Forensic Analysis · Technology / Software · as of Aug 11, 2026
I3 Verticals, Inc. (IIIV)
A forensic read on I3 Verticals, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Safe
Financial health
5.4
Distress distance
Clean
Earnings quality
5
Forensic signals
26.9
P / E (ttm)
4.6%
ROE
$470M
Market cap
11.5%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
I3 Verticals, Inc. earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 5.4, placing it in the Safe zone. 5 forensic signals were flagged in its latest SEC filings, led by cash conversion.
What the filings flag
0.70×
FY2023–FY2025
Cash conversion.Over FY2023–FY2025, operating cash flow was 0.70× cumulative net income. Reported profit is not turning into cash. The shortfall is profit tied up in working capital rather than collected — the accrual and receivables lines below show where.
0.5%
FY2025
Return on invested capital.Return on invested capital is 0.5% in the latest fiscal year and rising from -3% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+15.4%/yr
FY2022–FY2025
Share-count dilution.Diluted share count changed +54% over the last 3 years to FY2025 (+15.4%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~15.4% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2022 has been diluted ~35%.
1269% of FCF
FY2025
Shareholder returns.Returned $48M to shareholders (buybacks + dividends) in FY2025 — 1269% of free cash flow. More than free cash flow generated — and beyond operating cash too, so the extra is coming from debt or cash reserves, which isn't sustainable indefinitely. Counting the $18M of stock-based comp paid out in shares on top of that, the combined claim on free cash flow is 1758%.
9% of rev
FY2025
Key fundamentals
Latest Revenue$213.2M
Revenue Growth YoY+11.5%
Net Margin8.4%
Free Cash Flow$3.8M
Return on Equity4.6%
Debt / Equity0.00x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from I3 Verticals, Inc.'s actual 10-K/10-Q/8-K filings?
Data from SEC EDGAR public filings · metrics as of Aug 11, 2026. Forensic signals flag probability, not certainty.
I3 Verticals, Inc. (IIIV) Stock — Forensic Analysis, Red Flags & Rating | Stockonomy · Stockonomy
Stock-based comp load.
Stock-based compensation ran 9% of revenue and 489% of free cash flow in FY2025 — about $0.54 per diluted share. The cost of it is not in the cash flow — no cash left the business — it is in the count, and there it has run at about 17.4% a year and is falling.