Stock fact sheet · data as of
Innodata Inc. (INOD): fair value, margin of safety and Wheel Score
Ticker symbol INOD · Technology · Information Technology Services · United States · Growth
Is INOD undervalued?
At 43.30 (close of 5 Nov 2026), INOD trades 25% under the GLS average fair value of 57.61. 3 of the 7 models that produced a value land above the price. A discount of this size counts as a positive margin of safety in every GLS scan; whether it is enough depends on the rest of the picture - the health score, the moat and the option premium below.
The 7 models disagree widely: Lynch gives 0.3802 while 10 Cap gives 140.41. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, INOD is clearly faster-growing than it is cheap, so the nightly engine files it under Growth (value score 25, growth score 88, out of 100).
Nine valuation models for INOD
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 12.21 | -72% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 12.29 | -72% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 0.3802 | -99% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 85.03 | +96% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 140.41 | +224% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 137.50 | +218% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 15.43 | -64% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 2.15 | -95% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 120.00 | +177% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - INOD passes 5 of the nine Piotroski tests, which falls one point short of the "Piotroski 6 or more" Wheel Trade Filter. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 6.0 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are high - ROIC 28.9%, ROE 30.1%, ROA 19.1% - with debt at 0.04 times equity and a free-cash-flow yield of 14.7%.
Innodata Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Operating Segments 100% (quarter Q2 FY2026).
Institutional ownership scores 8/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 5 / 9 | ROIC | 28.9% |
|---|---|---|---|
| GLS Moat | 6.0 / 10 | ROE | 30.1% |
| Debt / equity | 0.04 | ROA | 19.1% |
| Free-cash-flow yield | 14.7% | Payout ratio | 0% |
| Institutions | 8 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 39: Weak
INOD scores 39 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 4, financially healthy - Piotroski 5/9 (under 6); and filter 7, a premium worth selling - implied volatility 105% (over 80%), and the parts are thin too - value strong, premium weak, moat good, health fair, red flags strong, option trading good, stability weak. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 105%, above the 80% ceiling of the Wheel Trade Filter on premium. The premium looks generous, but moves of that size can blow through any strike. Chain open interest is 21,368 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 1.4M shares a day on a market cap of $1.5B, with a beta of 3.05 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score rates that weak.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Fails | Piotroski 5/9 (under 6) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Fails | implied volatility 105% (over 80%) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 25% below fair value | |
| Premium | Weak | implied volatility 105% | |
| Moat | Good | moat 6.0/10 | |
| Health | Fair | Piotroski 5/9 | |
| Red Flags | Strong | Red Flags score 100/100 | |
| Option trading | Good | 9,608 contracts a day, 21,368 open interest | |
| Stability | Weak | beta 3.05, $1.5B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Innodata Inc. reports earnings on 5 Nov 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Information Technology Services
The 12 companies below are the closest to Innodata Inc. by market cap within the Information Technology Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| EFOR Everforth, Inc. | 36.98 | 65.11 | +43% | 48Weak | $1.5B |
| MGRT Mega Fortune Company Limited | 118.81 | 0.5563 | -21256% | 12No options | $1.6B |
| CLVT Clarivate Plc | 2.12 | 12.19 | +83% | 38Weak | $1.4B |
| VYX NCR Voyix Corporation | 9.43 | 6.68 | -41% | 24Weak | $1.3B |
| KEEL Keel Infrastructure Corp. | 2.12 | - | - | 12Weak | $1.3B |
| BBAI BigBear.ai Holdings, Inc. | 2.56 | - | - | 26Weak | $1.2B |
| CNXC Concentrix Corporation | 30.93 | 190.61 | +84% | 45Weak | $1.9B |
| GDYN Grid Dynamics Holdings, Inc. | 13.75 | 3.54 | -288% | 39Weak | $1.1B |
| GLOB Globant S.A. | 48.04 | 72.58 | +34% | 77Good | $2.1B |
| VNET VNET Group, Inc. | 3.52 | 550.05 | +99% | 29Weak | $984M |
| DXC DXC Technology Company | 14.88 | 65.65 | +77% | 78Good | $2.3B |
| NABL N-able, Inc. | 5.07 | 9.57 | +47% | 41Weak | $958M |
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about INOD
Is INOD undervalued right now?
By the GLS models, moderately: at 43.30 the stock trades 25% below the average fair value of 57.61 (data as of 5 Nov 2026).
What is the Wheel Score of INOD and what does it mean?
INOD scores 39 out of 100 (Weak) - it fails Wheel Trade Filters 4, 7. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for INOD?
57.61 per share as of 5 Nov 2026 - the simple average of the 7 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Innodata Inc. report earnings next?
The next earnings report is due on 5 Nov 2026 (after the close), 0 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does INOD have listed options, and how liquid are they?
Yes. The nightly snapshot found 434 listed contracts with 21,368 open interest across all expiries and implied volatility of 105% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.