Innodata (NASDAQ:INOD) Shares Gap Up on Better-Than-Expected Earnings

Innodata Inc. (NASDAQ:INOD)’s share price gapped up before the market opened on Friday following a better than expected earnings announcement. The stock had previously closed at $60.90, but opened at $65.90. Innodata shares last traded at $65.4550, with a volume of 509,187 shares trading hands.

The technology company reported $0.24 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.14 by $0.10. Innodata had a net margin of 18.71% and a return on equity of 54.27%. The business had revenue of $62.55 million for the quarter, compared to analyst estimates of $59.78 million. The business’s revenue for the quarter was up 19.8% on a year-over-year basis.

Wall Street Analysts Forecast Growth

INOD has been the topic of several recent research reports. Zacks Research raised shares of Innodata from a “hold” rating to a “strong-buy” rating in a research note on Monday, October 13th. Weiss Ratings restated a “hold (c+)” rating on shares of Innodata in a research report on Wednesday. BWS Financial upped their price objective on shares of Innodata from $74.00 to $110.00 and gave the company a “buy” rating in a research note on Friday, October 10th. Finally, Wedbush raised their target price on shares of Innodata from $75.00 to $90.00 and gave the stock an “outperform” rating in a research note on Wednesday, October 15th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and one has given a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Buy” and an average target price of $80.00.

Hedge Funds Weigh In On Innodata

A number of hedge funds have recently modified their holdings of INOD. Farther Finance Advisors LLC purchased a new stake in Innodata in the 2nd quarter valued at about $36,000. Global Retirement Partners LLC purchased a new position in shares of Innodata during the third quarter worth $50,000. Toth Financial Advisory Corp grew its position in Innodata by 40.2% in the 2nd quarter. Toth Financial Advisory Corp now owns 1,150 shares of the technology company’s stock valued at $59,000 after acquiring an additional 330 shares in the last quarter. Silver Oak Securities Incorporated acquired a new position in shares of Innodata in the third quarter valued at approximately $60,000. Finally, Hollencrest Capital Management purchased a new stake in Innodata during the 3rd quarter worth approximately $60,000. 30.75% of the stock is currently owned by hedge funds and other institutional investors.

Innodata Stock Performance

The company has a current ratio of 2.87, a quick ratio of 2.87 and a debt-to-equity ratio of 0.09. The company has a market capitalization of $2.15 billion, a price-to-earnings ratio of 53.87 and a beta of 2.90. The stock’s fifty day simple moving average is $69.71 and its 200-day simple moving average is $52.21.

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.