Innodata Inc. (INOD) - Stock Analysis
Last updated: Jun 6, 2026
Research Idea
Research content for general circulation. Not individualized advice. Methodology & Disclosures
Strong AI data-services growth evidence: Q1 2026 revenue rose 54% YoY, adjusted EBITDA was $25.0M, gross margin expanded to 47%, and full-year revenue growth guidance was raised to about 40% or more. A new Big Tech engagement expected to generate about $51M in 2026 adds visibility.
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AI Analyst Overview
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Valuation Metrics
Fundamental Analysis
Key Financial Insights: ⢠Strong margins ⢠Robust cash flow ⢠Premium valuation INOD is delivering strong profitability and cash generation with low leverage, but its premium valuation and working-capital reliance temper the upside.
Price Behavior
Key Price Behavior Insights: ⢠Higher lows ⢠Strong support ⢠Momentum loss Support Level: $95-$100 Resistance Level: $115-$122 INOD remains in a strong uptrend after a big run last month, with support near $95-$100 and resistance around $115-$122, but the sharp 2026-06-05 reversal suggests a near-term pullback or consolidation is likely.
Sentiment & News
Key News Insights: ⢠Blowout Results ⢠Higher Guidance ⢠AI Expansion Innodata's blowout Q1 and raised 2026 guidance, driven by surging hyperscaler AI demand and expanding margins, reinforced rapid growth momentum despite rising valuation debate.
AI Summary
INOD has shifted from an AI-tailwinds service name to a fast-scaling AI data infrastructure beneficiary with 54% revenue growth, expanding margins, and strong free cash flow, but after the sharp rerating the key test is whether it can sustain multi-quarter growth without a stumble from customer concentration or execution.
Description
Innodata Inc. is a global data engineering firm with operations in the U.S., U.K., the Netherlands, Canada and other markets. Its Digital Data Solutions segment supplies software platforms and managed services that prepare and manage data used for AI/ML training and document analysis, covering activities such as annotation, curation, cleansing, consolidation and compliance. Separate business lines convert clinical records into usable digital formats and offer a platform for marketing and public relations professionals to distribute content and monitor media across print, web, broadcast and social channels; the company serves financial, technology, retail and media clients and is headquartered in Ridgefield Park, New Jersey, having been incorporated in 1988.
Idea History
| Date | Close | Ticker | Company | Summary | Status | P/L |
|---|---|---|---|---|---|---|
| Jun 12 | Jun 19 | INOD | Innodata Inc. | Strong AI data-services growth evidence: Q1 2026 revenue rose 54% YoY, adjusted EBITDA was $25.0M, gross margin expanded to 47%, and full-year revenue growth guidance was raised to about 40% or more. A new Big Tech engagement expected to generate about $51M in 2026 adds visibility. | Active | +0.0% |
| Jun 3 | Jun 10 | INOD | Innodata Inc. | Q1 2026 earnings on 2026-05-07 were a clear catalyst: revenue rose 54% YoY to a record $90.1M, adjusted EBITDA was $25.0M, full-year 2026 revenue growth guidance was raised to 40%+, and a Big Tech engagement is expected to generate about $51M of 2026 revenue. Stock remains in a strong 21-day uptrend. | Closed | -7.7% |
| May 27 | Jun 3 | INOD | Innodata Inc. | AI-data execution is accelerating: Q1 revenue rose 54% YoY, adjusted EBITDA was $25M, management raised 2026 revenue growth guidance to 40%+, and a new big-tech engagement is expected to add about $51M of 2026 revenue. | Closed | +21.6% |
| May 19 | May 26 | INOD | Innodata Inc. | AI growth catalyst remains strong after Q1 2026 revenue rose 54% YoY, adjusted EBITDA reached $25.0M, gross margin expanded to 47%, full-year revenue growth guidance was raised to 40%+, and new big-tech engagements are expected to add about $51M in 2026 revenue. | Closed | +8.8% |
| May 11 | May 18 | INOD | Innodata Inc. | Strong AI-linked earnings catalyst: Q1 2026 revenue rose 54% YoY to $90.1M, EPS beat, adjusted EBITDA reached $25.0M, gross margin improved to 47%, and management raised 2026 revenue growth guidance to 40%+ from 35%+. A new Big Tech engagement expected to add about $51M of 2026 revenue reinforces near-term AI demand visibility. | Closed | -8.8% |
| Jan 30 | Feb 6 | INOD | Innodata Inc. | Innodata Inc. (INOD) offers compelling short-term appreciation potential fueled by robust Q3 2025 revenue growth (20% YoY), significant federal contracts for AI data annotation, strong liquidity, positive technical momentum (+16% over the last month), and analyst upgrades, making it a hot idea for AI infrastructure exposure with a near-term catalyst focus. | Closed | -14.2% |