Grid Dynamics (NASDAQ:GDYN) Trading 8% Higher – Should You Buy?

Grid Dynamics Holdings, Inc. (NASDAQ:GDYN)’s stock price rose 8% on Wednesday . The company traded as high as $6.04 and last traded at $6.1320. Approximately 172,612 shares were traded during trading, a decline of 91% from the average session volume of 1,876,522 shares. The stock had previously closed at $5.68.

Analyst Ratings Changes

Several research firms have recently commented on GDYN. Zacks Research raised shares of Grid Dynamics from a “strong sell” rating to a “hold” rating in a report on Wednesday, May 6th. TD Cowen dropped their price objective on shares of Grid Dynamics from $11.00 to $10.00 and set a “buy” rating on the stock in a research note on Friday, May 1st. Citigroup reissued a “cautious” rating on shares of Grid Dynamics in a report on Friday, May 29th. Needham & Company LLC decreased their target price on Grid Dynamics from $10.00 to $8.00 and set a “buy” rating for the company in a research note on Friday, May 1st. Finally, Jefferies Financial Group lowered Grid Dynamics from a “buy” rating to a “hold” rating and set a $8.00 target price for the company. in a report on Friday, May 29th. Four research analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $9.40.

Grid Dynamics Stock Performance

The firm has a market cap of $531.47 million, a price-to-earnings ratio of 127.33 and a beta of 0.94. The stock’s fifty day moving average is $6.34 and its two-hundred day moving average is $7.08.

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

Insider Activity

In other news, COO Yury Gryzlov sold 4,435 shares of the business’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $8.00, for a total transaction of $35,480.00. Following the completion of the transaction, the chief operating officer directly owned 514,948 shares in the company, valued at approximately $4,119,584. The trade was a 0.85% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 6,147 shares of company stock worth $45,389 in the last three months. Insiders own 6.50% of the company’s stock.

Institutional Trading of Grid Dynamics

Several hedge funds have recently added to or reduced their stakes in the business. Pacer Advisors Inc. acquired a new position in Grid Dynamics during the 1st quarter worth $884,000. Bank of America Corp DE raised its stake in shares of Grid Dynamics by 76.4% during the first quarter. Bank of America Corp DE now owns 364,342 shares of the company’s stock valued at $2,077,000 after purchasing an additional 157,767 shares in the last quarter. Quantinno Capital Management LP raised its stake in shares of Grid Dynamics by 460.4% during the first quarter. Quantinno Capital Management LP now owns 206,289 shares of the company’s stock valued at $1,176,000 after purchasing an additional 169,477 shares in the last quarter. Public Employees Retirement System of Ohio acquired a new stake in Grid Dynamics in the first quarter worth about $235,000. Finally, Walleye Capital LLC acquired a new stake in Grid Dynamics in the first quarter worth about $1,007,000. Institutional investors own 71.18% of the company’s stock.

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.