Rathbones Group PLC Sells 25,174 Shares of Innodata Inc. $INOD

Key Points

• Rathbones Group PLC trimmed its Innodata stake by 17.4% in the fourth quarter, selling 25,174 shares and ending with 119,410 shares valued at about $6.1 million.
• Innodata’s recent earnings were much stronger than expected, with EPS of $0.42 versus $0.08 estimated and revenue of $90.1 million versus $76.47 million expected, helped by 54.5% year-over-year revenue growth.
• Analysts remain generally bullish, with Wedbush raising its price target to $100 and the consensus rating standing at “Moderate Buy” with an average target price of $105, even as insiders have been selling shares heavily.

Rathbones Group PLC decreased its position in Innodata Inc. (NASDAQ:INOD - Free Report) by 17.4% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The firm owned 119,410 shares of the technology company's stock after selling 25,174 shares during the quarter. Rathbones Group PLC owned approximately 0.37% of Innodata worth $6,084,000 at the end of the most recent quarter.

A number of other institutional investors also recently bought and sold shares of INOD. HRT Financial LP lifted its holdings in Innodata by 746.1% in the second quarter. HRT Financial LP now owns 218,635 shares of the technology company's stock valued at $11,198,000 after acquiring an additional 192,794 shares during the period. First Trust Advisors LP bought a new position in Innodata in the second quarter valued at about $7,825,000. RFG Advisory LLC bought a new position in Innodata in the fourth quarter valued at about $5,750,000. Soros Capital Management LLC bought a new position in Innodata in the third quarter valued at about $7,514,000. Finally, UBS Group AG lifted its holdings in Innodata by 37.1% in the fourth quarter. UBS Group AG now owns 350,928 shares of the technology company's stock valued at $17,880,000 after acquiring an additional 95,002 shares during the period. Institutional investors own 30.75% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts have weighed in on the company. Wedbush increased their target price on Innodata from $80.00 to $100.00 and gave the company an "outperform" rating in a report on Thursday, May 14th. BWS Financial reaffirmed a "top pick" rating and issued a $110.00 price objective on shares of Innodata in a research note on Friday, April 10th. Weiss Ratings downgraded Innodata from a "hold (c+)" rating to a "hold (c)" rating in a research note on Tuesday. Finally, Wall Street Zen raised Innodata from a "sell" rating to a "hold" rating in a research note on Saturday, March 21st. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $105.00.

Key Innodata News

Here are the key news stories impacting Innodata this week:

• Positive Sentiment: Innodata’s latest earnings beat was strong, with EPS of $0.42 versus $0.08 expected and revenue of $90.1 million versus $76.47 million estimated. Revenue also rose 54.5% year over year, reinforcing confidence in the company’s AI-related growth.
• Positive Sentiment: Wedbush raised its price target on Innodata to $100 from $80 and kept an outperform rating, supporting the case that Wall Street still sees upside after the stock’s big run.
• Positive Sentiment: Recent commentary continues to frame Innodata as a potential beneficiary of accelerating AI spending, with articles comparing it favorably to other AI data names and highlighting possible further upside. Article Title
• Neutral Sentiment: Institutional investors have been adding to positions, which is supportive over time, but it is not a near-term catalyst by itself.
• Negative Sentiment: Recent insider selling has been heavy, including CEO Jack Abuhoff and Director Louise C. Forlenza selling shares. That can create some caution among investors, especially after the stock’s sharp advance.

Innodata Stock Up 4.0%

Shares of INOD opened at $98.53 on Friday. The business's 50 day moving average is $52.39 and its 200 day moving average is $53.60. The company has a market capitalization of $3.22 billion, a PE ratio of 88.77 and a beta of 2.40. Innodata Inc. has a 12-month low of $33.77 and a 12-month high of $114.77. The company has a current ratio of 2.49, a quick ratio of 2.49 and a debt-to-equity ratio of 0.07.

Innodata (NASDAQ:INOD - Get Free Report) last issued its earnings results on Thursday, May 7th. The technology company reported $0.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.08 by $0.34. The company had revenue of $90.10 million for the quarter, compared to the consensus estimate of $76.47 million. Innodata had a return on equity of 37.49% and a net margin of 13.86%.The firm's quarterly revenue was up 54.5% on a year-over-year basis. During the same quarter last year, the company earned $0.22 EPS. Research analysts expect that Innodata Inc. will post 0.99 earnings per share for the current fiscal year.

Insider Activity at Innodata

In other Innodata news, Director Louise C. Forlenza sold 18,000 shares of the firm's stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $94.47, for a total transaction of $1,700,460.00. Following the completion of the transaction, the director owned 3,943 shares in the company, valued at $372,495.21. This trade represents a 82.03% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Stewart R. Massey sold 10,000 shares of the firm's stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $96.00, for a total value of $960,000.00. Following the transaction, the director owned 11,000 shares of the company's stock, valued at $1,056,000. This represents a 47.62% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 976,851 shares of company stock valued at $90,764,451. 11.80% of the stock is owned by company insiders.

Innodata Profile

Innodata Inc NASDAQ: INOD is a digital services and technology company that specializes in data engineering and artificial intelligence solutions. Founded in 1988 and headquartered in East Brunswick, New Jersey, the company provides structured content and digital transformation services to publishers, media companies, legal and compliance organizations, and other information-intensive industries. Innodata's platform enables clients to convert unstructured text, images and multimedia into high‐quality, machine‐readable formats that support search, analytics and AI model training.

The firm's offerings include content enrichment, metadata management, taxonomy development, digital asset management and data annotation services.

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