Innodata (NASDAQ:INOD) Stock Price Down 5.4% – Should You Sell?

Innodata Inc. (NASDAQ:INOD) was down 5.4% during mid-day trading on Monday. The company traded as low as $65.35 and last traded at $66.32. Approximately 1,061,609 shares changed hands during mid-day trading, a decline of 30% from the average session volume of 1,507,843 shares. The stock had previously closed at $70.07.

Analyst Ratings Changes

Several research firms have commented on INOD. Zacks Research lowered Innodata from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, August 11th. Weiss Ratings lowered shares of Innodata from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Friday, July 31st. Finally, BWS Financial reiterated a “top pick” rating and issued a $140.00 price target on shares of Innodata in a research report on Friday, September 18th. One research 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 company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $130.00.

Innodata Stock Performance

The company has a market cap of $2.30 billion, a PE ratio of 50.27 and a beta of 2.98. The stock’s 50-day simple moving average is $61.07 and its 200 day simple moving average is $66.14. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.73 and a current ratio of 1.73.

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

Insider Buying and Selling at Innodata

In other news, Director Louise Forlenza sold 10,000 shares of the stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $53.54, for a total value of $535,400.00. Following the completion of the transaction, the director owned 5,424 shares in the company, valued at $290,400.96. This trade represents a 64.83% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 11.80% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Innodata

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Compass Financial Management LLC acquired a new stake in shares of Innodata in the 2nd quarter worth approximately $26,000. Ancora Advisors LLC acquired a new position in Innodata during the second quarter worth $36,000. Fifth Third Bancorp purchased a new stake in Innodata during the first quarter worth $45,000. Nykredit A S purchased a new stake in Innodata during the second quarter worth $88,000. Finally, Rockefeller Capital Management L.P. boosted its position in Innodata by 132.7% during the fourth quarter. Rockefeller Capital Management L.P. now owns 1,210 shares of the technology company’s stock worth $62,000 after purchasing an additional 690 shares in the last quarter. 30.75% of the stock is currently owned by institutional investors and hedge funds.

About Innodata

Innodata Inc (NASDAQ: INOD) is a data engineering and artificial intelligence services company that helps organizations develop, train and deploy AI systems. Its work includes preparing and managing data, creating training datasets, evaluating AI model outputs and supporting the development of large language models and other machine-learning applications.

The company provides services such as data annotation and labeling, model evaluation, generative AI and natural-language processing support, content transformation, and data management.