Market Movers: GoDaddy Soars Amid AI Breakthrough
AI-Powered Enterprise Software Maker Sees New Breakout
GoDaddy, a leading provider of internet domains to millions of small businesses, has launched a new breakout, earning a spot on the IBD Breakout Stocks Index. This comes after the company’s stock already soared as much as 194% from a post-earnings spike in November 2023.
Harnessing AI Technology
GoDaddy Airo, the company’s innovative AI technology, aims to help small-business owners get online faster, drive website traffic, and deepen customer engagement. One such entrepreneur is Walton Goggins, a two-time Emmy nominee, who has partnered with GoDaddy Airo to launch his goggle glasses business.
Super Bowl Commercial Boost
GoDaddy returns to the Super Bowl advertising scene with a commercial starring Goggins, set to air on February 9. The ad will highlight how GoDaddy Airo helped turn the actor’s idea into a thriving business.
Strong Industry Group
GoDaddy hails from the enterprise software industry group, which ranks a strong No. 7 out of the 197 industries IBD tracks. The company’s stock has clear demand, with an A Accumulation/Distribution Rating and five quarters of rising fund ownership.
Technical Analysis
GoDaddy has cleared a 211.11 buy point in a flat base and remains in buy range. Its relative strength line has soared to 52-week highs, showing market leadership. Despite its already meteoric rise, GoDaddy’s latest base is technically a still-young second-stage pattern, a positive sign for further gains.
Risk Management
While GoDaddy stock is showing power with an early-stage breakout, investors should not ignore its already stellar run. It’s essential to keep risk management rules in mind, especially with earnings due on February 13.
Tracking AI Leaders
Meanwhile, investors should also track how other AI leaders like Nvidia and Broadcom are faring after getting rattled by the DeepSeek news. While Nvidia remains well below its 50-day moving average, it showed some resilience by popping back above its 200-day line. Broadcom is showing similar action, now trading back above its 50-day line.
Investing in the IBD Breakout Stocks Index
The IBD Breakout Opportunities ETF (BOUT) from Innovator Capital Management tracks the IBD Breakout Stocks Index, allowing investors to invest in the entire index in addition to, or rather than, buying individual stocks.
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