Grid Dynamics (NASDAQ:GDYN) Sets New 12-Month Low - What's Next?

Key Points

• Grid Dynamics (NASDAQ:GDYN) reached a new 52-week low of $7.44, trading down 3.7% with a last traded price of $7.48.
• Analysts have recently downgraded the stock, with Wall Street Zen lowering its rating from "buy" to "hold," while Needham & Company and JPMorgan reduced their price targets significantly.
• The company reported a quarterly revenue increase of 21.7% year-over-year, reaching $101.10 million, and is expected to post 0.18 EPS for the current year.

Grid Dynamics Holdings, Inc. (NASDAQ:GDYN - Get Free Report) shares reached a new 52-week low during mid-day trading on Wednesday . The company traded as low as $7.44 and last traded at $7.48, with a volume of 254132 shares trading hands. The stock had previously closed at $7.78.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the company. Wall Street Zen cut Grid Dynamics from a "buy" rating to a "hold" rating in a research report on Sunday, July 20th. JPMorgan Chase & Co. cut their price objective on Grid Dynamics from $13.00 to $11.00 and set an "overweight" rating for the company in a research report on Wednesday, August 20th. Finally, Needham & Company LLC cut their price objective on Grid Dynamics from $20.00 to $15.00 and set a "buy" rating for the company in a research report on Friday, August 1st. Four research analysts have rated the stock with a Buy rating, According to data from MarketBeat, the company currently has an average rating of "Buy" and a consensus price target of $15.75.

Grid Dynamics Price Performance

The business's 50-day moving average price is $8.99 and its two-hundred day moving average price is $12.28. The company has a market capitalization of $640.11 million, a price-to-earnings ratio of 39.79 and a beta of 1.03.

Grid Dynamics (NASDAQ:GDYN - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.10 earnings per share for the quarter, meeting analysts' consensus estimates of $0.10. Grid Dynamics had a net margin of 4.37% and a return on equity of 1.89%. The company had revenue of $101.10 million during the quarter, compared to the consensus estimate of $100.45 million. During the same period in the previous year, the business earned $0.08 earnings per share. The firm's quarterly revenue was up 21.7% on a year-over-year basis. Grid Dynamics has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. As a group, research analysts predict that Grid Dynamics Holdings, Inc. will post 0.18 EPS for the current year.

Institutional Investors Weigh In On Grid Dynamics

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Caitong International Asset Management Co. Ltd boosted its position in shares of Grid Dynamics by 28,150.0% during the 1st quarter. Caitong International Asset Management Co. Ltd now owns 1,695 shares of the company's stock worth $27,000 after acquiring an additional 1,689 shares in the last quarter. PNC Financial Services Group Inc. boosted its position in shares of Grid Dynamics by 199.0% during the 1st quarter. PNC Financial Services Group Inc. now owns 2,293 shares of the company's stock worth $36,000 after acquiring an additional 1,526 shares in the last quarter. USA Financial Formulas acquired a new stake in shares of Grid Dynamics during the 1st quarter worth approximately $42,000. Canada Pension Plan Investment Board acquired a new stake in shares of Grid Dynamics during the 2nd quarter worth approximately $43,000. Finally, Tower Research Capital LLC TRC boosted its position in shares of Grid Dynamics by 208.2% during the 2nd quarter. Tower Research Capital LLC TRC now owns 6,213 shares of the company's stock worth $72,000 after acquiring an additional 4,197 shares in the last quarter. 71.18% of the stock is currently owned by institutional investors and hedge funds.

Grid Dynamics Company Profile

Grid Dynamics Holdings, Inc, together with its subsidiaries, provides technology consulting, platform and product engineering, and analytics services in North America, Europe, and internationally. It offers cloud platform and product engineering services, such as architecting, designing, and building scalable and secure cloud-based platforms and business applications; and AI/machine learning and data platform engineering services that build platforms to facilitate batch and streaming data ingestion, quality governance, orchestration, semantic modeling, observability, and analysis at scale.