Grid Dynamics (NASDAQ:GDYN) Stock Price Down 5.7% – Here’s Why

Grid Dynamics Holdings, Inc. (NASDAQ:GDYN) shares were down 5.7% during trading on Friday . The stock traded as low as $7.63 and last traded at $7.6230. 447,196 shares changed hands during trading, a decline of 75% from the average daily volume of 1,780,821 shares. The stock had previously closed at $8.08.

Wall Street Analyst Weigh In

Several equities analysts have issued reports on the stock. Citigroup reaffirmed a “cautious” rating on shares of Grid Dynamics in a report on Friday, May 29th. Needham & Company LLC increased their target price on shares of Grid Dynamics from $8.00 to $10.00 and gave the company a “buy” rating in a research report on Friday, July 31st. Weiss Ratings restated a “sell (d)” rating on shares of Grid Dynamics in a research report on Friday, July 31st. TD Cowen boosted their price target on Grid Dynamics from $8.00 to $9.00 and gave the stock a “buy” rating in a report on Friday, July 31st. Finally, Jefferies Financial Group lowered shares of Grid Dynamics from a “buy” rating to a “hold” rating and set a $8.00 price target on the stock. in a report on Friday, May 29th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $9.40.

Grid Dynamics Stock Down 5.9%

The firm has a market capitalization of $616.97 million, a price-to-earnings ratio of 380.44 and a beta of 0.89. The firm’s 50 day moving average is $7.25 and its 200 day moving average is $6.57.

Grid Dynamics (NASDAQ:GDYN) last issued its earnings results on Thursday, July 30th. The company reported $0.11 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.10 by $0.01. Grid Dynamics had a net margin of 0.68% and a return on equity of 1.90%. The company had revenue of $108.16 million during the quarter, compared to analyst estimates of $106.55 million. On average, sell-side analysts predict that Grid Dynamics Holdings, Inc. will post 0.17 earnings per share for the current year.

Insider Activity

In related news, COO Yury Gryzlov sold 3,930 shares of the stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of $8.00, for a total transaction of $31,440.00. Following the sale, the chief operating officer directly owned 508,087 shares in the company, valued at $4,064,696. This represents a 0.77% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 9,560 shares of company stock valued at $74,132. Corporate insiders own 6.50% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Sequoia Financial Advisors LLC acquired a new position in Grid Dynamics during the second quarter worth about $75,000. Squarepoint Ops LLC purchased a new stake in shares of Grid Dynamics during the second quarter valued at approximately $2,702,000. Public Employees Retirement System of Ohio bought a new stake in shares of Grid Dynamics in the second quarter valued at approximately $234,000. Summit Creek Advisors LLC bought a new position in shares of Grid Dynamics in the second quarter worth $2,452,000. Finally, FNY Investment Advisers LLC bought a new stake in Grid Dynamics in the second quarter worth $99,000. Institutional investors own 71.18% of the company’s stock.

About Grid Dynamics

Grid Dynamics Holdings, Inc is a technology services company that helps enterprises design, build and modernize digital platforms and applications. Its work combines software engineering, cloud computing, data engineering, artificial intelligence and machine learning to support large-scale business transformation initiatives.

The company provides services for digital commerce, supply chain and logistics, financial services, healthcare, manufacturing and other industries. Its offerings include e-commerce and customer-experience solutions, cloud migration and modernization, data platforms, analytics, enterprise application development, and AI-enabled products and services.

Founded in 2006, Grid Dynamics serves enterprise customers internationally through a distributed delivery model spanning North America, Europe and other regions.