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AFRM vs. GDDY: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at AFRM and GDDY, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

GDDY stands out with 26.15 billion USD in market value—about 1.72× AFRM’s market cap of 15.24 billion USD.

AFRM’s beta of 3.66 points to much larger expected swings compared to GDDY’s calmer 1.13, suggesting both higher upside and downside potential.

SymbolAFRMGDDY
Company NameAffirm Holdings, Inc.GoDaddy Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySoftware - InfrastructureSoftware - Infrastructure
CEOMr. Max Roth LevchinMr. Amanpal Singh Bhutani
Price47.24 USD183.49 USD
Market Cap15.24 billion USD26.15 billion USD
Beta3.661.13
ExchangeNASDAQNYSE
IPO DateJanuary 13, 2021March 31, 2015
ADRNoNo

Performance Comparison

This chart compares the performance of AFRM and GDDY over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of AFRM and GDDY based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • AFRM posts a negative P/E of -246.14, reflecting last year’s net loss, while GDDY at 34.44 signals healthy earnings.
  • AFRM posts a negative forward PEG of -1.38, hinting at anticipated earnings decline, whereas GDDY at 1.34 has projections for stable or growing earnings.
SymbolAFRMGDDY
Price-to-Earnings Ratio (P/E, TTM)-246.1434.44
Forward PEG Ratio (TTM)-1.381.34
Price-to-Sales Ratio (P/S, TTM)5.075.61
Price-to-Book Ratio (P/B, TTM)5.32130.18
Price-to-Free Cash Flow Ratio (P/FCF, TTM)25.0419.09
EV-to-EBITDA (TTM)69.8530.44
EV-to-Sales (TTM)7.075.48
EV-to-Free Cash Flow (TTM)34.9018.63

Dividend Comparison

Neither AFRM nor GDDY currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.

SymbolAFRMGDDY
Dividend Yield (TTM)0.00%0.00%

Financial Strength Metrics Comparison

This section dives into the financial resilience of AFRM and GDDY, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • GDDY’s current ratio of 0.56 indicates its assets may not cover near-term debts, whereas AFRM at 63.09 maintains healthy liquidity.
  • GDDY posts a quick ratio of 0.56, indicating limited coverage of short-term debts from its most liquid assets—while AFRM at 63.09 enjoys stronger liquidity resilience.
  • With negative EBIT (-0.24), AFRM cannot cover its interest payments. GDDY, with an interest coverage of 9.41, meets its interest obligations.
SymbolAFRMGDDY
Current Ratio (TTM)63.090.56
Quick Ratio (TTM)63.090.56
Debt-to-Equity Ratio (TTM)2.560.45
Debt-to-Assets Ratio (TTM)0.710.01
Interest Coverage Ratio (TTM)-0.249.41