WallStSmart

Godaddy Inc (GDDY)vsMicrosoft Corporation (MSFT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Microsoft Corporation generates 6069% more annual revenue ($305.45B vs $4.95B). MSFT leads profitability with a 39.0% profit margin vs 17.7%. GDDY appears more attractively valued with a PEG of 0.68. MSFT earns a higher WallStSmart Score of 74/100 (B).

GDDY

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 10.0Quality: 3.0
Piotroski: 4/9Altman Z: 0.63

MSFT

Strong Buy

74

out of 100

Grade: B

Growth: 8.7Profit: 9.5Value: 10.0Quality: 7.0
Piotroski: 4/9Altman Z: 2.51
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GDDYUndervalued (+68.8%)

Margin of Safety

+68.8%

Fair Value

$291.10

Current Price

$81.58

$209.52 discount

UndervaluedFair: $291.10Overvalued
MSFTUndervalued (+50.1%)

Margin of Safety

+50.1%

Fair Value

$747.40

Current Price

$371.04

$376.36 discount

UndervaluedFair: $747.40Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GDDY4 strengths · Avg: 8.0/10
PEG RatioValuation
0.688/10

Growing faster than its price suggests

P/E RatioValuation
12.9x8/10

Attractively priced relative to earnings

Operating MarginProfitability
25.1%8/10

Strong operational efficiency at 25.1%

EPS GrowthGrowth
31.7%8/10

Earnings expanding 31.7% YoY

MSFT6 strengths · Avg: 9.7/10
Market CapQuality
$2.85T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.4%10/10

Every $100 of equity generates 34 in profit

Profit MarginProfitability
39.0%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
47.1%10/10

Strong operational efficiency at 47.1%

EPS GrowthGrowth
59.8%10/10

Earnings expanding 59.8% YoY

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

Areas to Watch

GDDY4 concerns · Avg: 2.0/10
Return on EquityProfitability
1.9%3/10

ROE of 1.9% — below average capital efficiency

Price/BookValuation
51.0x2/10

Trading at 51.0x book value

Altman Z-ScoreHealth
0.632/10

Distress zone — elevated risk

Debt/EquityHealth
42.171/10

Elevated debt levels

MSFT0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : GDDY

The strongest argument for GDDY centers on PEG Ratio, P/E Ratio, Operating Margin. Profitability is solid with margins at 17.7% and operating margin at 25.1%. PEG of 0.68 suggests the stock is reasonably priced for its growth.

Bull Case : MSFT

The strongest argument for MSFT centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 39.0% and operating margin at 47.1%. Revenue growth of 16.7% demonstrates continued momentum.

Bear Case : GDDY

The primary concerns for GDDY are Return on Equity, Price/Book, Altman Z-Score. Debt-to-equity of 42.17 is elevated, increasing financial risk.

Bear Case : MSFT

No major red flags identified for MSFT, but monitor valuation.

Key Dynamics to Monitor

GDDY profiles as a mature stock while MSFT is a growth play — different risk/reward profiles.

MSFT carries more volatility with a beta of 1.11 — expect wider price swings.

MSFT is growing revenue faster at 16.7% — sustainability is the question.

MSFT generates stronger free cash flow (5.9B), providing more financial flexibility.

Bottom Line

GDDY scores higher overall (74/100 vs 74/100), backed by strong 17.7% margins. MSFT offers better value entry with a 50.1% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Godaddy Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

GoDaddy Inc. is dedicated to the design and development of cloud-based technology products in the United States and internationally. The company is headquartered in Scottsdale, Arizona.

Microsoft Corporation

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Microsoft Corporation is an American multinational technology company which produces computer software, consumer electronics, personal computers, and related services. Its best known software products are the Microsoft Windows line of operating systems, the Microsoft Office suite, and the Internet Explorer and Edge web browsers. Its flagship hardware products are the Xbox video game consoles and the Microsoft Surface lineup of touchscreen personal computers. Microsoft ranked No. 21 in the 2020 Fortune 500 rankings of the largest United States corporations by total revenue; it was the world's largest software maker by revenue as of 2016. It is considered one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Amazon, and Facebook.

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