BWS Financial upgraded Innodata (NASDAQ: INOD) from Buy to Top Pick and set a $110 price target, citing an expanding set of revenue catalysts heading into 2026.

The firm said Innodata entered 2026 with a broad range of revenue opportunities, driven by increasing demand from large language model developers for data-set training services. As the artificial intelligence landscape continued to evolve, BWS said Innodata was positioned to capture additional business.

Innodata also entered the fourth quarter of 2025 with a government contract, which BWS expected the company to leverage into a more substantial business in 2026, with greater revenue contributions anticipated toward the end of the year. The analyst noted that a key overhang on the stock had been investor concern that revenue growth would begin to decline, but argued that the use of data sets was more likely to expand as AI applications evolved.

BWS pointed to Innodata's most recent earnings call, during which the company announced it had secured $68 million in pre-training deals, as further evidence supporting its positive outlook.