Innodata Inc. (NASDAQ:INOD) Sees Significant Decline in Short Interest

Innodata Inc. (NASDAQ:INOD) was the target of a large decline in short interest in May. As of May 15th, there was short interest totaling 2,913,509 shares, a decline of 44.6% from the April 30th total of 5,260,905 shares. Currently, 10.1% of the shares of the stock are sold short. Based on an average daily trading volume, of 4,490,232 shares, the days-to-cover ratio is currently 0.6 days.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the company. Wedbush upped their price objective on Innodata from $100.00 to $120.00 and gave the company an “outperform” rating in a report on Thursday. Wall Street Zen upgraded Innodata from a “sell” rating to a “hold” rating in a report on Saturday, March 21st. Weiss Ratings downgraded Innodata from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday, May 19th. Finally, BWS Financial reissued a “top pick” rating and set a $110.00 price target on shares of Innodata in a research report on Friday, April 10th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $115.00.

Innodata Stock Performance

NASDAQ:INOD traded up $12.92 during mid-day trading on Thursday, hitting $121.19. 863,375 shares of the stock were exchanged, compared to its average volume of 1,594,701. The stock has a market capitalization of $3.96 billion, a price-to-earnings ratio of 110.10 and a beta of 2.83. The firm’s 50-day simple moving average is $62.81 and its 200 day simple moving average is $55.98. 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 has a fifty-two week low of $34.23 and a fifty-two week high of $119.80.

Innodata (NASDAQ:INOD) last released its earnings results 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%.Innodata’s quarterly revenue was up 54.5% on a year-over-year basis. During the same period in the prior year, the firm posted $0.22 EPS. As a group, equities analysts anticipate that Innodata will post 0.99 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, COO Ashok Mishra sold 242,901 shares of the company’s stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $90.15, for a total value of $21,897,525.15. Following the completion of the sale, the chief operating officer owned 95,179 shares in the company, valued at approximately $8,580,386.85. This represents a 71.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CEO Jack Abuhoff sold 150,000 shares of the company’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $94.39, for a total value of $14,158,500.00. Following the completion of the sale, the chief executive officer owned 1,340,456 shares of the company’s stock, valued at $126,525,641.84. This represents a 10.06% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders sold 1,178,826 shares of company stock worth $112,016,456. Insiders own 11.80% of the company’s stock.

Hedge Funds Weigh In On Innodata

Institutional investors have recently modified their holdings of the business. Arizona State Retirement System lifted its holdings in shares of Innodata by 2.4% in the 3rd quarter. Arizona State Retirement System now owns 9,386 shares of the technology company’s stock worth $723,000 after purchasing an additional 217 shares in the last quarter. Glenmede Trust Co. NA lifted its holdings in shares of Innodata by 3.5% in the first quarter. Glenmede Trust Co. NA now owns 7,336 shares of the technology company’s stock valued at $283,000 after purchasing an additional 248 shares in the last quarter. Prosperity Wealth Management Inc. lifted its holdings in shares of Innodata by 4.0% in the third quarter. Prosperity Wealth Management Inc. now owns 10,500 shares of the technology company’s stock valued at $809,000 after purchasing an additional 400 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in shares of Innodata by 5.7% in the fourth quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 7,703 shares of the technology company’s stock valued at $392,000 after purchasing an additional 418 shares in the last quarter. Finally, Texas Yale Capital Corp. lifted its holdings in shares of Innodata by 5.5% in the fourth quarter. Texas Yale Capital Corp. now owns 8,440 shares of the technology company’s stock valued at $430,000 after purchasing an additional 440 shares in the last quarter. Institutional investors and hedge funds own 30.75% of the company’s stock.

Innodata Company Profile

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.