# i3 Verticals, Inc. (IIIV)

> Source: Nexqual · https://nexqual.com/IIIV · data as of 2026-10-22 20:00 UTC · cite as "Nexqual, i3 Verticals, Inc. (IIIV), nexqual.com/IIIV" · informational, not investment advice.

**Price:** USD 17.44 (+2.95% on the day) · last close of Oct 22, 2026; US market pre market, not a live price. Prev close 16.94 · day 16.95–17.71 · 52w 13.63–33.97 · market cap $607M · NMS

## Key facts
- Last four reported quarters (through Jun 30, 2026): revenue $218M, net income $8.5M (3.9% margin), free cash flow $49.9M (SEC filings).
- Valuation: P/E 71.2x (avg 34.3x at the last 2 fiscal year-ends), EV/EBITDA 20.6x, net debt $112M.
- Earnings quality: non-operating income $9.2M vs operating income $5.9M over the last four quarters; P/E excluding non-operating income ≈297.7x (estimate: non-operating income taxed at the company's 29.6% effective rate).
- 1 of 80 tracked superinvestors hold IIIV (13F, Q2 2026): 0 new, 1 added, 0 reduced, 0 unchanged.
- Insider open-market purchases, last ~7 months: 1 Form 4 filing, $962K; 0 by opportunistic insiders, 0 by routine insiders.
- Analysts: Buy (mean 2.25 on a 1–5 scale) (4 analysts), mean target USD 25.5 (range 20–30).
- Total return with dividends: 1Y -45.4% vs S&P 500 +14.9%; 5Y -26.3% vs S&P 500 +80.3%.
- Next earnings: 2026-11-19, EPS estimate USD 0.27, revenue estimate $54.4M.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $224M | $188M | $190M | $191M | $213M | $218M |
| Gross profit | $195M | $283M | $333M | — | — | — |
| Operating income | -$12K | -$23.1M | -$4.4M | $4.4M | $3.8M | $5.9M |
| Net income | -$4.5M | -$17.1M | -$811K | $113M | $17.9M | $8.5M |
| EPS (diluted) | -$0.22 | -$0.77 | -$0.07 | $4.73 | $0.72 | — |
| Free cash flow | $42.6M | $41.5M | $33.0M | $45.4M | $3.8M | $49.9M |
| Gross margin | 87.2% | 150.6% | 175.7% | — | — | — |
| Operating margin | 0.0% | -12.3% | -2.3% | 2.3% | 1.8% | 2.7% |
| Net margin | -2.0% | -9.1% | -0.4% | 59.3% | 8.4% | 3.9% |
| Revenue growth | +49.3% | -16.2% | +1.0% | +0.8% | +11.5% | — |
| Cash + short-term investments | $3.6M | $3.5M | $3.1M | $86.5M | $66.7M | — |
| Total debt | $201M | $287M | $388M | $26.2M | $0K | — |
Fiscal years end Sep. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 30, 2026)
P/E 71.2x · P/E ex non-operating (est.) ≈297.7x · P/S 2.8x · EV/EBITDA 20.6x · EV/Sales 3.3x · P/FCF 12.2x · P/B 2.2x · FCF yield 8.23% · Earnings yield 1.40% · Buyback yield (TTM) 22.57% · Net debt $112M · EV $718M
P/E at fiscal year-ends: Sep 2025 62.1x, Sep 2024 6.4x.

## Superinvestors (SEC 13F-HR, Q2 2026)
1 of 80 tracked investors hold IIIV. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| First Eagle Investment | First Eagle Investment Management | 0.03% | $15.4M | Added +89.2% |

## Insider purchases (SEC Form 4, open-market, last ~7 months)
1 purchase, $962K. Private placements, offerings, dividend reinvestment and employee stock purchase plan buys are excluded.
| Trade date | Insider | Role | Shares | Value | Avg price | Insider type |
|---|---|---|---|---|---|---|
| 2026-05-14 | Daily Gregory S | Chief Executive Officer | 50,000 | $962K | 19.23 | Too little history (no open-market trades in 2025) |
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.

## Analysts
Consensus Buy (mean 2.25 on a 1–5 scale), 4 analysts; mean target USD 25.5 (low 20, high 30).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-08-10 | DA Davidson | Target lowered | Buy | $30 → $28 |
| 2026-08-10 | Benchmark | Downgrade | Buy → Hold |  |
| 2026-08-10 | Keybanc | Target lowered | Overweight | $27 → $20 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-18) |
|---|---|---|
| Total return | -45.4% | -26.3% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | -45.5% | -5.9% |
| Volatility (annualized) | 46.2% | 39.7% |
| Max drawdown | -58.3% (Oct 2025→Sep 2026) | -56.8% (Sep 2025→Sep 2026) |

## Peers (Software - Infrastructure)
PAY (Paymentus Holdings, Inc.) USD 34.07 +3.06% · DLO (DLocal Limited) USD 14.84 -2.05% · BLSH (Bullish) USD 29.19 -1.95% · TENB (Tenable Holdings, Inc.) USD 42 +3.27% · BB (BlackBerry Limited) USD 8.59 -8.71% · RELY (Remitly Global, Inc.) USD 25.32 -0.39%

## More
Full page: https://nexqual.com/IIIV · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Revenue by product line (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Software and other related revenue | $39.8M | 75.0% | +2.5% |
| Proprietary payments revenue | $13.3M | 25.0% | +1.4% |
| Total revenue | $53.1M | 100% | — |

## Company outlook (8-K filed 2026-08-06)

- "Assumes an effective tax rate of 25.0% (non-GAAP), based on the estimated long-term effective tax rate, considering blended federal and state tax rates."
- "With respect to the "2026 Outlook" above, reconciliations of adjusted EBITDA from continuing operations and adjusted diluted earnings per share from continuing operations guidance to the closest corresponding GAAP measure on a forward-looking basis are not available without unreasonable efforts."

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-09-30) | $0.27 | $0.00 | — | $54.4M | 4 |
| Next quarter (ends 2026-12-31) | $0.29 | $0.30 | -1.7% | $55.1M | 4 |
| Current fiscal year (ends 2026-09-30) | $1.07 | $0.00 | — | $217.7M | 4 |
| Next fiscal year (ends 2027-09-30) | $1.22 | $0.00 | — | $228.6M | 4 |