Business Overview Innodata Inc. (Nasdaq: INOD) (together with its subsidiaries, the “Company”, “Innodata”, “we”, “us” or “our”) is a global data engineering and AI systems services company that supports the development, training, post-training, evaluation, and deployment of advanced artificial intelligence systems. We partner with leading technology companies, frontier AI laboratories, and enterprises to help enable AI systems that perform reliably, align with intended objectives, and operate safely in real-world environments. Our mission is to enable the responsible advancement of artificial intelligence by providing the data, evaluation frameworks, and human expertise required to build AI systems that can be trusted at scale. We believe that AI will increasingly function as a foundational layer of the digital economy - embedded across consumer products, enterprise workflows, and mission-critical systems.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 252M | 252M | 170M | 87M | 79M | 70M |
| Net Income | 32M | 32M | 29M | -908K | -12M | -1.7M |
| EPS | $0.92 | $0.92 | $0.89 | $-0.03 | $-0.44 | $-0.06 |
| Free Cash Flow | 36M | 36M | 27M | 339K | -7.7M | 783K |
| ROIC | 134.0% | 39.1% | 38.8% | 1.4% | -50.0% | -4.6% |
| Gross Margin | 39.5% | 39.5% | 39.3% | 36.1% | 34.8% | 37.6% |
| Debt/Equity | 0.00 | 0.57 | 0.79 | 1.34 | 0.32 | 0.29 |
| Dividends/Share | $0.00 | - | - | - | - | - |
| Operating Income | 43M | 43M | 25M | 299K | -10M | -723K |
| Operating Margin | 17.1% | 17.1% | 14.4% | 0.3% | -13.2% | -1.0% |
| ROE | 30.0% | 37.7% | 45.2% | -3.5% | -63.6% | -5.6% |
| Shares Outstanding | 35M | 35M | 32M | 30M | 27M | 28M |
INNODATA INC passes 3 of 9 quality checks, indicating weak fundamentals.
INNODATA INC trades at 44.9x trailing earnings, compared to its 15-year median P/E of 51.0x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 37.8x vs a median of 39.5x. The company's 5-year average ROIC is 4.9% with a gross margin of 37.5%. At current prices, the estimated annualized return to fair value is +26.4%.
INNODATA INC (INOD) has a current P/E ratio of 44.9, compared to its historical median P/E of 51.0. The stock is currently considered Fair based on its historical valuation range.
INNODATA INC (INOD) has a 5-year average return on invested capital (ROIC) of 4.9%. This is below average and may indicate limited pricing power.
INNODATA INC (INOD) has a market capitalization of $1.4B. It is classified as a small-cap stock.
INNODATA INC (INOD) does not currently pay a regular dividend.
Based on historical P/E analysis, INNODATA INC (INOD) appears fair. The current P/E of 44.9 is 12% below its historical median of 51.0. The estimated fair value CAGR (P/E method) is 86.1%.
INNODATA INC (INOD) operates in the Services-Computer Processing & Data Preparation industry, within the Technology sector.
INNODATA INC (INOD) reported annual revenue of $252 million in its most recent fiscal year, based on SEC EDGAR filings.
INNODATA INC (INOD) has a net profit margin of 12.8%. This is a healthy margin.
INNODATA INC (INOD) generated $36 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
INNODATA INC (INOD) has a debt-to-equity ratio of 0.57. This indicates moderate leverage.
INNODATA INC (INOD) reported earnings per share (EPS) of $0.92 in its most recent fiscal year.
INNODATA INC (INOD) has a return on equity (ROE) of 37.7%. This indicates the company generates strong returns for shareholders.
INNODATA INC (INOD) has a 5-year average gross margin of 37.5%. This indicates decent pricing power.
The Ledger Terminal provides 16 years of financial data for INNODATA INC (INOD), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
INNODATA INC (INOD) has a book value per share of $3.06, based on its most recent annual SEC filing.