Douglas Lane & Associates disclosed a sale of 22,113 shares of GoDaddy (GDDY 1.45%), with an estimated transaction value of $3.4 million in the third quarter.
What Happened
According to a filing with the U.S. Securities and Exchange Commission released on Friday, Douglas Lane & Associates sold 22,113 shares of GoDaddy during the third quarter. The estimated transaction value, based on the average closing price for the period, was $3.4 million. After the sale, the fund held 668,472 shares, worth $91.5 million at quarter-end.
What Else to Know
The sale reduced Douglas Lane's GoDaddy stake to less than 1.3% of the fund's 13F reportable assets.
Top five holdings after the filing:
- NVDA: $312.5 million (4.5% of AUM)
- GOOGL: $259.1 million (3.7% of AUM)
- JPM: $203.6 million (2.9% of AUM)
- MSFT: $184.8 million (2.6% of AUM)
- QCOM: $167.3 million (2.4% of AUM)
As of Monday morning, GoDaddy shares were priced at $132.26, down 17% over the past year and far underperforming the S&P 500, which is up 13% over the same period.
Company Overview
| Metric | Value |
|---|---|
| Price (as of Monday morning) | $132.26 |
| Market Capitalization | $18.2 billion |
| Revenue (TTM) | $4.8 billion |
| Net Income (TTM) | $808 million |
Company Snapshot
- GoDaddy provides domain registration, website hosting, security solutions, online marketing tools, and payment processing services.
- The company monetizes digital presence and productivity tools for individuals and businesses via cloud-based platforms and add-on services.
- It serves small businesses, individuals, developers, designers, and domain investors looking to establish and grow their online presence.
GoDaddy Inc. is a leading provider of cloud-based infrastructure and digital presence solutions, supporting over 5,500 employees and serving a global customer base. The company leverages its scale and integrated platform to deliver essential online tools for small businesses and individuals, enabling them to build, manage, and secure their digital identities.
Foolish Take
Douglas Lane & Associates’ sale of 22,113 shares of GoDaddy—an estimated $3.4 million transaction—suggests the firm is trimming exposure to one of its more volatile tech holdings after a turbulent few months for the domain and hosting provider. GoDaddy stock has now fallen roughly 40% from its January highs despite steady financial performance.
In its second-quarter earnings, GoDaddy reported $1.21 billion in revenue, up 8% year-over-year, and earnings of $1.41 per share, modestly above consensus. However, the market reacted sharply to the company’s conservative forward guidance, sending shares down more than 11% in a single session. The results underscored GoDaddy’s continued growth in digital presence and payment services, but expectations for a more robust beat weren’t met.
Douglas Lane’s partial reduction may reflect profit-taking and risk management, especially given the fund’s concentration in larger, steadier tech names like Nvidia and Microsoft. Still, GoDaddy’s $900 million share repurchase program signals confidence in its long-term fundamentals—even if Wall Street remains skeptical in the short run.
Glossary
AUM: Assets Under Management – The total market value of investments a fund or firm manages for clients.
13F reportable: Refers to holdings that must be disclosed in quarterly SEC filings by institutional investment managers with over $100 million in assets.
Quarter ended: The last day of a three-month financial reporting period, used for performance and valuation calculations.
Transaction value: The total dollar amount received or paid in a specific investment trade or sale.
Stake: The ownership interest or number of shares held in a company by an investor or fund.
Top five holdings: The five largest investments in a fund's portfolio, typically by market value.
Cloud-based platforms: Online services and tools accessed via the internet rather than installed on local computers.
Monetizes: Generates revenue from a product, service, or asset.
Digital presence: The visibility and identity a person or business has online, including websites and social media.
TTM: The 12-month period ending with the most recent quarterly report.
