Revenues Tell The Story For Innodata Inc. (NASDAQ:INOD) As Its Stock Soars 33%
Innodata Inc. (NASDAQ:INOD) shares have had a really impressive month, gaining 33% after a shaky period beforehand. The annual gain comes to 247% following the latest surge, making investors sit up and take notice.
After such a large jump in price, you could be forgiven for thinking Innodata is a stock to steer clear of with a price-to-sales ratios (or “P/S”) of 7.3x, considering almost half the companies in the United States’ Professional Services industry have P/S ratios below 1.2x. However, the P/S might be quite high for a reason and it requires further investigation to determine if it’s justified.
