Innodata (NASDAQ:INOD) Shares Down 8.4% – Time to Sell?

Shares of Innodata Inc. (NASDAQ:INOD) traded down 8.4% on Thursday . The stock traded as low as $91.27 and last traded at $93.9110. Approximately 367,097 shares changed hands during mid-day trading, a decline of 77% from the average session volume of 1,592,325 shares. The stock had previously closed at $102.52.

Analyst Upgrades and Downgrades

INOD has been the topic of several recent research reports. Wall Street Zen upgraded shares of Innodata from a “sell” rating to a “hold” rating in a report on Saturday, March 21st. Wedbush upped their price target on shares of Innodata from $100.00 to $120.00 and gave the stock an “outperform” rating in a research report on Thursday, June 4th. BWS Financial reiterated a “buy” rating on shares of Innodata in a research note on Monday. Finally, Weiss Ratings raised shares of Innodata from a “hold (c)” rating to a “hold (c+)” rating in a research note on Wednesday, June 3rd. One analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $130.00.

Innodata Price Performance

The company has a market cap of $3.11 billion, a PE ratio of 85.92 and a beta of 2.83. The company has a quick ratio of 2.49, a current ratio of 2.49 and a debt-to-equity ratio of 0.07. The firm has a 50 day simple moving average of $77.97 and a 200-day simple moving average of $59.92.

Innodata (NASDAQ:INOD) last released its quarterly earnings results on Thursday, May 7th. The technology company reported $0.42 EPS for the quarter, beating the consensus estimate of $0.08 by $0.34. Innodata had a net margin of 13.86% and a return on equity of 37.49%. The business had revenue of $90.10 million during the quarter, compared to analyst estimates of $76.47 million. During the same period in the prior year, the firm posted $0.22 earnings per share. The company’s quarterly revenue was up 54.5% on a year-over-year basis. As a group, research analysts predict that Innodata Inc. will post 1.14 earnings per share for the current fiscal year.

Insider Activity

In other Innodata news, CEO Jack Abuhoff sold 200,000 shares of the firm’s stock in a transaction that occurred on Tuesday, June 16th. The shares were sold at an average price of $110.20, for a total value of $22,040,000.00. Following the completion of the sale, the chief executive officer directly owned 1,340,456 shares in the company, valued at $147,718,251.20. This trade represents a 12.98% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Marissa B. Espineli sold 19,667 shares of Innodata stock in a transaction on 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 completion of the transaction, the chief financial officer directly owned 28,014 shares in the company, valued at $2,966,122.32. This represents a 41.25% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 1,472,885 shares of company stock worth $143,998,492. 11.80% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. RFG Advisory LLC acquired a new stake in Innodata in the fourth quarter worth about $5,750,000. WINTON GROUP Ltd acquired a new position in shares of Innodata during the third quarter valued at about $1,834,000. Bleakley Financial Group LLC acquired a new position in shares of Innodata during the fourth quarter valued at about $900,000. UBS Group AG increased its holdings in shares of Innodata by 37.1% during the fourth quarter. UBS Group AG now owns 350,928 shares of the technology company’s stock valued at $17,880,000 after acquiring an additional 95,002 shares in the last quarter. Finally, Next Century Growth Investors LLC raised its position in shares of Innodata by 107.5% in the 4th quarter. Next Century Growth Investors LLC now owns 365,835 shares of the technology company’s stock valued at $18,639,000 after purchasing an additional 189,488 shares during the last quarter. 30.75% of the stock is currently owned by hedge funds and other institutional investors.

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.