Innodata (NASDAQ:INOD) Shares Gap Down – Here’s Why

Innodata Inc. (NASDAQ:INOD)’s share price gapped down before the market opened on Monday . The stock had previously closed at $47.25, but opened at $44.44. Innodata shares last traded at $42.62, with a volume of 326,262 shares.

Analyst Ratings Changes

INOD has been the subject of several recent analyst reports. Wedbush initiated coverage on shares of Innodata in a research note on Thursday, December 19th. They issued an “outperform” rating and a $48.00 target price for the company. Chardan Capital reiterated a “buy” rating and set a $45.00 target price on shares of Innodata in a research note on Friday, December 13th. BWS Financial increased their price target on Innodata from $45.00 to $74.00 and gave the company a “buy” rating in a research note on Friday, February 21st. StockNews.com upgraded shares of Innodata from a “sell” rating to a “hold” rating in a research note on Saturday, November 16th. Finally, Maxim Group increased their price target on Innodata from $54.00 to $75.00 and gave the stock a “buy” rating in a research report on Friday, February 21st. One analyst has rated the stock with a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat.com, Innodata has a consensus rating of “Moderate Buy” and an average target price of $53.00.

Innodata Stock Down 7.9 %

The firm has a market capitalization of $1.36 billion, a price-to-earnings ratio of 51.41 and a beta of 2.59. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.84 and a quick ratio of 1.84. The stock has a fifty day moving average of $44.06 and a two-hundred day moving average of $32.87.

Innodata (NASDAQ:INOD) last posted its earnings results on Thursday, February 20th. The technology company reported $0.31 EPS for the quarter, topping the consensus estimate of $0.11 by $0.20. Innodata had a net margin of 16.81% and a return on equity of 66.36%. The company had revenue of $59.18 million during the quarter, compared to the consensus estimate of $53.01 million. Sell-side analysts anticipate that Innodata Inc. will post 0.81 earnings per share for the current year.

Insider Transactions at Innodata

In other Innodata news, CFO Marissa B. Espineli sold 30,000 shares of the company’s stock in a transaction dated Wednesday, February 26th. The stock was sold at an average price of $65.09, for a total value of $1,952,700.00. Following the transaction, the chief financial officer now directly owns 18,000 shares in the company, valued at $1,171,620. This represents a 62.50 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Nauman Sabeeh Toor sold 196,777 shares of the business’s stock in a transaction dated Wednesday, February 26th. The stock was sold at an average price of $64.40, for a total value of $12,672,438.80. Following the transaction, the director now directly owns 12,417 shares of the company’s stock, valued at $799,654.80. The trade was a 94.06 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 385,634 shares of company stock worth $22,639,902. 15.23% of the stock is owned by company insiders.

Hedge Funds Weigh In On Innodata

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Allworth Financial LP bought a new position in Innodata in the fourth quarter valued at $29,000. USA Financial Formulas purchased a new position in shares of Innodata in the 4th quarter worth about $36,000. Meeder Asset Management Inc. bought a new position in shares of Innodata during the 4th quarter valued at about $36,000. AlphaQuest LLC boosted its stake in Innodata by 79.4% in the fourth quarter. AlphaQuest LLC now owns 1,030 shares of the technology company’s stock worth $41,000 after buying an additional 456 shares in the last quarter. Finally, SBI Securities Co. Ltd. bought a new stake in Innodata in the fourth quarter worth $150,000. Hedge funds and other institutional investors own 30.75% of the company’s stock.

About Innodata

Innodata Inc operates as a global data engineering company in the United States, the United Kingdom, the Netherlands, Canada, and internationally. The company operates through three segments: Digital Data Solutions (DDS), Synodex, and Agility. The DDS segment engages in the provision of artificial intelligence (AI) data preparation services; collecting or creating training data; annotating training data; and training AI algorithms for its customers, as well as AI model deployment and integration services.