Needham & Company LLC Lowers Grid Dynamics (NASDAQ:GDYN) Price Target to $15.00

Key Points

• Needham & Company LLC has reduced the price target for Grid Dynamics (NASDAQ:GDYN) from $20.00 to $15.00, while still maintaining a "buy" rating for the stock, indicating a potential upside of 58.06% from the current price.
• Wall Street Zen downgraded Grid Dynamics from a "buy" to a "hold" rating, while the overall consensus rating remains "buy" with an average target price of $17.50.
• Grid Dynamics reported a quarterly earnings per share of $0.10, matching analyst expectations, with revenues increasing by 21.7% compared to the same quarter last year.

Grid Dynamics (NASDAQ:GDYN - Get Free Report) had its price target cut by Needham & Company LLC from $20.00 to $15.00 in a research report issued on Friday,Benzinga reports. The brokerage currently has a "buy" rating on the stock. Needham & Company LLC's price target points to a potential upside of 58.06% from the stock's current price.

Separately, Wall Street Zen lowered Grid Dynamics from a "buy" rating to a "hold" rating in a research report on Sunday, July 20th. One research analyst has rated the stock with a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Buy" and an average target price of $17.50.

Grid Dynamics Price Performance

Shares of GDYN stock opened at $9.49 on Friday. Grid Dynamics has a 1-year low of $9.36 and a 1-year high of $25.50. The stock's fifty day moving average price is $11.56 and its 200 day moving average price is $15.38. The company has a market cap of $802.36 million, a price-to-earnings ratio of 79.09 and a beta of 1.04.

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, hitting analysts' consensus estimates of $0.10. The company had revenue of $101.10 million during the quarter, compared to analysts' expectations of $100.45 million. Grid Dynamics had a return on equity of 1.37% and a net margin of 2.94%. Grid Dynamics's quarterly revenue was up 21.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.08 EPS. As a group, equities research analysts anticipate that Grid Dynamics will post 0.18 earnings per share for the current year.

Insider Activity

In related news, COO Yury Gryzlov sold 2,000 shares of the firm's stock in a transaction dated Tuesday, May 6th. The stock was sold at an average price of $13.22, for a total transaction of $26,440.00. Following the transaction, the chief operating officer owned 474,269 shares of the company's stock, valued at $6,269,836.18. This trade represents a 0.42% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Insiders sold a total of 6,737 shares of company stock worth $84,251 over the last 90 days. Company insiders own 7.20% of the company's stock.

Institutional Investors Weigh In On Grid Dynamics

Hedge funds and other institutional investors have recently modified their holdings of the stock. Nuveen LLC purchased a new stake in Grid Dynamics in the 1st quarter worth approximately $19,977,000. Vanguard Group Inc. raised its stake in Grid Dynamics by 26.8% during the fourth quarter. Vanguard Group Inc. now owns 5,535,526 shares of the company's stock worth $123,110,000 after acquiring an additional 1,171,481 shares during the period. Focus Partners Wealth acquired a new stake in shares of Grid Dynamics in the fourth quarter valued at approximately $23,053,000. Ensign Peak Advisors Inc acquired a new stake in shares of Grid Dynamics in the fourth quarter valued at approximately $20,162,000. Finally, Driehaus Capital Management LLC bought a new position in shares of Grid Dynamics in the fourth quarter valued at approximately $19,458,000. 71.18% of the stock is currently owned by institutional investors and hedge funds.

About Grid Dynamics

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.

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