Innodata (NASDAQ:INOD) Shares Gap Down – Time to Sell?

Innodata Inc. (NASDAQ:INOD) shares gapped down prior to trading on Monday . The stock had previously closed at $40.28, but opened at $35.00. Innodata shares last traded at $34.46, with a volume of 810,297 shares.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the company. BWS Financial lifted their price target on Innodata from $30.00 to $45.00 and gave the company a “buy” rating in a research report on Friday, November 8th. StockNews.com raised Innodata from a “sell” rating to a “hold” rating in a report on Saturday, November 16th. Wedbush assumed coverage on shares of Innodata in a report on Thursday, December 19th. They issued an “outperform” rating and a $48.00 price target for the company. Finally, Chardan Capital reaffirmed a “buy” rating and issued a $45.00 price objective on shares of Innodata in a research note on Friday, December 13th. One analyst has rated the stock with a hold rating and five have issued a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $38.20.

Innodata Stock Down 17.4 %

The business’s 50 day moving average is $40.28 and its 200 day moving average is $26.55. The company has a debt-to-equity ratio of 0.15, a quick ratio of 1.84 and a current ratio of 1.84. The stock has a market cap of $964.92 million, a price-to-earnings ratio of 56.40 and a beta of 2.59.

Innodata (NASDAQ:INOD) last issued its quarterly earnings results on Thursday, November 7th. The technology company reported $0.35 earnings per share for the quarter, beating analysts’ consensus estimates of $0.07 by $0.28. The business had revenue of $52.22 million for the quarter, compared to the consensus estimate of $35.47 million. Innodata had a return on equity of 44.38% and a net margin of 14.57%. During the same quarter in the previous year, the company posted $0.01 earnings per share. Equities analysts expect that Innodata Inc. will post 0.62 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Stewart R. Massey sold 50,000 shares of the firm’s stock in a transaction that occurred on Wednesday, November 13th. The shares were sold at an average price of $40.55, for a total transaction of $2,027,500.00. Following the transaction, the director now owns 25,262 shares of the company’s stock, valued at approximately $1,024,374.10. This trade represents a 66.43 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Ashok Mishra sold 92,726 shares of Innodata stock in a transaction on Tuesday, November 19th. The shares were sold at an average price of $43.16, for a total transaction of $4,002,054.16. The disclosure for this sale can be found here. Over the last three months, insiders sold 1,035,083 shares of company stock worth $46,889,370. 15.23% of the stock is owned by company insiders.

Hedge Funds Weigh In On Innodata

Institutional investors have recently modified their holdings of the company. Marshall Wace LLP grew its stake in Innodata by 83.9% in the 2nd quarter. Marshall Wace LLP now owns 85,395 shares of the technology company’s stock valued at $1,266,000 after buying an additional 38,954 shares during the last quarter. Barclays PLC increased its stake in shares of Innodata by 324.3% in the third quarter. Barclays PLC now owns 38,557 shares of the technology company’s stock worth $647,000 after purchasing an additional 29,470 shares during the period. Squarepoint Ops LLC acquired a new position in shares of Innodata during the 2nd quarter worth about $381,000. Silverleafe Capital Partners LLC bought a new position in Innodata in the 4th quarter worth approximately $913,000. Finally, Los Angeles Capital Management LLC bought a new stake in Innodata in the 3rd quarter valued at $330,000. 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.