AI Hype Couldn't Prevent It... $800 Million Vanished from Web Hosting Stocks in a Day

GoDaddy Inc. (NYSE: GDDY) plunged 5.95% in New York trading on June 11, closing at $75.50. Its market capitalization fell to roughly $10 billion—about ₩14 trillion—erasing some $560 million (≈₩800 billion) in one day on a trading volume of approximately 1.41 million shares. The drop mirrored weakness across the tech sector, with the Nasdaq Composite down nearly 2%.

In its Q1 2026 earnings release at the end of April, GoDaddy reported revenue of $1.267 billion, up 6% year-over-year, along with robust operating income and free cash flow growth. The company is advancing its shift to an AI- and mobile-focused platform through its Airo AI website builder, a unified mobile app, and partnerships with LegalZoom and Cloudflare. Despite these initiatives, the stock remains more than 50% below its 52-week high.

GoDaddy is one of the world’s largest domain registrars and web-hosting providers, serving over 20.4 million customers—primarily small and midsize businesses—with domain registration, website creation and hosting, e-commerce tools, email, and security services via a one-stop platform. Founded in Arizona in 1997, the company received private-equity backing before going public on the NYSE in 2015. It has recently stepped up efforts to bolster the online entrepreneurship ecosystem with AI-driven site-building tools and microbusiness research.