Innodata (NASDAQ:INOD) Stock Price Down 8.3% - Here's Why

Key Points

• Shares of Innodata fell 8.3% intraday to $36.53 on Thursday, with volume of 311,334 shares — a 74% decline from average session volume — after closing the prior session at $39.85.
• Analyst sentiment is mixed but tilted positive: one Strong Buy, one Buy and two Holds give an average rating of Moderate Buy and an average price target of $100.
• Fundamentals show strength: the company beat quarterly estimates (EPS $0.25 vs. $0.21; revenue $72.38M, up 22.3% YoY) with ROE of 35.12% and a net margin of 12.79%, though the stock trades below its 50‑ and 200‑day moving averages ($44.54 and $57.52).

Innodata Inc. (NASDAQ:INOD - Get Free Report) shares fell 8.3% during mid-day trading on Thursday . The company traded as low as $36.36 and last traded at $36.5270. 311,334 shares changed hands during trading, a decline of 74% from the average session volume of 1,194,525 shares. The stock had previously closed at $39.85.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on INOD. BWS Financial restated a "top pick" rating and set a $110.00 price objective on shares of Innodata in a research report on Friday, January 30th. Weiss Ratings lowered Innodata from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Monday, January 12th. Wall Street Zen raised Innodata from a "sell" rating to a "hold" rating in a research report on Saturday, March 21st. Finally, Wedbush reissued an "outperform" rating and issued a $90.00 price objective on shares of Innodata in a research report on Friday, January 30th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $100.00.

Innodata Stock Performance

The firm has a market capitalization of $1.19 billion, a P/E ratio of 40.00 and a beta of 2.50. The stock has a fifty day simple moving average of $44.54 and a two-hundred day simple moving average of $57.52. The company has a debt-to-equity ratio of 0.07, a current ratio of 2.68 and a quick ratio of 2.68.

Innodata (NASDAQ:INOD - Get Free Report) last released its quarterly earnings data on Thursday, February 26th. The technology company reported $0.25 EPS for the quarter, beating the consensus estimate of $0.21 by $0.04. The firm had revenue of $72.38 million during the quarter, compared to the consensus estimate of $69.47 million. Innodata had a return on equity of 35.12% and a net margin of 12.79%.The company's quarterly revenue was up 22.3% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.34 earnings per share. On average, research analysts predict that Innodata Inc. will post 0.81 EPS for the current year.

Institutional Investors Weigh In On Innodata

Several hedge funds and other institutional investors have recently modified their holdings of INOD. AQR Capital Management LLC increased its holdings in shares of Innodata by 446.4% during the first quarter. AQR Capital Management LLC now owns 90,968 shares of the technology company's stock valued at $3,266,000 after acquiring an additional 74,320 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in shares of Innodata by 4.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 16,085 shares of the technology company's stock valued at $577,000 after acquiring an additional 711 shares in the last quarter. Millennium Management LLC increased its holdings in shares of Innodata by 30.7% during the first quarter. Millennium Management LLC now owns 142,608 shares of the technology company's stock valued at $5,120,000 after acquiring an additional 33,473 shares in the last quarter. JPMorgan Chase & Co. increased its holdings in shares of Innodata by 16.0% during the second quarter. JPMorgan Chase & Co. now owns 20,375 shares of the technology company's stock valued at $1,044,000 after acquiring an additional 2,816 shares in the last quarter. Finally, Russell Investments Group Ltd. increased its holdings in shares of Innodata by 1,527.3% during the second quarter. Russell Investments Group Ltd. now owns 9,422 shares of the technology company's stock valued at $483,000 after acquiring an additional 8,843 shares in the last quarter. Institutional investors own 30.75% of the company's stock.

About Innodata

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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