Innodata Inc. logo INOD - Innodata Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
1
BUY 3
HOLD 2
SELL 0
STRONG
SELL
0
| PRICE TARGET: $120.00 DETAILS
HIGH: $120.00
LOW: $120.00
MEDIAN: $120.00
CONSENSUS: $120.00
UPSIDE: 75.26%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 85% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Overvalued Strong
Trading 98.0% above fair value
Current Price $68.47
Bear Case $31.25 54.4% downside ($31.25 - $68.47) / $68.47 = -54.4% 3% stage 1 growth, 12% discount
Fair Value $34.58 49.5% downside ($34.58 - $68.47) / $68.47 = -49.5% 5% stage 1 growth, 12% discount
Bull Case $37.61 45.1% downside ($37.61 - $68.47) / $68.47 = -45.1% 6% stage 1 growth, 12% discount

Adjust Assumptions

4.8%
12.0%
3.0%

Key Value Driver

FCF growth rate (5% base case)

Terminal Value % of EV 30%
Implied Market Multiple 79.1x
Market is pricing in (growth) 29.6% vs our 4.8% base

Plain-Language Summary

Our base-case estimate uses a two-stage discounted cash flow model based on free cash flow. We then blend that result with the average analyst price target of $120.00 from 6 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $34.58 per share.

Warnings

Stock-based employee pay equals 35% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Wall Street's average price target is $120.00 (from 6 analysts). Our estimate is 89% below the consensus -- consider that gap carefully.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions