Reviewing GoDaddy (NYSE:GDDY) & PhoneX (OTCMKTS:PXHI)

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

Earnings and Valuation

This table compares GoDaddy and PhoneX”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GoDaddy	$4.66 billion	5.42	$936.90 million	$5.20	34.11
PhoneX	$179.41 million	0.28	$6.41 million	$0.16	8.88

GoDaddy has higher revenue and earnings than PhoneX. PhoneX is trading at a lower price-to-earnings ratio than GoDaddy, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

90.3% of GoDaddy shares are owned by institutional investors. 0.6% of GoDaddy shares are owned by company insiders. Comparatively, 21.5% of PhoneX shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk & Volatility

GoDaddy has a beta of 1.05, indicating that its stock price is 5% more volatile than the S&P 500. Comparatively, PhoneX has a beta of 1.95, indicating that its stock price is 95% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
GoDaddy	16.20%	211.09%	9.33%
PhoneX	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and price targets for GoDaddy and PhoneX, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GoDaddy	0	6	7	1	2.64
PhoneX	0	0	0	0	0.00

GoDaddy presently has a consensus price target of $214.86, suggesting a potential upside of 21.14%. Given GoDaddy’s stronger consensus rating and higher possible upside, analysts clearly believe GoDaddy is more favorable than PhoneX.

Summary

GoDaddy beats PhoneX on 13 of the 15 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 PhoneX

PhoneX Holdings, Inc. operates as a market maker of used smartphones. The company acquires products from individual consumers through its uSell.com Website, as well as from various carriers, big box retailers, and manufacturers through its subsidiary, We Sell Cellular. It sells its devices to professional buyers, such as brick and mortar retailers, online retailers, large and small wholesalers, small repair shops, large refurbishing providers, and insurance companies, as well as directly to consumers through third party e-commerce platforms. The company was formerly known as usell.com, Inc. and changed its name to PhoneX Holdings, Inc. in May 2019. PhoneX Holdings, Inc. was incorporated in 2003 and is headquartered in New York, New York.