Grid Dynamics (NASDAQ:GDYN) Shares Gap Down Following Analyst Downgrade

Shares of Grid Dynamics Holdings, Inc. (NASDAQ:GDYN) gapped down before the market opened on Thursday after TD Cowen lowered their price target on the stock from $10.00 to $8.00. The stock had previously closed at $5.86, but opened at $5.61. TD Cowen currently has a buy rating on the stock. Grid Dynamics shares last traded at $5.9750, with a volume of 690,806 shares changing hands.

Other research analysts have also recently issued research reports about the stock. Zacks Research raised shares of Grid Dynamics from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 6th. Citigroup reiterated a “cautious” rating on shares of Grid Dynamics in a research report on Friday, May 29th. Jefferies Financial Group downgraded shares of Grid Dynamics from a “buy” rating to a “hold” rating and set a $8.00 price target on the stock. in a research note on Friday, May 29th. Needham & Company LLC lowered their price objective on shares of Grid Dynamics from $10.00 to $8.00 and set a “buy” rating for the company in a research report on Friday, May 1st. Finally, Weiss Ratings cut shares of Grid Dynamics from a “sell (d+)” rating to a “sell (d)” rating in a research report on Monday, May 4th. Four analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $9.00.

Insiders Place Their Bets

In other news, COO Yury Gryzlov sold 4,435 shares of the company’s stock in a transaction on Monday, June 1st. The shares were sold at an average price of $8.00, for a total value of $35,480.00. Following the completion of the transaction, the chief operating officer owned 514,948 shares in the company, valued at approximately $4,119,584. This represents a 0.85% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 6,147 shares of company stock valued at $46,323 in the last 90 days. 6.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Amundi purchased a new position in Grid Dynamics during the first quarter worth about $252,000. AQR Capital Management LLC boosted its holdings in Grid Dynamics by 32.4% in the 1st quarter. AQR Capital Management LLC now owns 15,484 shares of the company’s stock valued at $242,000 after purchasing an additional 3,791 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in Grid Dynamics by 12.7% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 36,590 shares of the company’s stock worth $573,000 after purchasing an additional 4,116 shares during the period. Goldman Sachs Group Inc. raised its stake in shares of Grid Dynamics by 12.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 319,186 shares of the company’s stock worth $4,995,000 after buying an additional 35,204 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Grid Dynamics by 35.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 162,714 shares of the company’s stock worth $2,546,000 after buying an additional 42,801 shares in the last quarter. Institutional investors and hedge funds own 71.18% of the company’s stock.

Grid Dynamics Stock Performance

The firm has a market capitalization of $499.67 million, a price-to-earnings ratio of 119.72 and a beta of 0.98. The firm has a fifty day moving average price of $6.37 and a 200 day moving average price of $6.93.

Grid Dynamics (NASDAQ:GDYN) last released its quarterly earnings data on Thursday, April 30th. The company reported $0.09 earnings per share for the quarter, beating the consensus estimate of $0.08 by $0.01. The firm had revenue of $104.10 million during the quarter, compared to the consensus estimate of $103.32 million. Grid Dynamics had a return on equity of 1.20% and a net margin of 1.27%.Grid Dynamics’s quarterly revenue was up 3.7% on a year-over-year basis. During the same period last year, the business posted $0.11 EPS. Research analysts predict that Grid Dynamics Holdings, Inc. will post 0.1 earnings per share for the current fiscal year.

About Grid Dynamics

Grid Dynamics (NASDAQ: GDYN) is a digital engineering and technology services company that helps enterprises accelerate their digital transformation initiatives. The company specializes in designing and implementing scalable, cloud-native solutions that leverage advanced analytics, machine learning and artificial intelligence to optimize operations, enhance customer experiences and drive revenue growth. Its technology expertise spans e-commerce platforms, modern data architectures, DevOps and automation, as well as custom application development across a range of industries including retail, financial services, high tech and automotive.

Key service offerings include cloud migration and modernization, data engineering and analytics, AI/ML-driven insights, digital commerce and omnichannel solutions.