Innodata (NASDAQ:INOD) Trading Down 7.2% – Should You Sell?

Innodata Inc. (NASDAQ:INOD) traded down 7.2% during trading on Monday . The company traded as low as $58.82 and last traded at $59.5940. 369,533 shares changed hands during trading, a decline of 76% from the average daily volume of 1,516,437 shares. The stock had previously closed at $64.21.

Analyst Ratings Changes

INOD has been the subject of a number of recent research reports. Weiss Ratings cut shares of Innodata from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, July 31st. Zacks Research lowered Innodata from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 11th. Wedbush increased their price target on Innodata from $100.00 to $120.00 and gave the company an “outperform” rating in a report on Thursday, June 4th. Finally, BWS Financial reiterated a “top pick” rating and set a $140.00 price objective on shares of Innodata in a research report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $130.00.

Innodata Price Performance

The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.73 and a current ratio of 1.73. The firm has a fifty day simple moving average of $69.95 and a 200 day simple moving average of $63.02. The company has a market capitalization of $2.01 billion, a PE ratio of 44.20 and a beta of 2.92.

Innodata (NASDAQ:INOD) last posted its quarterly earnings results on Thursday, August 6th. The technology company reported $0.41 EPS for the quarter, beating the consensus estimate of $0.21 by $0.20. Innodata had a net margin of 14.66% and a return on equity of 37.79%. The business had revenue of $92.14 million during the quarter, compared to analyst estimates of $86.31 million. During the same quarter in the previous year, the business posted $0.20 EPS. The company’s quarterly revenue was up 57.8% compared to the same quarter last year. Equities analysts anticipate that Innodata Inc. will post 1.18 EPS for the current year.

Insider Buying and Selling at Innodata

In related news, CFO Marissa B. Espineli sold 19,667 shares of the firm’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $105.88, for a total transaction of $2,082,341.96. Following the sale, the chief financial officer owned 28,014 shares of the company’s stock, valued at $2,966,122.32. This trade represents a 41.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, COO Ashok Mishra sold 38,666 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $114.34, for a total transaction of $4,421,070.44. Following the completion of the transaction, the chief operating officer owned 83,179 shares of the company’s stock, valued at $9,510,686.86. This represents a 31.73% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 457,978 shares of company stock valued at $49,413,600. 11.80% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Innodata

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Compass Financial Management LLC acquired a new position in shares of Innodata during the second quarter worth $26,000. Northwestern Mutual Wealth Management Co. purchased a new stake in shares of Innodata during the fourth quarter worth about $26,000. Ancora Advisors LLC acquired a new position in shares of Innodata during the second quarter valued at about $36,000. Farther Finance Advisors LLC boosted its stake in Innodata by 506.0% in the 4th quarter. Farther Finance Advisors LLC now owns 806 shares of the technology company’s stock worth $41,000 after purchasing an additional 673 shares in the last quarter. Finally, Fifth Third Bancorp acquired a new stake in shares of Innodata during the first quarter worth $45,000. Hedge funds and other 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.