Revenue growing at 54% year-over-year, free cash flow converting at 128% of net income, and a risk/reward of roughly 3.9-to-1 with about 23% price upside to target make this a high-quality growth business with an attractive asymmetric setup—but the technical momentum has not yet confirmed a breakout, and elevated bearish options positioning at a put-to-call ratio of 3.89 signals near-term hedging concern.
Thesis pillars
- High Quality Rapid Growth→Stable
- Favorable Asymmetric Risk Reward↓Deteriorating
- Momentum Gate Failure Distribution↓Deteriorating
- +1 more pillar — see the Why tab for full reasoning
Innodata Inc. (INOD) Stock Analysis
Recovery setup
Technology · Information Technology Services
Wait for pullback to $54.99. Recent C-suite change — blocks BUY_NOW at $69.21. Engine's entry $54.99 (Default 5pct Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Customer: top customer (DDS segment) (58.0%); Sector modifier (Technology): -0.8.
Innodata Inc. operates as a data engineering company in the United States, the United Kingdom, the Netherlands, Canada, Germany, Belgium, and internationally. The company operates through three segments: Digital Data Solutions (DDS), Synodex, and Agility. The DDS segment engages... Read more
Wait for pullback to $54.99. Recent C-suite change — blocks BUY_NOW at $69.21. Engine's entry $54.99 (Default 5pct Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Customer: top customer (DDS segment) (58.0%); Sector modifier (Technology): -0.8. Chart setup: Death cross but MACD improving, RSI 75. Growth is cheap relative to earnings, but the technical setup has not yet produced a breakout above resistance (PEG 0.32, quality 8.1/10, growth 10.0/10). Score 6.9/10, moderate confidence.
Passes 8/10 gates (positive momentum, favorable risk/reward ratio, clean insider activity, positive momentum, news events none recent, earnings proximity 40d clear, semi cycle peak clear, materials cycle peak clear). Suitability: speculative.
Recent developments
updated 2026-09-26Recent Developments — Innodata Inc.
Latest news
- NEWS Innodata (INOD) Could Be 53% Undervalued Following Record Revenue And Higher Outlook - simplywall.st — simplywall.st positive
- NEWS Innodata vs. ExlService: Which AI Data Stock Is the Better Buy? - The Globe and Mail — The Globe and Mail neutral
- NEWS Innodata vs. ExlService: Which AI Data Stock Is the Better Buy? - Zacks Investment Research — Zacks Investment Research positive
- NEWS Innodata Stock (INOD) Opinions on AI Training Surge - Quiver Quantitative — Quiver Quantitative positive
- NEWS Nightbitch | Exclusive Interviews | Amy Adams, Marielle Heller Inod Stock (Jl1ch3cALa) - Mshale — Mshale neutral
Generated 2026-09-26T11:51:52Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomertop customer (DDS segment)58%10-K Item 1A: 'One customer in the DDS segment generated approximately 58% and 48% of the Company’s total revenues in the fiscal year ended December 31, 2025 and 2024.'
Material Events(8-K, last 90d)
- 2026-06-17Item 2.02LOWCompany issued a press release reaffirming full-year 2026 revenue growth guidance originally given May 7, 2026. Routine reaffirmation, no change to outlook.SEC filing →
- 2026-06-17Item 5.02LOWJayant Chauhan appointed EVP, CFO and Principal Financial Officer effective July 6, 2026. Interim CFO Marissa Espineli transitions to Chief Accounting Officer, remaining Principal Accounting Officer. Clean, planned succession.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
1 floor-breaker·1 ceiling hit
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Analyst Consensus
Earnings
Verdict History
Frequently Asked Questions
Wait for pullback to $54.99. Recent C-suite change — blocks BUY_NOW at $69.21. Engine's entry $54.99 (Default 5pct Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Customer: top customer (DDS segment) (58.0%); Sector modifier (Technology): -0.8. Chart setup: Death cross but MACD improving, RSI 75. Growth is cheap relative to earnings, but the technical setup has not yet produced a breakout above resistance (PEG 0.32, quality 8.1/10, growth 10.0/10). Target $104.34 (+50.8%), stop $46.89 (−47.6%), A.R:R 3.4:1. Score 6.9/10, moderate confidence.
Take-profit target: $104.34 (+50.8% upside). Target $104.34 (+50.8%), stop $46.89 (−47.6%), A.R:R 3.4:1. Stop-loss: $46.89.
Concentration risk — Customer: top customer (DDS segment) (58.0%); Sector modifier (Technology): -0.8; Elevated risk factors.
Innodata Inc. trades at a P/E of 53.7 (forward 33.2). TrendMatrix value score: 5.5/10. Verdict: Buy (Wait for Entry).
10 analysts cover INOD with a consensus score of 4.3/5. Average price target: $123.
What does Innodata Inc. do?Innodata Inc. operates as a data engineering company in the United States, the United Kingdom, the Netherlands, Canada,...
Innodata Inc. operates as a data engineering company in the United States, the United Kingdom, the Netherlands, Canada, Germany, Belgium, and internationally. The company operates through three segments: Digital Data Solutions (DDS), Synodex, and Agility. The DDS segment engages in the provision of artificial intelligence (AI) training and post-training data, model evaluation, alignment, safety, AI model deployment and integration, and AI-enabled platforms. The Synodex segment offers an industry platform that transforms medical records into structured digital data for insurance and healthcare workflows. The company also provides Agility PR Solutions platform that provides media intelligence and public relations workflow software enhanced with AI-driven monitoring, analytics, and content capabilities. It serves banking, insurance, financial services, technology, digital retailing, and information media sectors through its professional staff, senior management, and direct sales personnel. The company was formerly known as Innodata Isogen Inc. and changed its name to Innodata Inc. in November 2003. Innodata Inc. was incorporated in 1988 and is headquartered in Ridgefield Park, New Jersey.