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INOD

💻 Technology

Innodata Inc.

Conservative #371Aggressive #23High RiskHigh 96
$46.19+4.50%
Day High$46.68
Day Low$44.50
Volume0.7M
Mkt Cap$1.5B
52W Low $2652W High $94
Market Cap
$1.4B
P/E Ratio
42.4
Sector avg: 87.8
Rev Growth
96.4%
Sector avg: 14.8%
Earnings Growth
3256.4%
Profit Margin
14.1%
Sector avg: -110.0%
Debt/Equity
0.05

Why This Score

INOD scores 57.3 on the Conservative profile, blending a fundamental score (80% weight, emphasizing quality and stability (84% of fundamental weight)) with a machine-learning signal (20% weight) trained on 82 features across 30 years of data.

Strengths
  • Strong profitability: ROE of 41.7% exceeds the 15% quality threshold.
  • Minimal leverage (D/E 0.05) provides financial flexibility and downside protection.
  • ML model assigns a high-conviction signal (94/100), indicating strong pattern recognition across 82 features.
  • High conviction (96/100) — fundamental and ML signals agree on this stock.
Risk Factors
  • Signal divergence: Fundamental and ML signals disagree by a significant margin, reducing confidence.
  • Elevated valuation at 42.4x earnings — requires sustained growth to justify the premium.
  • Above-average volatility (34.8%) may not suit conservative risk tolerance.

Moderate penalties (-4.5 points) reflect identified risk factors. The overall score balances these against the stock's fundamental strengths.

Score Breakdown

Overall Score57.3
Fundamental Score48.8
ML Score94.0

Score by Horizon

3 Month
66.7
6 Month
74.5
Primary
1 Year
78.4

Quality Assessment

C
Earnings Grade
Mixed fundamentals, potential quality issues

Position Sizing

Suggested Allocation
2.3%
Confidence
high

Score Composition Waterfall

How each component affects the final score
Backtested Scoring Levers (IC-calibrated from 30y ElasticNet)
Weinstein (12.1%)
0
Declining
Sentiment (2.5%)
64
Positive
Analyst (6.4%)
71
Favorable
Tradability (post-hoc)
84
Grade A
Base
57.8
SHAP
+1.4
Factors
+0.8
Conviction
+1.8
Divergence
-4.5
Final
57.3
Positive adjustment
Negative adjustment
Base blend
Final score

Signal SegmentsComputed from ML features

Fundamental (Valuation, Quality, Growth)76.0
Technical (Momentum, Weinstein, Volatility)39.0
External (Sentiment, Analyst, Macro)84.0
Scores below 50 indicate weakness in that segment relative to the universe.

Data Quality

Score
Features
Confidence
Feature Coverage89%

Growth Estimates

Short-term
+2.1% to +6.8%
Medium-term
+3.8% to +11.0%
Long-term
+5.6% to +15.3%

ML Model Core Features100 trained inputs → ML Score: 94

These features are direct inputs to the machine learning model. The model was trained on these signals alongside 100 features (including 12 momentum/technical indicators) to produce the ML percentile score.

Analyst Intelligence
Consensus Score70.8/100
Target Upside+102.4%
Coverage6 analysts
Market Sentiment
Sentiment Score63.7/100
News Volume1 articles
Technical Stage
Weinstein Stage4 — Declining
12M Momentum-0.2%
6M Momentum+0.2%
Volatility+0.3%
Momentum & Technical
Momentum Acceleration-32.7%
Momentum ConsistencyDivergent (-0.94)
Relative Strength vs Sector-19.4%
Trend Strength (ADX Proxy)Weak (0.5)
Momentum Quality-0.091
Momentum BreadthNarrow
Macro Regime
Bull RegimeYes
High Vol RegimeNo
S&P 500 Return+25.0%
Yield Curve-0.1bp

Sector-Relative AnalysisIn-model features

Value Trap Signal
0%
Low risk
Sector RevGr Rank
P98
Revenue growth vs Technology peers
Sector PE Rank
P30
Valuation vs Technology peers
Sector FCF Rank
P40
Free cash flow vs Technology peers
Growth Deviation
+1.8σ
Z-score vs sector median
Stagnation Flag
NO
Not flagged

Analysis Signals

Scoring Factors
Fundamental score of 71 relative to sector peers71/100
Machine learning model ranks this stock at the 78th percentileP78
ML model weight reduced to 9% due to macro conditions: market in extended rally phase; yield curve inverted (recession indicator); late-cycle economic indicators detected9% ML weight
SHAP feature alignment: +2.4pt (features align with model priorities)
Blend: 91% fund (71.4) + 9% ML (78.2) + SHAP(+2.4) = 74.4
Factor quality: +1.3pt (multi-factor composite)
Market cap adjustment: -8.0 points ($1.4B market cap)-8.0 pts
Conviction bonus: +3.1pt (conviction=96)
Risk Factors
Risk assessment: high. Annualized volatility 34.8%. Max drawdown 42% (-12.0 pts). Price momentum -16% (-2.2 pts)High
Earnings quality grade C: mixed earnings quality, some red flags. Score adjusted by -13 pointsGrade C
Quality concern: Earnings/revenue growth ratio of 34x — earnings quality suspect; High accrual ratio (-52.2%) — earnings quality concernFlag

