Innodata (NASDAQ:INOD) Shares Gap Down - Here's What Happened

Key Points

• Innodata Inc. shares gapped down from $54.90 to $45.52 at the market opening, closing last at $48.69 with significant trading volume of 1,812,305 shares.
• Brokerage firms have mixed forecasts, with BWS Financial maintaining a "buy" rating at a $74 price target, while Wedbush lowered its target from $75 to $58.
• The company reported a 79.7% year-over-year revenue increase for the last quarter, showcasing an earnings per share of $0.20, which exceeded analysts' expectations of $0.11.

Innodata Inc. (NASDAQ:INOD - Get Free Report)'s share price gapped down before the market opened on Friday . The stock had previously closed at $54.90, but opened at $45.52. Innodata shares last traded at $48.69, with a volume of 1,812,305 shares changing hands.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on INOD. BWS Financial restated a "buy" rating and issued a $74.00 price target on shares of Innodata in a research note on Monday, June 16th. Wedbush decreased their price objective on shares of Innodata from $75.00 to $58.00 and set an "outperform" rating for the company in a report on Friday, May 9th. One investment analyst has rated the stock with a hold rating and five have issued a buy rating to the stock. According to MarketBeat, Innodata currently has an average rating of "Moderate Buy" and a consensus price target of $55.00.

Innodata Trading Down 0.8%

The company has a current ratio of 2.36, a quick ratio of 2.36 and a debt-to-equity ratio of 0.09. The company has a market cap of $1.41 billion, a price-to-earnings ratio of 35.87 and a beta of 2.75. The firm has a 50-day moving average price of $47.13 and a 200 day moving average price of $43.13.

Innodata (NASDAQ:INOD - Get Free Report) last announced its quarterly earnings data on Thursday, July 31st. The technology company reported $0.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.11 by $0.09. Innodata had a return on equity of 59.61% and a net margin of 18.71%. The firm had revenue of $58.39 million for the quarter, compared to analysts' expectations of $56.35 million. The firm's revenue for the quarter was up 79.7% compared to the same quarter last year. As a group, sell-side analysts forecast that Innodata Inc. will post 0.81 EPS for the current year.

Hedge Funds Weigh In On Innodata

Institutional investors have recently made changes to their positions in the stock. Northern Trust Corp boosted its position in Innodata by 9.9% during the 4th quarter. Northern Trust Corp now owns 252,753 shares of the technology company's stock valued at $9,989,000 after purchasing an additional 22,808 shares during the period. Strong Tower Advisory Services bought a new stake in Innodata in the first quarter valued at $835,000. Palisades Investment Partners LLC boosted its holdings in shares of Innodata by 6.1% during the fourth quarter. Palisades Investment Partners LLC now owns 368,651 shares of the technology company's stock valued at $14,569,000 after acquiring an additional 21,093 shares during the period. Deutsche Bank AG grew its position in shares of Innodata by 47.6% during the fourth quarter. Deutsche Bank AG now owns 25,018 shares of the technology company's stock worth $989,000 after acquiring an additional 8,063 shares during the last quarter. Finally, Vanguard Group Inc. increased its holdings in shares of Innodata by 7.7% in the 4th quarter. Vanguard Group Inc. now owns 1,639,724 shares of the technology company's stock worth $64,802,000 after acquiring an additional 117,000 shares during the period. 30.75% of the stock is owned by institutional investors.

Innodata Company Profile

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.