Why Innodata Shares Are Soaring Today

Innodata Inc INOD closed a deal with one of the five largest technology companies for training the customer's AI large language models (LLMs). The company is a new customer for Innodata.  

The company is a new customer for Innodata and has budgeted up to $8 million in spend for the remaining months of 2023.

Innodata sees the potential of reaching an annualized run rate of $15 million or more with the customer by the end of 2023 and for further expansion in 2024.

"We believe that this new relationship - together with the wins we announced on June 14 and June 27 - are potentially transformative for Innodata. We have a solid track record of land-and-expand with large tech companies, and with the additional tailwinds of generative AI, we believe we're extremely well-positioned. We believe the revenue growth opportunity with these companies is significant in the near, medium, and long-term," commented Jack Abuhoff, Innodata CEO.

Price Action: INOD shares are trading higher by 16.8% at $12.50 on the last check Tuesday.