Innodata (NASDAQ:INOD) Shares Gap Up – Still a Buy?

Shares of Innodata Inc. (NASDAQ:INOD) gapped up before the market opened on Monday . The stock had previously closed at $41.82, but opened at $45.14. Innodata shares last traded at $45.11, with a volume of 296,973 shares.

Analysts Set New Price Targets

INOD has been the subject of a number of research reports. BWS Financial boosted their price target on shares of Innodata from $45.00 to $74.00 and gave the company a “buy” rating in a research report on Friday, February 21st. Wedbush initiated coverage on Innodata in a report on Thursday, December 19th. They issued an “outperform” rating and a $48.00 target price for the company. Maxim Group raised their price target on Innodata from $54.00 to $75.00 and gave the stock a “buy” rating in a research note on Friday, February 21st. Finally, Chardan Capital reiterated a “buy” rating and issued a $45.00 price objective on shares of Innodata in a research note on Friday, December 13th. One research analyst has rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $53.00.

Innodata Price Performance

The company has a 50-day moving average of $45.31 and a 200-day moving average of $35.13. The company has a debt-to-equity ratio of 0.15, a quick ratio of 1.84 and a current ratio of 1.84. The stock has a market cap of $1.39 billion, a price-to-earnings ratio of 52.18 and a beta of 2.59.

Innodata (NASDAQ:INOD) last released its earnings results on Thursday, February 20th. The technology company reported $0.31 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.20. Innodata had a return on equity of 66.36% and a net margin of 16.81%. The business had revenue of $59.18 million for the quarter, compared to analyst estimates of $53.01 million. As a group, equities research analysts predict that Innodata Inc. will post 0.81 earnings per share for the current year.

Insider Transactions at Innodata

In other Innodata news, Director Nauman Sabeeh Toor sold 196,777 shares of the stock in a transaction on Wednesday, February 26th. The stock was sold at an average price of $64.40, for a total value of $12,672,438.80. Following the completion of the transaction, the director now owns 12,417 shares in the company, valued at approximately $799,654.80. This represents a 94.06 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Marissa B. Espineli sold 30,000 shares of the business’s stock in a transaction on Wednesday, February 26th. The stock was sold at an average price of $65.09, for a total transaction of $1,952,700.00. Following the sale, the chief financial officer now owns 18,000 shares in the company, valued at $1,171,620. The trade was a 62.50 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 275,427 shares of company stock worth $17,790,794. Company insiders own 15.23% of the company’s stock.

Institutional Trading of Innodata

Several hedge funds and other institutional investors have recently made changes to their positions in INOD. Wellington Management Group LLP acquired a new position in Innodata during the fourth quarter worth about $11,283,000. Palisades Investment Partners LLC grew its holdings in shares of Innodata by 6.1% in the 4th quarter. Palisades Investment Partners LLC now owns 368,651 shares of the technology company’s stock worth $14,569,000 after acquiring an additional 21,093 shares during the period. Two Sigma Investments LP purchased a new position in Innodata in the 4th quarter valued at approximately $5,282,000. State of Wyoming acquired a new position in Innodata during the fourth quarter worth $250,000. Finally, ProShare Advisors LLC purchased a new stake in Innodata during the fourth quarter worth $301,000. Institutional investors and hedge funds own 30.75% of the company’s stock.

Innodata Company Profile

Innodata Inc operates as a global data engineering company in the United States, the United Kingdom, the Netherlands, Canada, and internationally. The company operates through three segments: Digital Data Solutions (DDS), Synodex, and Agility. The DDS segment engages in the provision of artificial intelligence (AI) data preparation services; collecting or creating training data; annotating training data; and training AI algorithms for its customers, as well as AI model deployment and integration services.