Happy \ha(p)-py\ as a girl's name is of English origin, and the meaning of Happy is "cheerful, lighthearted". Used in the 19th century; Felicity and Hilary are more common in modern times. Happy is sometimes used as a nickname nowadays. The late Nelson Rockefeller's wife was named Happy.
Baby names that sound like Happy are Hope and Hebe. Other similar baby names are Hanny, Haley, Hally, Hatty, Haily, Haely, Peppy, Pippy and Poppy.