--- title: "Grid Dynamics jumped 38.7% to about 143 times earnings while its CEO and COO sold shares" description: "The consultancy's best quarter lifted the stock 38.7 percent to a 52-week high. Its chief executive and chief operating officer sold shares the same week, under plans that run into 2027, while the 20 percent margin buyers paid 143 times earnings for is an adjusted one." publisher: "The Inference" section: "Platforms" published: 2026-11-05T16:45:44.619Z modified: 2026-11-05T16:45:44.619Z canonical: https://theinference.org/article/grid-dynamics-jumped-38-7-to-about-143-times-earnings-while-its-ceo-and-coo-sold-shares language: en keywords: "Grid Dynamics, Earnings, Insider Sales, Valuation, AI Services" --- # Grid Dynamics jumped 38.7% to about 143 times earnings while its CEO and COO sold shares > The consultancy's best quarter lifted the stock 38.7 percent to a 52-week high. Its chief executive and chief operating officer sold shares the same week, under plans that run into 2027, while the 20 percent margin buyers paid 143 times earnings for is an adjusted one. On October 29, [Grid Dynamics](https://theinference.org/markets/companies/grid-dynamics) reported the best quarter in its history and its stock jumped 38.7 percent [2][3][4][5]. On the same day, chief executive [Leonard Livschitz](https://theinference.org/markets/people/leonard-livschitz) sold 10,000 shares at about $9 [2][3][4][5]. Three trading days later, [chief operating officer Yury Gryzlov sold 4,715 shares at $13.55](https://www.sec.gov/Archives/edgar/data/1743725/000162828026069598/0001628280-26-069598-index.htm), near the 52-week high of $13.40 the stock had touched on November 2 [2][3][4][5]. ## The quarter that did it Grid Dynamics, a San Ramon, California consultancy that builds AI and digital platforms for the Fortune 1000, [reported third-quarter revenue of $114.3 million](https://www.rutlandherald.com/news/business/grid-dynamics-reports-record-third-quarter-2026-financial-results/article_6dc4f03b-5105-593d-9321-5e3a63b89967.html), up 9.7 percent year over year and above the top of its own $112.0 to $114.0 million guidance. AI-native programs, work for clients building products around artificial intelligence, now run at 31 percent of revenue and have grown more than 45 percent for three straight quarters. Non-GAAP EBITDA hit a record $22.9 million, a 20 percent margin, and gross margin reached 40.3 percent against 33.3 percent a year earlier [7][2][8]. *Chart: **Grid Dynamics revenue: a flat 2025, then a record $114.3 million quarter** Line chart of Grid Dynamics quarterly revenue from Q4 2023 to Q3 2026, rising from $78 million to $114 million, with flat revenue through 2025 and a step up in Q3 2026.* *Grid Dynamics revenue: a flat 2025, then a record $114.3 million quarter [9]* ## The gap the print hid The 20 percent margin is an adjusted figure [7][2][1]. GAAP operating income was $9.1 million, an 8 percent margin, and GAAP net income was $6.2 million, or $0.08 a share; stock compensation, restructuring and transformation costs sit between the two [7][2][1]. At $13.69 on November 4, [screener data put the trailing price-to-earnings ratio at 142.9](https://kalkine.com/news/technology/why-is-grid-dynamics-nasdaqgdyn-overbought-after-ai-work-reached-31-of-revenue) on roughly $0.10 of trailing GAAP earnings per share, with the relative strength index at 91.03, deep in overbought territory [7][2][1]. *Chart: **Buyers paid 143 times earnings on an 8 percent GAAP margin, not the 20 percent adjusted one** Bars chart comparing Grid Dynamics' Q3 2026 margins: 40.3% gross, 20% adjusted EBITDA, 8% GAAP operating, and 5.4% GAAP net margin.