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Innodata Inc.

Rank #245Hypergrowth

INOD · Nasdaq · Technology

Innodata Inc. (INOD) — Rank #245 by gross profitability (GP/assets 0.28) · ROE 20.2% · Piotroski F-Score N/A.

As-of 2026-09-15 · CIK 0000903651 · all metrics point-in-time as of the filing date.

About

Innodata Inc. operates as a data engineering company in the United States, the United Kingdom, the Netherlands, Canada, Germany, Belgium, and internationally.

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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.

Industry
Information Technology Services
Sector
Technology
State
DE
Filer Category
Non-accelerated filer
Fiscal Year End
December 31

Price History

INOD+558.5% · +45.8% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/S is the primary valuation lens — earnings are reinvested, not available for P/E.

Market Cap

$1.94B

P/E (annual)

61.3

P/S (annual)

7.7

P/B

12.1

P/OCF (annual)

41.4

Shareholder Yield

-128300.2%

Employees

10,020

Industry

Information Technology Services

Exchange

Nasdaq

Signal Flags

3 green1 yellow
Revenue growth acceleratingGrowth rate increasing year over year
Deferred revenue growingRevenue and deferred revenue both growing — retention signal
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak
Dilution above 2%Annual share count increase exceeds 2%. May be acceptable for high-growth companies funding talent via stock compensation

Quality Profile

Profitability

GP / assets
0.28
Return on equity
20.2%
Gross margin trend
N/A

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.24
Current ratio
1.73×
Net cash
$250.37M

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
4.4%

Growth

1/2 pass
Revenue growth
218.6%
Piotroski F-Score
N/A
Share dilution
128300.2%

Terry Smith quality gate

Passes 2/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

21.6%

fairly valued

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 128300.2% — per-share value needs a total required return of 128321.8% once share-count change is priced in.

vs. own 6-year median revenue growth: 7.1%

priced above its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

16.5%

r = 10% (base)

21.6%

r = 12%

26.0%

Net debt / market cap: -12.7%

Base FCF: $35.6M3Y mean FCF: -$2.2M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / S

Price / revenue per share

0.0xCheap
0.0xmed 0.9x4.1x

P / B

Price / book value per share

0.0xCheap
0.0xmed 1.5x10.5x

P / FCF

Price / free cash flow per share

0.6xCheap
0.6xmed 25.7x255.1x

Revenue growth and the path to profitability (margin trend) are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.28

Primary signal (Novy-Marx).

11th of 13 SIC 7374 peers

Return on equity

20.2%

Gross margin

39.5%

9th of 13 SIC 7374 peers

Revenue growth (YoY)

218.6%

Gross margin improving

Margin trend vs prior year.

N/A

Operating Leverage

2020202120222023
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.24

6th of 11 SIC 7374 peers (best = lowest)

Current ratio

1.73×

6th of 13 SIC 7374 peers

Quick ratio

1.61×

Net cash

$250.37M

Cash & equivalents minus total debt.

Recession resistance

Revenue through recessions

Worst single-year YoY revenue decline, 15 years of history

Strong
2008-2009 (GFC)
N/AN/A
2020 (COVID)
4.3%Grew through it
Worst year on record(any fiscal year, not recession-limited)
-25.8%Significant decline

Cash-flow health

Free cash flow

$35.65M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

0.11

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

4.4%

Stock-based comp intensity.

Piotroski F-Score

F-Score

N/A

Only 7/9 components determinable.

Lifecycle Phase History

20182023
Value
Startup
View full financial statements →