Sector Peer Comparison(Technology — Rank #89 of 289 stocks)

StockScoreP/ERev GrowthMarginMkt Cap
INOD57.342.496.4%14.1%$1.4B
MPWR84.891.721.2%81.0%$57.1B
ZM84.218.03.1%21.7%$27.7B
NVDA80.645.2114.2%55.8%$4.5T
CRUS79.719.16.0%17.5%$7.4B
ASML77.848.115.6%29.4%$546.0B
IDCC77.431.8-4.0%48.8%$9.7B
CSCO77.127.65.3%18.0%$303.6B
RMBS75.548.320.7%32.3%$11.0B
DBX75.313.91.9%17.7%$6.4B
FSLR75.017.326.7%30.7%$24.2B
SIMO74.79.210.2%13.8%$4.5B
ADI74.374.116.9%20.6%$165.1B
AAPL72.533.16.4%27.0%$3.9T
OLED72.527.012.4%34.3%$5.9B
AMAT72.336.44.4%24.7%$281.7B
Sector Average47.487.814.8%-110.0%

Market Sentimentvia FMP

Analyst Consensus
Buy6 analysts
Strong Buy: 1Buy: 3Hold: 2
Price Target
$90consensus
Low $90Median $90High $90
+94.8% to consensus target

Company Overviewvia FMP

Innodata Inc. operates as a global data engineering company in the United States, the United Kingdom, the Netherlands, Canada, and internationally. The company operates through three segments: Digital Data Solutions (DDS), Synodex, and Agility. The DDS segment offers AI-enabled software platforms and managed services to companies that require data for training AI and machine learning (ML) algorithms, and AI digital transformation solutions to help companies apply AI/ML for problems relating to analyzing and deriving insights from documents. This segment provides a range of data engineering support services, including data annotation, data transformation, data transformation, data curation, data hygiene, data consolidation, data compliance, and master data management. The Synodex segment offers an industry platform that transforms medical records into useable digital data with its proprietary data models or client data models. The Agility segment provides an industry platform that provides marketing communications and public relations professionals to target and distribute content to journalists and social media influencers; and to monitor and analyze global news channels, such as print, web, radio, and TV, as well as social media channels. 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 June 2012. Innodata Inc. was incorporated in 1988 and is headquartered in Ridgefield Park, New Jersey.

CEO
Jack S. Abuhoff
Employees
6,597
Beta
2.42
Industry
Information Technology Services
FMP-Identified Peers

Technical Picturecomputed from daily prices

RSI (14)
48.0
Neutral
Trend
Bearish
10-day vs 50-day MA
From 52W High
-50.8%
High: $93.85
From 52W Low
+74.9%
Low: $26.41
Moving Averages
10-Day
$44.60
Above
20-Day
$48.20
Below
50-Day
$53.50
Below
200-Day
$54.40
Below
60-Day Support
$40.82
60-Day Resistance
$66.93
Weinstein Stage Analysisbased on 200-day SMA framework
Stage 4 — DecliningScore: 22/100

Stock is in a downtrend below the 200-day moving average. Price is below both the 50-day and 200-day SMAs, indicating sustained selling pressure.

Unfavorable technical position; wait for Stage 1 basing
Price vs 200 SMA
-15.1%
200 SMA Slope (60d)
+6.57%
Rising
Volume Ratio
0.77x
10d avg vs 50d avg
Days in Stage
15
Confidence: 40%

Financial Statementslast 4 quarters via FMP

MetricQ3 2025Q2 2025Q1 2025Q4 2024
Revenue$63M$58M$58M$59M
Gross Profit$26M$23M$23M$27M
Operating Income$11M$9M$8M$11M
Net Income$8M$7M$8M$10M
EPS (Diluted)$0.24$0.20$0.22$0.31
Gross Margin41.4%39.8%39.9%45.2%
Operating Margin17.2%15.6%14.2%19.0%
Net Margin13.3%12.4%13.3%17.4%

Why This Stock

TechnologyRevenue growth 96.4%Profit margin 14.1%

Tradability FilterGrade A — 84/100Score impact: -16.9pt

Volume
100
1.3M avg/day
Dollar Vol
100
$55M/day
Float
61
31M shares
Mkt Cap
48
$1.4B
Range
100
255% spread
Composite Liquidity Score84/100
FDCBA

Growth Projection Adjustment

0.7x dampening
weinstein basing

Growth estimates have been dampened based on technical and fundamental signals. This is a post-hoc adjustment to prevent overly optimistic projections for stocks showing declining momentum or deteriorating fundamentals.

Free Float
95.9%
Outstanding Shares
32M
Bid-Ask Spread
255.0%
Institutional Tradable
Yes

Scores are generated by a multi-stage ML pipeline combining fundamental analysis, ensemble predictions, and structural risk signals. All data is for research purposes only and does not constitute financial advice. Past performance does not guarantee future results.