* *Margins as a share of third-quarter 2026 revenue of $114.3 million. The 20 percent margin the re-rating priced in is an adjusted EBITDA figure; GAAP operating income was $9.1 million and GAAP net income $6.2 million. Sources: Grid Dynamics' third-quarter 2026 results [7], Kalkine [2]. [7][2]* ## What the sellers knew, and when [GuruFocus counts 22 insider sales against zero buys over the past year](https://www.gurufocus.com/news/9160215/grid-dynamics-holdings-gdyn-ceo-leonard-livschitz-sells-10000-shares), with Livschitz alone selling 70,000 shares [4][5][6]. Under a Rule 10b5-1 plan, an executive schedules sales in advance, an affirmative defense against trading on inside information, so each sale proves less than it looks like [4][5][6]. But [TipRanks reports the chief executive and chief financial officer have adopted plans of unusual size running into late 2027](https://www.theglobeandmail.com/investing/markets/stocks/GDYN/pressreleases/8578620/grid-dynamics-faces-perception-risk-as-ceo-and-cfo-plan-large-stock-sales-through-2027/), and Gryzlov's plan was adopted in November 2025, months before this quarter [4][5][6]. ## Cash, buybacks and raised targets back the stock Bulls note the company holds $304.3 million of cash with minimal debt, bought back $35.5 million of stock in nine months, and [guided Q4 above consensus on both revenue and EBITDA](https://finance.yahoo.com/markets/stocks/articles/why-grid-dynamics-gdyn-stock-162729782.html) [2][7][8]. Needham, TD Cowen and JPMorgan raised targets [2][7][8]. ## Q4 guidance sits below the record, and the selling runs to 2027 Q4 guidance implies EBITDA of $20 to $22 million, below the $22.9 million just delivered [7][6]. Whether the re-rating holds depends on GAAP profit catching the adjusted margin; [the insiders, meanwhile, are scheduled to keep selling into it well past 2027](https://theinference.org/article/accenture-re-rated-from-9-8-to-18-6-times-earnings-as-its-asia-pacific-co-ceo-sold-1-4-million) [7][6]. ## Takeaway Grid Dynamics' record third quarter sent the stock up 38.7% to about 143 times trailing GAAP earnings, while its CEO and COO sold shares under 10b5-1 plans that run into 2027 and the 20% margin the re-rating priced in is an adjusted one. ## Sources 1. [Kalkine, Why Is Grid Dynamics (NASDAQ:GDYN) Overbought After AI Work Reached 31% of Revenue?, 5 November 2026](https://kalkine.com/news/technology/why-is-grid-dynamics-nasdaqgdyn-overbought-after-ai-work-reached-31-of-revenue) 2. [Timothy Sykes News, GDYN Jumps As Grid Dynamics Delivers Big AI Earnings Beat, 1 November 2026](https://www.timothysykes.com/news/griddynamicsholdingsinc-gdyn-news-2026_11_01-2/) 3. [Investing.com (Reuters), Grid Dynamics stock hits 52-week high at $13.40, 2 November 2026](https://uk.investing.com/news/stock-market-news/grid-dynamics-stock-hits-52week-high-at-1340-93CH-4949767) 4. [GuruFocus, Grid Dynamics Holdings (GDYN) CEO Leonard Livschitz Sells 10,000 Shares, 30 October 2026](https://www.gurufocus.com/news/9160215/grid-dynamics-holdings-gdyn-ceo-leonard-livschitz-sells-10000-shares) 5. [SEC EDGAR, Form 4, Yury Gryzlov (Chief Operating Officer), Grid Dynamics Holdings, 3 November 2026](https://www.sec.gov/Archives/edgar/data/1743725/000162828026069598/0001628280-26-069598-index.htm) 6. [The Globe and Mail (TipRanks), Grid Dynamics Faces Perception Risk as CEO and CFO Plan Large Stock Sales Through 2027, 1 November 2026](https://www.theglobeandmail.com/investing/markets/stocks/GDYN/pressreleases/8578620/grid-dynamics-faces-perception-risk-as-ceo-and-cfo-plan-large-stock-sales-through-2027/) 7. [Business Wire via Rutland Herald, Grid Dynamics Reports Record Third Quarter 2026 Financial Results, 29 October 2026](https://www.rutlandherald.com/news/business/grid-dynamics-reports-record-third-quarter-2026-financial-results/article_6dc4f03b-5105-593d-9321-5e3a63b89967.html) 8. [Yahoo Finance (StockStory), Why is Grid Dynamics (GDYN) stock rocketing higher today, 31 October 2026](https://finance.yahoo.com/markets/stocks/articles/why-grid-dynamics-gdyn-stock-162729782.html) 9. [Grid Dynamics, quarterly figures from its SEC filings, retrieved 5 November 2026](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001743725) --- Grid Dynamics jumped 38.7% to about 143 times earnings while its CEO and COO sold shares — The Inference. Canonical: https://theinference.org/article/grid-dynamics-jumped-38-7-to-about-143-times-earnings-while-its-ceo-and-coo-sold-shares