Key Points
- Innodata CEO Jack Abuhoff sold 71,699 shares on May 12 at an average price of $95.60, worth about $6.85 million. After the sale, he still held 1.34 million shares, trimming his ownership by 5.08%.
- Abuhoff also sold additional blocks of stock on May 13 and May 14, bringing the recent insider-selling trend into focus. The article notes that other executives and directors have also sold shares, with combined insider sales topping $24 million.
- Despite the insider sales, Innodata reported a strong quarter, with earnings of $0.42 per share versus the $0.08 consensus and revenue up 54.5% year over year. Analysts remain constructive overall, with Wedbush raising its target to $100 and the stock carrying a consensus Moderate Buy rating.
Innodata Inc. (NASDAQ:INOD - Get Free Report) Director Stewart Massey sold 10,000 shares of the firm's stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $88.22, for a total value of $882,200.00. Following the transaction, the director directly owned 29,205 shares in the company, valued at approximately $2,576,465.10. The trade was a 25.51% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link.
Innodata Stock Performance
Shares of INOD stock opened at $90.15 on Friday. The stock's 50-day moving average is $47.42 and its two-hundred day moving average is $52.97. The firm has a market cap of $2.94 billion, a price-to-earnings ratio of 81.22 and a beta of 2.40. Innodata Inc. has a 1 year low of $33.44 and a 1 year high of $114.77. The company has a debt-to-equity ratio of 0.07, a quick ratio of 2.49 and a current ratio of 2.49.
Innodata (NASDAQ:INOD - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The technology company reported $0.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.08 by $0.34. The company had revenue of $90.10 million for the quarter, compared to analyst estimates of $76.47 million. Innodata had a return on equity of 37.49% and a net margin of 13.86%.The business's quarterly revenue was up 54.5% compared to the same quarter last year. During the same quarter last year, the company posted $0.22 earnings per share. Analysts predict that Innodata Inc. will post 0.99 earnings per share for the current year.
More Innodata News
Here are the key news stories impacting Innodata this week:
- Positive Sentiment: Wedbush raised its price target on Innodata to $100 from $80 and kept an outperform rating, reinforcing the bullish case after the company’s strong Q1 results. Article Title
- Positive Sentiment: Recent coverage continues to highlight Innodata’s blowout Q1 earnings and momentum-driven rally, with investors treating the company as an AI data and infrastructure beneficiary. Article Title
- Neutral Sentiment: Another article said Innodata’s recent earnings may actually be conservative, which supports the growth narrative but does not add a fresh catalyst. Article Title
- Neutral Sentiment: Maxim Group cut several forward EPS estimates, which points to some skepticism on future profitability even though the stock’s recent earnings momentum remains strong.
- Negative Sentiment: CEO Jack Abuhoff sold large blocks of shares in multiple transactions, adding to concerns that insiders may be taking profits after the stock’s big run.
- Negative Sentiment: Director Louise C. Forlenza and COO Ashok Mishra also sold significant stakes, with combined insider sales topping $24 million, which may weigh on sentiment despite the company’s strong operating performance.
- Negative Sentiment: Additional insider-sale and bearish-trading headlines suggest some market participants are hedging against downside following the sharp post-earnings move.
Analyst Upgrades and Downgrades
Several equities analysts have issued reports on INOD shares. BWS Financial reaffirmed a "top pick" rating and set a $110.00 price objective on shares of Innodata in a report on Friday, April 10th. Wall Street Zen raised Innodata from a "sell" rating to a "hold" rating in a report on Saturday, March 21st. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Innodata in a report on Friday, April 10th. Finally, Wedbush raised their price objective on Innodata from $80.00 to $100.00 and gave the stock an "outperform" rating in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $105.00.
Check Out Our Latest Research Report on INOD
Hedge Funds Weigh In On Innodata
Hedge funds and other institutional investors have recently made changes to their positions in the stock. Northwestern Mutual Wealth Management Co. purchased a new position in shares of Innodata during the fourth quarter worth about $26,000. Global Retirement Partners LLC purchased a new position in shares of Innodata during the third quarter worth about $50,000. IFP Advisors Inc grew its holdings in shares of Innodata by 1,567.5% during the third quarter. IFP Advisors Inc now owns 667 shares of the technology company's stock worth $51,000 after buying an additional 627 shares during the last quarter. Goodman Advisory Group LLC purchased a new position in shares of Innodata during the third quarter worth about $52,000. Finally, Hollencrest Capital Management acquired a new stake in Innodata in the third quarter valued at about $60,000. Hedge funds and other institutional investors own 30.75% of the company's stock.
Innodata Company Profile
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Get Free Report)
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.
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