i3 Verticals (STU:V1K) Gross Margin %: 70.20% (As of Mar. 2026) — Near Median

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STU:V1K i3 Verticals Inc STU:V1K
63 GF Score
Price €18.20
GF Value €19.47
Valuation Fairly Valued
! 4 Warning Signs
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What is i3 Verticals Gross Margin %?

i3 Verticals STU:V1K -4.21% 63 Gross Margin % is 70.20% as of Mar. 2026, which is 3% above its 10-year median of 68.45. GuruFocus rates STU:V1K with a GF Score™ of 63/100 and a GF Value™ of €19.47 (Fairly Valued). The stock has 4 warning signs investors should review. Among 2,690 Software companies, i3 Verticals ranks better than 78.18% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. i3 Verticals's Gross Profit for the three months ended in Mar. 2026 was €34.9 Mil. i3 Verticals's Revenue for the three months ended in Mar. 2026 was €49.8 Mil. Therefore, i3 Verticals's Gross Margin % for the quarter that ended in Mar. 2026 was 70.20%.

Warning Sign:

i3 Verticals Inc gross margin has been in long-term decline. The average rate of decline per year is -1.4%.


The historical rank and industry rank for i3 Verticals's Gross Margin % or its related term are showing as below:

STU:V1K' s Gross Margin % Range Over the Past 10 Years
Min: 17.01   Med: 68.45   Max: 93.16
Current: 68.13


During the past 10 years, the highest Gross Margin % of i3 Verticals was 93.16%. The lowest was 17.01%. And the median was 68.45%.

STU:V1K's Gross Margin % is ranked better than
78.18% of 2690 companies
in the Software industry
Industry Median: 40.58 vs STU:V1K: 68.13

i3 Verticals had a gross margin of 70.20% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for i3 Verticals was -1.40% per year.


i3 Verticals  (STU:V1K) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

i3 Verticals had a gross margin of 70.20% for the quarter that ended in Mar. 2026 => Durable competitive advantage


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


i3 Verticals Gross Margin % Related Terms


i3 Verticals Gross Margin % Historical Data

* Premium members only.

The historical data trend for i3 Verticals's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

i3 Verticals Gross Margin % Chart

i3 Verticals Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 74.25 93.16 71.10 68.35 68.76

i3 Verticals Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 69.37 67.76 67.76 66.62 70.20

STU:V1K vs IMXI, CINT, LSAK: Gross Margin % Comparison

For the Software - Infrastructure subindustry, i3 Verticals's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


i3 Verticals Gross Margin % vs Software Industry

For the Software industry and Technology sector, i3 Verticals's Gross Margin % distribution charts can be found below:

* The bar in red indicates where i3 Verticals's Gross Margin % falls into.


STU:V1K
63GF Score
i3 Verticals Inc STU:V1K
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

i3 Verticals Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

i3 Verticals's Gross Margin for the fiscal year that ended in Sep. 2025 is calculated as

Gross Margin % (A: Sep. 2025 )=Gross Profit (A: Sep. 2025 ) / Revenue (A: Sep. 2025 )
=124.9 / 181.611
=(Revenue - Cost of Goods Sold) / Revenue
=(181.611 - 56.733) / 181.611
=68.76 %

i3 Verticals's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=34.9 / 49.753
=(Revenue - Cost of Goods Sold) / Revenue
=(49.753 - 14.824) / 49.753
=70.20 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 70.20% mean?
i3 Verticals (STU:V1K) has a Gross Margin % of 70.20% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on i3 Verticals and its competitors. This is near median its historical median of 68.45. Over the past decade, i3 Verticals' Gross Margin % has ranged from 17.01 to 93.16. According to the industry distribution chart, i3 Verticals ranks #587 out of 2690 companies in the Software industry, placing it in the top 21.8%.
Is i3 Verticals' Gross Margin % too high?
i3 Verticals' current Gross Margin % of 70.20% is near median its 10-year median of 68.45. Over the past 10 years, this metric has ranged from a low of 17.01 to a high of 93.16. The Software industry median Gross Margin % is 40.58. i3 Verticals' value of 70.20% is 73% above this industry median. Based on the distribution chart, i3 Verticals ranks #587 out of 2690 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, i3 Verticals has a GF Score™ of 63/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does i3 Verticals' Gross Margin % compare to IMXI and CINT?
According to the Software industry distribution chart, i3 Verticals ranks #587 out of 2690 companies for Gross Margin %. This places i3 Verticals in the top 22% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.58. i3 Verticals' value of 70.20% is 73% above this benchmark. Historically, i3 Verticals' own Gross Margin % has ranged from 17.01 to 93.16 over the past decade. While the company's 10-year median is 68.45 vs. the industry median of 40.58, i3 Verticals has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Software company?
The median Gross Margin % among Software companies is 40.58, based on 2,690 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. i3 Verticals's current Gross Margin % of 70.20% is 73% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on i3 Verticals and its competitors. For the Software industry, the median Gross Margin % is 40.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. i3 Verticals's current Gross Margin % is 70.20%, which is near median its own 10-year median of 68.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is i3 Verticals stock overvalued right now?
Based on GuruFocus' analysis, i3 Verticals (STU:V1K) is currently considered Fairly Valued. The stock's GF Value™ is €19.47, compared to a current price of €18.20 — trading 6.5% below its estimated fair value. The current Gross Margin % is 70.20%, which is near median its 10-year median of 68.45 and 73% above the Software industry median of 40.58. i3 Verticals' overall GF Score™ is 63/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For i3 Verticals (STU:V1K), the current Gross Margin % is 70.20% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is i3 Verticals (STU:V1K) Overvalued in 2026?

Based on GuruFocus' analysis, i3 Verticals stock appears to be undervalued. The current stock price of €18.20 is trading 6.5% below its estimated GF Value™ of €19.47. GuruFocus considers i3 Verticals to be Fairly Valued.

Key valuation signals for STU:V1K:

  • Gross Margin %: 70.20% (near median its 10-year median of 68.45)
  • GF Value™: €19.47 vs. price of €18.20 (6.5% below fair value)
  • GF Score™: 63/100 with 4 warning signs
  • Industry Position: 73% above the Software median (#587 of 2690)

No single metric tells the full story. See the STU:V1K stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


i3 Verticals Business Description

Other Exchanges IIIV:USA
Address 40 Burton Hills Boulevard, Suite 415, Nashville, TN, USA, 37215
i3 Verticals Inc provides mission-critical enterprise software solutions to public sector entities. These comprehensive cloud-native solutions address a broad range of government functions, including courts and public safety, public administration, utilities, transportation and schools. The company generates the majority of revenue from software and related services, including the sale of subscriptions, recurring services, ongoing support, licenses, and installation and implementation services specific to software.
63GF Score

Get the complete analysis for STU:V1K

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€18.20
Price
€19.47
GF Value