Is Innodata Stock a Good Investment?
Innodata Investment Advice | INOD |
- Examine Innodata's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Innodata's leadership team and their track record. Good management can help Innodata navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Data Processing & Outsourced Services space and any emerging trends that could impact Innodata's business and its evolving consumer preferences.
- Compare Innodata's performance and market position to its competitors. Analyze how Innodata is positioned in terms of product offerings, innovation, and market share.
- Check if Innodata pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Innodata's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Innodata stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Innodata is a good investment.
Sell | Buy |
Cautious Hold
Market Performance | Insignificant | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Innodata Stock
Researching Innodata's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 40.0% of the company shares are owned by institutional investors. The company has Price/Earnings (P/E) ratio of 159.5. Innodata had not issued any dividends in recent years. The entity had 2:1 split on the 26th of March 2001.
To determine if Innodata is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Innodata's research are outlined below:
| Innodata had very high historical volatility over the last 90 days | |
| Innodata is unlikely to experience financial distress in the next 2 years | |
| Innodata has a strong financial position based on the latest SEC filings | |
| Latest headline from newswire.com: Acquisition by Jack Abuhoff of 187099 shares of Innodata at 1.07 subject to Rule 16b-3 |
Innodata uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Innodata. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Innodata's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 22nd of February 2024 Upcoming Quarterly Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View |
Earnings surprises can significantly impact Innodata's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Innodata's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2015-04-29 | 2015-03-31 | -0.08 | -0.07 | 0.01 | 12 | ||
2013-02-07 | 2012-12-31 | 0.02 | 0.03 | 0.01 | 50 | ||
2012-07-26 | 2012-06-30 | 0.09 | 0.08 | -0.01 | 11 | ||
2005-03-17 | 2004-12-31 | 0.05 | 0.04 | -0.01 | 20 | ||
2015-02-24 | 2014-12-31 | -0.03 | -0.01 | 0.02 | 66 | ||
2014-07-30 | 2014-06-30 | -0.01 | -0.03 | -0.02 | 200 | ||
2014-04-29 | 2014-03-31 | -0.01 | 0.01 | 0.02 | 200 | ||
2012-10-23 | 2012-09-30 | 0.03 | 0.05 | 0.02 | 66 |
Know Innodata's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Innodata is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Innodata backward and forwards among themselves. Innodata's institutional investor refers to the entity that pools money to purchase Innodata's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Ameriprise Financial Inc | 2024-12-31 | 318.1 K | Nuveen Asset Management, Llc | 2024-12-31 | 312.6 K | Jpmorgan Chase & Co | 2024-12-31 | 308.1 K | Trexquant Investment Lp | 2024-12-31 | 300.5 K | Wellington Management Company Llp | 2024-12-31 | 285.5 K | Dimensional Fund Advisors, Inc. | 2024-12-31 | 280.3 K | Northern Trust Corp | 2024-12-31 | 252.8 K | Goldman Sachs Group Inc | 2024-12-31 | 237.3 K | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 226.8 K | Blackrock Inc | 2024-12-31 | 2 M | Vanguard Group Inc | 2024-12-31 | 1.6 M |
Innodata's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 1.14 B.Market Cap |
|
Innodata's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.22 | 0.23 | |
| Return On Capital Employed | 0.33 | 0.35 | |
| Return On Assets | 0.19 | 0.20 | |
| Return On Equity | 0.34 | 0.35 |
Determining Innodata's profitability involves analyzing its financial statements and using various financial metrics to determine if Innodata is a good buy. For example, gross profit margin measures Innodata's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Innodata's profitability and make more informed investment decisions.
Innodata's Earnings Breakdown by Geography
Please note, the presentation of Innodata's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Innodata's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Innodata's management manipulating its earnings.
Evaluate Innodata's management efficiency
Innodata has return on total asset (ROA) of 0.1351 % which means that it generated a profit of $0.1351 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.5792 %, meaning that it created $0.5792 on every $100 dollars invested by stockholders. Innodata's management efficiency ratios could be used to measure how well Innodata manages its routine affairs as well as how well it operates its assets and liabilities. The current year's Return On Tangible Assets is expected to grow to 0.23. The current year's Return On Capital Employed is expected to grow to 0.35. At present, Innodata's Non Current Assets Total are projected to increase significantly based on the last few years of reporting. The current year's Non Currrent Assets Other is expected to grow to about 2 M, whereas Net Tangible Assets are forecasted to decline to about 3 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 2.19 | 2.30 | |
| Tangible Book Value Per Share | 1.66 | 1.74 | |
| Enterprise Value Over EBITDA | 51.99 | 54.59 | |
| Price Book Value Ratio | 18.05 | 18.96 | |
| Enterprise Value Multiple | 51.99 | 54.59 | |
| Price Fair Value | 18.05 | 18.96 | |
| Enterprise Value | 198.6 M | 208.5 M |
The management team at Innodata has a track record of steering the company towards sustained growth. Evaluating their strategies helps in understanding the stock's long-term potential.
