Shares of Innodata (NASDAQ: INOD) saw a 28.9% increase last year due to strong growth, AI interest, and Meta Platforms’ acquisition of Scale AI. Revenue for the first three quarters of the year jumped 61% to $179.3 million, with adjusted EBITDA increasing by 106% to $42.2 million.

Innodata, a profitable small-cap AI stock, serves big tech companies and the federal government. Despite concerns of a bubble forming in AI, the company’s guidance predicts 45% revenue growth for the year. Looking ahead, new growth opportunities include a federal practice and pre-training data capabilities expected to bring in $68 million in revenue.

Read more at Nasdaq: Why Innodata Stock Jumped 29% in 2025