Not a good buy right now: the stock is in a sharp short-term downtrend (today -13.44%) with bearish momentum still building.
Price is sitting right on first support (~48.36). While an oversold bounce is possible, the risk of breaking support is meaningful given the negative momentum.
Heavy insider selling (+28959.71% vs last month) is a major near-term red flag and outweighs the bullish options tilt.
With earnings (QDEC 2025) on 2026-02-23 after hours, event risk is elevated; for an impatient buyer, the current setup is not favorable.
Technical Analysis
Trend/momentum: Bearish. MACD histogram is -1.299 (below 0) and negatively expanding, signaling accelerating downside momentum.
RSI: RSI_6 at ~24.4 indicates an oversold condition (bounce potential), but oversold can persist in strong selloffs.
Moving averages: Converging MAs suggest a transition phase, but the latest impulse is clearly downward.
Key levels: Support S1 ~48.364 (current price ~48.52 is essentially testing it). Next support S2 ~43.776 if S1 fails. Pivot resistance ~55.79; reclaiming that area would be needed to stabilize the trend.
Pattern-based near-term odds: Model suggests ~80% chance of a small dip next day (-0.31%) with modest positive bias over the next week (+2.44%), implying any edge is more “mean reversion bounce” than “trend buy.”
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Sentiment (puts vs calls): Bullish tilt (more call interest and call volume relative to puts), consistent with traders positioning for a rebound.
Volatility: Very elevated (30D IV ~115.1 vs historical vol ~93.0). IV percentile ~66 / IV rank ~59.7 suggests options are expensive versus typical history—market is pricing large moves.
Activity: Volume slightly above average (today vs 30D avg ~108%), indicating active positioning after the large move.
Interpretation: Options flow looks optimistic, but high IV + collapsing spot price often reflects uncertainty; it supports “bounce speculation,” not a clean low-risk entry.
Technical Summary
Sell
9
Buy
3
Positive Catalysts
helped validate demand for Innodata’s annotation/training services.
Neutral/Negative Catalysts
quickly given current momentum.
Financial Performance
Latest quarter provided: 2025/Q3.
Revenue: $62.55M, up +19.77% YoY (solid top-line growth).
Profitability: Net income $8.34M, down -52.03% YoY; EPS $0.24, down -52.94% YoY (meaningful earnings compression).
Takeaway: Growth is strong, but the market is currently penalizing profitability/margin deterioration—this is not the clean “growth + improving earnings” profile right now.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Latest update: 2026-01-05 BWS Financial upgraded INOD to “Top Pick” from Buy with a $110 price target.
Analyst rationale: Multiple 2026 catalysts, including expansion into U.S. government and continued LLM training-services demand.
Wall Street cons: The stock is trading on high expectations while recent quarter profitability and gross margin declined; execution risk into earnings is elevated.
Politicians/congress: No recent congress trading data available in the last 90 days.
Wall Street analysts forecast INOD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for INOD is 93.75 USD with a low forecast of 80 USD and a high forecast of 110 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Analyst Rating
Wall Street analysts forecast INOD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for INOD is 93.75 USD with a low forecast of 80 USD and a high forecast of 110 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Buy
0 Hold
0 Sell
Strong Buy
Current: 43.520
Low
80
Averages
93.75
High
110
Current: 43.520
Low
80
Averages
93.75
High
110
BWS Financial
Buy
to
Strong Buy
upgrade
$110
AI Analysis
2026-01-05
Reason
BWS Financial
Price Target
$110
AI Analysis
2026-01-05
upgrade
Buy
to
Strong Buy
Reason
BWS Financial upgraded Innodata to Top Pick from Buy with a $110 price target. The company has "several catalysts" in 2026 as it expands into U.S. government, the analyst tells investors in a research note. The firm says Innodata has benefited from large language model developers requiring its data set training services.
Wedbush
Daniel Ives
Outperform
maintain
$75 -> $90
2025-10-15
Reason
Wedbush
Daniel Ives
Price Target
$75 -> $90
2025-10-15
maintain
Outperform
Reason
Wedbush analyst Daniel Ives raised the firm's price target on Innodata (INOD) to $90 from $75 and keeps an Outperform rating on the shares. The firm cites increased confidence in the Innodata growth path and its competitive positioning within the rapid growing/evolving data labeling industry as the company has considerably more opportunities to win incremental significant new business from its Big Tech/Hyperscaler customers following Meta's (META) recent investment in Scale AI.
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