Beta 2.298 |
Basic technical analysis of Innodata Stock
As of the 20th of March, Innodata retains the Downside Deviation of 7.73, risk adjusted performance of 0.0554, and Market Risk Adjusted Performance of 0.1668. Innodata technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Please check out Innodata jensen alpha, as well as the relationship between the potential upside and skewness to decide if Innodata is priced fairly, providing market reflects its last-minute price of 43.93 per share. Given that Innodata has jensen alpha of 0.626, we strongly advise you to confirm Innodata's regular market performance to make sure the company can sustain itself at a future point.Innodata's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Innodata insiders, such as employees or executives, is commonly permitted as long as it does not rely on Innodata's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Innodata insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Innodata's Outstanding Corporate Bonds
Innodata issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Innodata uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Innodata bonds can be classified according to their maturity, which is the date when Innodata has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
Understand Innodata's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Innodata's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0554 | |||
| Market Risk Adjusted Performance | 0.1668 | |||
| Mean Deviation | 5.57 | |||
| Semi Deviation | 7.45 | |||
| Downside Deviation | 7.73 | |||
| Coefficient Of Variation | 1888.49 | |||
| Standard Deviation | 7.5 | |||
| Variance | 56.18 | |||
| Information Ratio | 0.0645 | |||
| Jensen Alpha | 0.626 | |||
| Total Risk Alpha | 1.21 | |||
| Sortino Ratio | 0.0626 | |||
| Treynor Ratio | 0.1568 | |||
| Maximum Drawdown | 37.27 | |||
| Value At Risk | (13.02) | |||
| Potential Upside | 12.2 | |||
| Downside Variance | 59.72 | |||
| Semi Variance | 55.46 | |||
| Expected Short fall | (5.65) | |||
| Skewness | (0.09) | |||
| Kurtosis | 0.3725 |
| Risk Adjusted Performance | 0.0554 | |||
| Market Risk Adjusted Performance | 0.1668 | |||
| Mean Deviation | 5.57 | |||
| Semi Deviation | 7.45 | |||
| Downside Deviation | 7.73 | |||
| Coefficient Of Variation | 1888.49 | |||
| Standard Deviation | 7.5 | |||
| Variance | 56.18 | |||
| Information Ratio | 0.0645 | |||
| Jensen Alpha | 0.626 | |||
| Total Risk Alpha | 1.21 | |||
| Sortino Ratio | 0.0626 | |||
| Treynor Ratio | 0.1568 | |||
| Maximum Drawdown | 37.27 | |||
| Value At Risk | (13.02) | |||
| Potential Upside | 12.2 | |||
| Downside Variance | 59.72 | |||
| Semi Variance | 55.46 | |||
| Expected Short fall | (5.65) | |||
| Skewness | (0.09) | |||
| Kurtosis | 0.3725 |
Consider Innodata's intraday indicators
Innodata intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Innodata stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Innodata Corporate Filings
F4 | 17th of March 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10K | 24th of February 2025 Annual report required by the U.S. Securities and Exchange Commission (SEC) of a company financial performance | ViewVerify |
8K | 20th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
13A | 12th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
Innodata Stock media impact
Far too much social signal, news, headlines, and media speculation about Innodata that are available to investors today. That information is available publicly through Innodata media outlets and privately through word of mouth or via Innodata internal channels. However, regardless of the origin, that massive amount of Innodata data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Innodata news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Innodata relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Innodata's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Innodata alpha.
Innodata Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Innodata can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Innodata Historical Investor Sentiment
Investor biases related to Innodata's public news can be used to forecast risks associated with an investment in Innodata. The trend in average sentiment can be used to explain how an investor holding Innodata can time the market purely based on public headlines and social activities around Innodata. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Innodata's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Innodata and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Innodata news discussions. The higher the estimate score, the more favorable the investor's outlook on Innodata.
Innodata Maximum Pain Price Across May 16th 2025 Option Contracts
Innodata's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Innodata close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Innodata's options.
Innodata Corporate Management
| Amy Agress | General VP | Profile | |
| Martin Lyster | Chief Solutions | Profile | |
| Marissa Espineli | VP CFO | Profile | |
| Rahul Singhal | Chief Officer | Profile | |
| Douglas Kemp | Senior Synodex | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Innodata. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons. For information on how to trade Innodata Stock refer to our How to Trade Innodata Stock guide.You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Is Data Processing & Outsourced Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Innodata. If investors know Innodata will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Innodata listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 50 | Earnings Share 0.11 | Revenue Per Share | Quarterly Revenue Growth 1.356 | Return On Assets |
The market value of Innodata is measured differently than its book value, which is the value of Innodata that is recorded on the company's balance sheet. Investors also form their own opinion of Innodata's value that differs from its market value or its book value, called intrinsic value, which is Innodata's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Innodata's market value can be influenced by many factors that don't directly affect Innodata's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Innodata's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Innodata is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Innodata's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.