I3 Verticals

IIIV · NASDAQ

$17.07+$0.15 (+0.89%)TodayMarket closed · Oct 20, 4:01 PM ET

Prev close $16.92

IIIV analyst rating

BuyConsensus of 4 analysts over the last 12 months. 50% rate it a buy.

Strong buy0
Buy2
Hold2
Underperform0
Sell0

12-month price target · 5 analysts

Average $24.48 (+43.4% upside)

Low: $20.20
Now: $17.07
High: $29.40

Upgrades and downgrades

The latest rating actions, newest first

IIIV analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
DA Davidson	Aug 10, 2026	Maintains	Buy	$30.00 → $28.00	57%
Benchmark	Aug 10, 2026	Downgrade	Buy → Hold	—	55%
Keybanc	Aug 10, 2026	Maintains	Overweight	$27.00 → $20.00	50%
DA Davidson	May 18, 2026	Maintains	Buy	$30.00	57%
Benchmark	May 14, 2026	Maintains	Buy	$39.00 → $30.00	55%
DA Davidson	May 13, 2026	Maintains	Buy	$35.00 → $30.00	57%
Cantor Fitzgerald	May 11, 2026	Maintains	Overweight	$30.00 → $27.00	50%
Morgan Stanley	Feb 10, 2026	Maintains	Equal-Weight	$28.00 → $22.00	57%
Keybanc	Feb 9, 2026	Maintains	Overweight	$32.00 → $30.00	50%
DA Davidson	Feb 6, 2026	Maintains	Buy	$35.00	57%

The case for and against

Updated Oct 14, 2026

Bull case

i3 Verticals is attractive because its business is increasingly anchored in recurring, high-margin software revenue, with recurring revenue up 8% Y/Y to $43.5M and software subscriptions up 38% Y/Y to $12.8M, or 24% of revenue. The company’s strategic divestitures generated over $530M in gross proceeds, enabled full debt elimination, and sharpened the focus on Public Sector software, where it now derives more than 96% of revenue and has added assets like MV Solutions and the West Virginia court expansion. Despite lowered FY26 guidance, management still expects 100-200 bps of EBITDA margin expansion into FY27, supported by AI-driven efficiency gains, an improving recurring mix, and a proven M&A strategy in fragmented vertical markets.

Bear case

i3 Verticals is facing a weakening fundamental profile as fiscal 3Q revenue of $53.1M came in below expectations, organic growth excluding acquisitions was about negative 2%, and recurring strength was offset by an 18% decline in non-recurring revenue driven by implementation delays and softer professional services. Management cut the midpoints of fiscal 2026 total revenue and adjusted EBITDA guidance by 3% and 7%, while annualized recurring revenue fell sequentially to $174.1M from $183.5M, signaling that growth visibility is deteriorating rather than improving. Although divestitures generated over $530M in gross proceeds and the stock trades at 8.5x-9.0x calendar 2027 adjusted EBITDA, slower top-line momentum, lower FY27 growth expectations, and pressure from professional services, transaction revenue, and customer renewals support a negative outlook.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.