GoDaddy (NYSE:GDDY) versus Allin (OTCMKTS:ALLN) Critical Review

GoDaddy (NYSE:GDDY) and Allin (OTCMKTS:ALLN) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, analyst recommendations, institutional ownership, earnings, valuation, dividends and profitability.

Profitability

This table compares GoDaddy and Allin’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GoDaddy	41.74%	267.29%	8.47%
Allin	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and target prices for GoDaddy and Allin, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GoDaddy	0	5	8	1	2.71
Allin	0	0	0	0	N/A

GoDaddy presently has a consensus target price of $171.38, indicating a potential upside of 3.55%. Given GoDaddy’s higher probable upside, equities analysts plainly believe GoDaddy is more favorable than Allin.

Earnings and Valuation

This table compares GoDaddy and Allin”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GoDaddy	$4.25 billion	5.48	$1.37 billion	$12.94	12.79
Allin	N/A	N/A	N/A	N/A	N/A

GoDaddy has higher revenue and earnings than Allin.

Risk and Volatility

GoDaddy has a beta of 1.11, meaning that its stock price is 11% more volatile than the S&P 500. Comparatively, Allin has a beta of 0.36, meaning that its stock price is 64% less volatile than the S&P 500.

Insider and Institutional Ownership

90.3% of GoDaddy shares are held by institutional investors. 0.6% of GoDaddy shares are held by company insiders. Comparatively, 14.7% of Allin shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

GoDaddy beats Allin on 9 of the 10 factors compared between the two stocks.

About GoDaddy

GoDaddy Inc. engages in the design and development of cloud-based products in the United States and internationally. It operates through two segments: Applications and Commerce, and Core Platform. The Applications and Commerce segment provides applications products, including Websites + Marketing, a mobile-optimized online tool that enables customers to build websites and e-commerce enabled online stores; and Managed WordPress, a streamlined and optimized website building that allows customers to easily build and manage a faster WordPress site; Managed WooCommerce Stores to sell anything and anywhere online; and marketing tools and services, such as GoDaddy Studio mobile application, search engine optimization, Meta and Google My Business, and email and social media marketing designed to help businesses acquire and engage customers and create content. The segment also offers connected commerce comprising Smart Terminal, a dual screen all-in-one Point-of-Sale system that allows customers to manage in-store inventory and product catalogs and take payments; GoDaddy Payments, a payment facilitator that enables customers to accept all major forms of payments; and email service plans with a multi-feature web interface, and Microsoft Office 365 accounts that connects to customers’ domains. The Core Platform segment offers domain products, including primary registrations, domain aftermarket platform, and domain name add-ons, as well as GoDaddy Registry, a provider of domain name registry services; and hosting and security services comprising shared website hosting, virtual private servers, and managed wordpress hosting services, as well as security products with a comprehensive suite of tools designed to help secure customers’ online presence. The company serves small businesses, individuals, organizations, developers, designers, and domain investors. GoDaddy Inc. was founded in 1997 and is headquartered in Tempe, Arizona.

About Allin

Allin Corporation engages in designing, developing, and deploying interactive software platforms for the hospitality industry. It offers DIGIMANAGER, a browser-based content management system portal by which authorized staff can insert and edit interactive content, select options, schedule modules and content, and run system health checks, as well as run reports on system usage, guest responses, and transactions. The company also provides DigiHD, a high-definition ITV solution for distribution on IP network infrastructures; DIGIMOBILE, a solution to offer interactive smart phone/pad applications that can be integrated with existing ITV offerings; DIGICASINO, which deliver high-definition slots and video poker on room televisions; DIGIHD-(COAX), a solution that enables to deliver high-definition ITV services over RF broadcast network; and DIGIPUBLIC, a signage technology that enables cruise lines and land-based destination resorts to control various interactive public displays from DIGIMANAGER. It serves hotel and cruise industries. Allin Corporation was formerly known as Allin Communications Corp and changed its name to Allin Corporation in August 1996. The company was founded in 1994 and is based in Pittsburgh, Pennsylvania.