WallStSmart

Godaddy Inc (GDDY)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Godaddy Inc generates 242% more annual revenue ($5.10B vs $1.49B). GDDY leads profitability with a 17.8% profit margin vs 3.8%. GDDY trades at a lower P/E of 15.1x. GDDY earns a higher WallStSmart Score of 72/100 (B).

GDDY

Strong Buy

72

out of 100

Grade: B

Growth: 6.7Profit: 9.0Value: 7.3Quality: 3.0
Piotroski: 4/9Altman Z: 0.46

SONO

Hold

48

out of 100

Grade: D+

Growth: 6.0Profit: 4.5Value: 3.7Quality: 7.0
Piotroski: 3/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GDDYUndervalued (+6.8%)

Margin of Safety

+6.8%

Fair Value

$97.35

Current Price

$98.07

$0.72 discount

UndervaluedFair: $97.35Overvalued
SONOSignificantly Overvalued (-31.9%)

Margin of Safety

-31.9%

Fair Value

$12.51

Current Price

$15.12

$2.61 premium

UndervaluedFair: $12.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GDDY5 strengths · Avg: 8.4/10
Return on EquityProfitability
366.7%10/10

Every $100 of equity generates 367 in profit

PEG RatioValuation
0.688/10

Growing faster than its price suggests

P/E RatioValuation
15.1x8/10

Attractively priced relative to earnings

Operating MarginProfitability
27.1%8/10

Strong operational efficiency at 27.1%

EPS GrowthGrowth
29.8%8/10

Earnings expanding 29.8% YoY

SONO2 strengths · Avg: 9.5/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

Areas to Watch

GDDY3 concerns · Avg: 1.7/10
Price/BookValuation
1961.4x2/10

Trading at 1961.4x book value

Altman Z-ScoreHealth
0.462/10

Distress zone — elevated risk

Debt/EquityHealth
573.341/10

Elevated debt levels

SONO4 concerns · Avg: 3.3/10
P/E RatioValuation
32.3x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.72B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
3.8%3/10

3.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : GDDY

The strongest argument for GDDY centers on Return on Equity, PEG Ratio, P/E Ratio. Profitability is solid with margins at 17.8% and operating margin at 27.1%. PEG of 0.68 suggests the stock is reasonably priced for its growth.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth, Debt/Equity.

Bear Case : GDDY

The primary concerns for GDDY are Price/Book, Altman Z-Score, Debt/Equity. Debt-to-equity of 573.34 is elevated, increasing financial risk.

Bear Case : SONO

The primary concerns for SONO are P/E Ratio, Market Cap, Return on Equity. Thin 3.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

GDDY profiles as a mature stock while SONO is a value play — different risk/reward profiles.

SONO carries more volatility with a beta of 1.94 — expect wider price swings.

SONO is growing revenue faster at 8.8% — sustainability is the question.

GDDY generates stronger free cash flow (437M), providing more financial flexibility.

Bottom Line

GDDY scores higher overall (72/100 vs 48/100), backed by strong 17.8% margins. Both earn "Strong Buy" and "Hold" 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.

Sonos Inc

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.

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