Yiren Digital and Innodata Lead June’s AI Stock Picks as Investor Attention Shifts to Niche Enablers

By Farhan Ali • June 23, 2025

With Big Tech AI stocks continuing to soar, investors are now turning to smaller AI infrastructure plays with strong fundamentals and high relevance to the model deployment economy.

Two names stand out for June: Yiren Digital (YRD) and Innodata Inc. (INOD).

📊 Yiren Digital (YRD)

• Market Cap: ~$650M
  
• Focus: AI-driven consumer finance and credit analytics
  
• Recent performance: +22% in June
  
• Why it matters: Yiren is using generative AI for risk modeling, onboarding, and smart lending decisions in Asia’s growing fintech landscape. Analysts call it a “sleeper fintech AI breakout.”
  

🧠 Innodata (INOD)

• Market Cap: ~$550M
  
• Focus: AI data engineering, labeling, and annotation for LLMs
  
• Recent performance: +31% in June
  
• Customer base: OpenAI, Amazon, Bloomberg, and undisclosed U.S. government agencies
  
• Why it matters: As demand for high-quality training data grows, Innodata has become a key supplier to foundation model builders.
  

(Source: TheStreet, Investopedia, Yahoo Finance)

Sector Outlook

The Gemini 1.5 upgrade, continued Nvidia hardware demand, and capital inflows into AI ETFs are pushing up valuations across:

• Data infrastructure
  
• AI-model-as-a-service (MaaS)
  
• Workflow automation tools
  
• RegTech and intelligent compliance
  

What Analysts Are Saying

“Yiren is a fintech with LLM inside. Innodata is the plumbing behind the AI boom,” said an ARK analyst in a recent Q2 call.

Both stocks are being tracked for entry into AI-focused ETFs like BOTZ, ARKG.AI, and WisdomTree AI Portfolio.

Final Thoughts

For investors looking beyond the usual suspects, Yiren Digital and Innodata offer real exposure to the invisible labor of AI—the labeling, learning, and low-latency decision engines that power the entire ecosystem.

Sources:

• TheStreet – AI Stock Picks for June
  
• Investopedia – Emerging AI Equities
  
• Yahoo Finance – YRD and INOD Performance Tracker
  
• ARK Invest – Small Cap AI Strategy Memo, Q2 2025