revealed that “this quarter, we expanded our go-to-market approach with a streamlined purchase experience for new domain customers. . . . We activated our marketing channels on the streamlined experience and introduced a promotional price for dotcom domains with a one-year term. The approach successfully increased new customer volume that purchased domain units with one-year terms, but the demand for this offer was greater than we expected and the shift in term mix combined with the promotional price reduced upfront bookings and near-term revenue.” Mark McCaffrey, GoDaddy’s Chief Financial Officer, allegedly responded to a question from an analyst about the decision to change GoDaddy’s go-to-market strategy by stating “[t]his is impacting our bookings, but has relatively little impact on revenue itself because the timing of the revenue recognition stays consistent. So that’s one aspect of it. The other is, there is a reduction in our average order size of initiation related to the discount that gets allocated amongst all the products that does have a little bit of impact on revenue in and of itself. . . . We think the major impact is going to be at the end of this year and going into Q1.” On this news, the price of GoDaddy stock fell more than 14%, according to the complaint.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased GoDaddy common stock during the Class Period to seek appointment as lead plaintiff in the GoDaddy class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the GoDaddy class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the GoDaddy class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the GoDaddy class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities fraud and shareholder rights litigation. Our Firm ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report, recovering more than $916 million for investors in 2025. This marks our fourth #1 ranking in the past five years. And in those five years alone, Robbins Geller recovered $8.4 billion for investors – $3.4 billion more than any other law firm. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world, and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest ever – $7.2 billion – in In re Enron Corp. Sec. Litig.