(IIIV) i3 Verticals - Overview
Sector: Technology | Industry: Software - Infrastructure | Exchange: NASDAQ (USA) | Market Cap: 569m USD | Total Return: -20.8% in 12m
Avg Turnover: 9.81M
EPS Trend: -67.4%
Qual. Beats: 0
Rev. Trend: -91.8%
Qual. Beats: 0
Warnings
P/E ratio 185.1
Share dilution 26.7% YoY
Choppy Below Avwap Earnings
Tailwinds
No distinct edge detected
i3 Verticals, Inc. (IIIV) provides integrated enterprise software and payment processing solutions specifically designed for public sector entities across the United States and Canada. The company’s product suite automates complex administrative workflows for court systems, law enforcement, departments of transportation, and educational institutions. Core offerings include case management, electronic filing, computer-aided dispatch, and school nutrition program management.
The company operates within the vertical software-as-a-service (SaaS) sector, a model characterized by high switching costs and stable recurring revenue due to the essential nature of government infrastructure. By embedding payment processing directly into its specialized software, IIIV captures transaction fees alongside traditional licensing and maintenance revenue. This dual-revenue approach is common among providers targeting fragmented niche markets with low digital penetration.
For a detailed analysis of the companys valuation metrics and historical performance, consider reviewing the data available on ValueRay. Founded in 2012 and headquartered in Nashville, Tennessee, the firm continues to expand its footprint through the digitization of public records, tax collection, and licensing processes.
- Public sector software contract wins drive recurring revenue growth
- Divestiture of merchant services segment shifts focus to high-margin software
- Municipal budget cycles and government spending levels impact sales velocity
- Integration of AI in court and land records improves operational efficiency
- High interest rates increase debt service costs for acquisition-driven growth strategy
| Net Income: 17.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 8.53 > 1.0 |
| NWC/Revenue: 9.05% < 20% (prev 5.09%; Δ 3.96% < -1%) |
| CFO/TA 0.07 > 3% & CFO 45.5m > Net Income 17.9m |
| Net Debt (83.1m) to EBITDA (38.4m): 2.16 < 3 |
| Current Ratio: 1.34 > 1.5 & < 3 |
| Outstanding Shares: last quarter (30.6m) vs 12m ago 26.72% < -2% |
| Gross Margin: 58.17% > 18% (prev 78.08%; Δ -19.91% > 0.5%) |
| Asset Turnover: 33.83% > 50% (prev 37.39%; Δ -3.56% > 0%) |
| Interest Coverage Ratio: 3.55 > 6 (EBIT TTM 9.56m / Interest Expense TTM 2.69m) |
| A: 0.03 (Total Current Assets 78.2m - Total Current Liabilities 58.6m) / Total Assets 636.4m |
| B: 0.19 (Retained Earnings 120.2m / Total Assets 636.4m) |
| C: 0.01 (EBIT TTM 9.56m / Avg Total Assets 641.4m) |
| D: 1.60 (Book Value of Equity 317.4m / Total Liabilities 198.2m) |
| Altman-Z'' = 2.60 = A |
| DSRI: 1.09 (Receivables 55.5m/56.9m, Revenue 217.0m/241.7m) |
| GMI: 1.34 (GM 78.08% / 58.17%) |
| AQI: 1.01 (AQ_t 0.86 / AQ_t-1 0.85) |
| SGI: 0.90 (Revenue 217.0m / 241.7m) |
| TATA: -0.04 (NI 17.9m - CFO 45.5m) / TA 636.4m) |
| Beneish M = -2.72 (Cap -4..+1) = A |
As of June 07, 2026, the stock is trading at USD 19.68 with a total of 426,978 shares traded.
Over the past week, the price has changed by -3.34%,
over one month by -12.14%,
over three months by -16.61% and
over the past year by -20.84%.
i3 Verticals has received a consensus analysts rating of 4.43. Therefore, it is recommended to buy IIIV.
