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

Innodata Inc. (NASDAQ:INOD) gapped down prior to trading on Tuesday. The stock had previously closed at $59.91, but opened at $48.70. Innodata shares last traded at $47.1790, with a volume of 1,805,826 shares.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on INOD shares. Yorkville Ives assumed coverage on Innodata in a research note on Monday, October 5th. They issued an “outperform” rating and a $90.00 price objective on the stock. Zacks Research downgraded Innodata from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, August 11th. Weiss Ratings cut shares of Innodata from a “buy (b-)” rating to a “hold (c+)” rating in a report on Friday, July 31st. Finally, BWS Financial reissued a “top pick” rating and set a $140.00 target price on shares of Innodata in a research report on Friday, September 18th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $116.67.

Innodata Trading Down 25.1%

The company’s 50 day simple moving average is $60.25 and its two-hundred day simple moving average is $61.96. The company has a quick ratio of 1.73, a current ratio of 1.73 and a debt-to-equity ratio of 0.06. The company has a market capitalization of $1.54 billion, a price-to-earnings ratio of 33.74 and a beta of 2.98.

Innodata (NASDAQ:INOD) last announced its earnings results on Thursday, August 6th. The technology company reported $0.41 earnings per share for the quarter, topping the consensus estimate of $0.21 by $0.20. Innodata had a return on equity of 37.79% and a net margin of 14.66%. The firm had revenue of $92.14 million for the quarter, compared to the consensus estimate of $86.31 million. During the same period in the previous year, the business earned $0.20 EPS. The firm’s revenue for the quarter was up 57.8% on a year-over-year basis. As a group, research analysts anticipate that Innodata Inc. will post 1.35 earnings per share for the current fiscal year.

Insider Activity at Innodata

In other Innodata news, Director Louise Forlenza sold 10,000 shares of the company’s stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $53.54, for a total transaction of $535,400.00. Following the transaction, the director owned 5,424 shares in the company, valued at approximately $290,400.96. This represents a 64.83% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 11.80% of the stock is owned by insiders.

Institutional Investors Weigh In On Innodata

Institutional investors and hedge funds have recently made changes to their positions in the stock. Glenmede Trust Co. NA raised its position in shares of Innodata by 3.5% during the 1st quarter. Glenmede Trust Co. NA now owns 7,336 shares of the technology company’s stock valued at $283,000 after buying an additional 248 shares during the period. Compass Financial Management LLC purchased a new position in Innodata during the 2nd quarter valued at about $26,000. Nisa Investment Advisors LLC grew its holdings in shares of Innodata by 23.1% in the third quarter. Nisa Investment Advisors LLC now owns 2,300 shares of the technology company’s stock valued at $151,000 after purchasing an additional 431 shares in the last quarter. Ancora Advisors LLC acquired a new stake in shares of Innodata in the second quarter valued at $36,000. Finally, CoreCap Advisors LLC boosted its stake in shares of Innodata by 333.3% in the 3rd quarter. CoreCap Advisors LLC now owns 650 shares of the technology company’s stock valued at $43,000 after buying an additional 500 shares during the period. 30.75% of the stock is currently owned by institutional investors and hedge funds.

Innodata Company Profile

Innodata Inc (NASDAQ: INOD) is a global data engineering and technology company that helps organizations prepare, manage and use information for digital transformation and artificial intelligence initiatives. Its services are designed to support the development, training, evaluation and deployment of AI and machine-learning systems.

The company provides data annotation and labeling, data collection and preparation, content transformation, document processing, natural-language services, and generative AI support.