Innodata Inc. (INOD) reported second-quarter 2025 adjusted earnings per share of $0.20, exceeding the Zacks Consensus Estimate of $0.11, and quarterly revenues of $58.39 million, a 79% year-over-year increase. The revenue performance led Innodata to raise its revenue growth guidance for 2025 to over 45%, up from the previous 40% forecast.
Innodata is positioned to benefit from the growing demand for data engineering in AI applications, currently supporting five of the seven major hyperscalers. The company has also introduced a GenAI Test and Evaluation Platform for validating large language models, with MasterClass as its first customer.
As of now, INOD shares are trading 38.6% below their 52-week high, yet the stock has returned 10.3% year-to-date, outperforming the S&P 500. Analysts’ short-term price targets suggest a potential upside of up to 72.1%, with a target range of $58-$75 from the last closing price of $43.58.
