Debt-to-Equity Ratio

GoDaddy’s debt-to-equity ratio of 16.22x means that for every dollar of shareholder equity, the company has $16.22 in debt, a measure of financial leverage used to gauge reliance on borrowing.

This level is far above the sector median of 0.27x, placing GoDaddy in the 100th percentile among its Technology peers — the highest possible rank, indicating extreme leverage relative to the industry. Because the year-over-year and quarter-over-quarter changes are both listed as N/A, there is no trend data available to assess whether leverage is increasing or decreasing. The combination of a very high ratio and no observable trend signals elevated financial risk, as the company’s heavy debt load could strain cash flows if interest costs rise or revenues decline. At the same time, the absence of a trend means no directional change to either worsen or improve that risk. This metric does not directly support a neutral verdict; instead, it points to a potential red flag that would typically warrant caution, but the overall NEUTRAL stance may account for other offsetting factors.

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