- StrongBuy: 5
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 28.5 | 44.8% |
P/E Trailing = 185.0909
P/E Forward = 19.1571
P/S = 1.9407
P/B = 1.2554
P/EG = 1.2401
Revenue TTM = 217.0m USD
EBIT TTM = 9.56m USD
EBITDA TTM = 38.4m USD
Long Term Debt = 81.0m USD (from longTermDebt, last quarter)
Short Term Debt = 1.79m USD (from shortTermDebt, last quarter)
Debt = 90.2m USD (from shortLongTermDebtTotal, last quarter) + Leases 4.61m
Net Debt = 83.1m USD (calculated: Debt 90.2m - CCE 7.14m)
Enterprise Value = 651.8m USD (568.7m + Debt 90.2m - CCE 7.14m)
Interest Coverage Ratio = 3.55 (Ebit TTM 9.56m / Interest Expense TTM 2.69m)
EV/FCF = 13.17x (Enterprise Value 651.8m / FCF TTM 49.5m)
FCF Yield = 7.59% (FCF TTM 49.5m / Enterprise Value 651.8m)
FCF Margin = 22.81% (FCF TTM 49.5m / Revenue TTM 217.0m)
Net Margin = 8.26% (Net Income TTM 17.9m / Revenue TTM 217.0m)
Gross Margin = 58.17% ((Revenue TTM 217.0m - Cost of Revenue TTM 90.8m) / Revenue TTM)
Gross Margin QoQ = 56.81% (prev 53.59%)
Tobins Q-Ratio = 1.02 (Enterprise Value 651.8m / Total Assets 636.4m)
Interest Expense / Debt = 2.99% (Interest Expense 2.69m / Debt 90.2m)
Taxrate = 45.46% (3.15m / 6.94m)
NOPAT = 5.22m (EBIT 9.56m * (1 - 45.46%))
Current Ratio = 1.34 (Total Current Assets 78.2m / Total Current Liabilities 58.6m)
Debt / Equity = 0.28 (Debt 90.2m / totalStockholderEquity, last quarter 317.4m)
Debt / EBITDA = 2.16 (Net Debt 83.1m / EBITDA 38.4m)
Debt / FCF = 1.68 (Net Debt 83.1m / FCF TTM 49.5m)
Total Stockholder Equity = 362.2m (last 4 quarters mean from totalStockholderEquity)
RoA = 2.79% (Net Income 17.9m / Total Assets 636.4m)
RoE = 4.95% (Net Income TTM 17.9m / Total Stockholder Equity 362.2m)
RoCE = 2.16% (EBIT 9.56m / Capital Employed (Equity 362.2m + L.T.Debt 81.0m))
RoIC = 0.91% (NOPAT 5.22m / Invested Capital 572.5m)
WACC = 7.41% (E(568.7m)/V(658.9m) * Re(8.33%) + D(90.2m)/V(658.9m) * Rd(2.99%) * (1-Tc(0.45)))
Discount Rate = 8.33% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 64.44 | Cagr: 12.92%
[DCF] Terminal Value 75.44% ; FCFF base≈49.5m ; Y1≈49.7m ; Y5≈52.7m
[DCF] Fair Price = 37.64 (EV 818.9m - Net Debt 83.1m = Equity 735.8m / Shares 19.5m; r=8.35% [WACC [floored]]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: -67.36 | EPS CAGR: -15.33% | SUE: 0.19 | # QB: 0
Revenue Correlation: -91.76 | Revenue CAGR: -13.90% | SUE: 0.00 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.26 | Chg30d=-5.49% | Revisions=-56% | Analysts=6
EPS current Year (2026-09-30): EPS=1.13 | Chg30d=+0.44% | Revisions=+25% | GrowthEPS=+7.9% | GrowthRev=+5.3%
EPS next Year (2027-09-30): EPS=1.26 | Chg30d=+1.36% | Revisions=+33% | GrowthEPS=+11.6% | GrowthRev=+8.6%
[Analyst] Revisions Ratio: -56%