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Here are 1-3 brief analogies for Vertex (VERX):

• It's like ADP, but for automating corporate sales tax and VAT compliance instead of payroll and HR.

• Imagine a Stripe or PayPal, but for managing and calculating a company's complex sales and use taxes on every transaction.

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• Tax Determination Solutions: Software that calculates the correct tax for various business transactions.
• Compliance and Reporting Solutions: Tools designed to help corporations fulfill their tax obligations and generate required reports.
• Tax Data Management Solutions: Systems for organizing, storing, and managing a company's tax-related data.
• Document Management Solutions: Platforms dedicated to handling and archiving tax-related documents.
• Pre-built Integration Solutions: Software that offers ready-to-use connections with other enterprise systems.
• Industry-specific Solutions: Tailored tax technology offerings designed to meet the unique needs of particular industries.
• Implementation Services: Professional services provided to assist with the setup and deployment of Vertex software.
• Training Services: Educational programs offered to users to ensure effective utilization of Vertex products.
• Transaction Tax Returns Outsourcing: Services where Vertex manages the preparation and filing of a company's transaction tax returns.
• Other Tax-Related Services: A broad category encompassing additional tax advisory and support services provided by the company.

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• Retail
• Communication
• Leasing
• Manufacturing

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Amazon.com, Inc. (AMZN)

Microsoft Corporation (MSFT)

Alphabet Inc. (GOOGL, GOOG)

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Chris Young, President, Chief Executive Officer and Director
Christopher D. Young was appointed President and Chief Executive Officer and became a member of the Board of Directors in November 2025. He previously served as Executive Vice President – Business Development, Strategy and Ventures of Microsoft Corp. from 2020 to 2025. From 2017 to 2020, he was the CEO of McAfee, LLC, where he led its spin-out from Intel. Young also held senior leadership roles at Intel Security Group, Cisco, RSA (a division of Dell EMC), and AOL, focusing on cybersecurity efforts. He currently serves on the Boards of Directors of Qualcomm and American Express and previously served on the Boards of Snap and Rapid7.

John Schwab, Chief Financial Officer
John Schwab is responsible for developing Vertex's financial strategic objectives, overseeing mergers and acquisitions, and driving international expansion strategies. Prior to joining Vertex, he served as Chief Financial Officer at Flagship Credit Acceptance. Schwab began his career in assurance services at Arthur Andersen. He has extensive experience in leading global finance teams, developing multi-channel business models, and creating alternate investment strategies.

Sal Visca, Chief Technology Officer
Sal Visca leads the company's technology strategy, software engineering, and innovation roadmap. He joined Vertex in 2021, bringing 30 years of technology and executive management expertise in transforming and operating large-scale cloud software businesses. His early career was spent at IBM as a software engineer, architect, and in executive roles developing e-commerce and middleware products. He has also held Chief Technology Officer positions at Elastic Path Software, Business Objects, and SAP.

Chirag Patel, Chief Strategy Officer
Chirag Patel is the Chief Strategy Officer, focusing on global growth and acquisitions for Vertex.

Bryan Rowland, Senior Vice President, General Counsel and Corporate Secretary
Bryan Rowland is responsible for all general corporate, information security, and transactional matters. He also oversees corporate governance and advises leadership on critical business priorities including privacy, business strategy, and potential new markets. Prior to Vertex, Rowland was Senior Vice President, General Counsel, Chief Compliance Officer, and Corporate Secretary at Checkpoint Systems, Inc.

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Here are the key risks to Vertex, Inc. (VERX):

1. Macroeconomic Slowdown and Impact on Customer Spending and Retention: Vertex faces significant risk from a challenging macroeconomic environment, which has led to more cautious enterprise customer spending, elongated sales cycles, and delayed deal-making. This economic caution has directly contributed to trimmed revenue guidance and a decline in the company's Net Revenue Retention (NRR) rate, signaling slower growth from existing customers.
2. Regulatory Changes and Complexity in Tax Laws: Vertex's business is fundamentally tied to tax compliance. The complexity and frequent changes in global tax laws and regulations, including new e-invoicing mandates in various countries, pose a continuous threat. Failure to promptly and effectively adapt its solutions to these evolving regulatory landscapes could impact customer trust, harm the company's reputation, and potentially lead to revenue loss.
3. Intense Competition and Technological Disruption: Vertex operates in a competitive market, facing pressure from other tax software and service providers, as well as the challenge of convincing businesses to migrate from existing Enterprise Resource Planning (ERP) functions. The rapid pace of technological innovation, including advancements in AI-driven tax compliance, means that new entrants or existing competitors could introduce disruptive solutions, potentially eroding Vertex's market share if the company fails to innovate proactively.

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The addressable markets for Vertex, Inc.'s main products and services, which include tax technology solutions such as tax determination, compliance and reporting, and tax data management, are substantial both globally and in North America.

Global Addressable Market

• The global tax management software market was valued at approximately USD 20.21 billion in 2023 and is projected to reach about USD 39.71 billion by 2030, exhibiting a Compound Annual Growth Rate (CAGR) of 10.1% from 2024 to 2030.
• Other estimates indicate the global tax management software market size was USD 25.09 billion in 2025 and is predicted to grow to approximately USD 65.03 billion by 2035, with a CAGR of 9.99% from 2026 to 2035.
• The global tax software market size exceeded USD 23.97 billion in 2025 and is projected to surpass USD 69.3 billion by 2035, with a CAGR of around 11.2% from 2026 to 2035.
• The global tax technology (Tax Tech) market was valued at USD 18.25 billion in 2024 and is expected to grow at a CAGR of 11.9% during 2025–2034. Another source states the global Tax Tech Market will grow from USD 18.53 billion in 2024 to USD 36.72 billion by 2030 at a CAGR of 12.1%.

North American/U.S. Addressable Market

• The U.S. tax management software market generated revenue of USD 4.45 billion in 2023 and is anticipated to reach USD 8.70 billion by 2030, growing at a CAGR of 10.1% from 2024 to 2030.
• North America held the largest share of the global tax management software market, accounting for 34.70% in 2025, with a valuation of USD 7.04 billion in 2025 and USD 7.87 billion in 2026.
• The North America tax software market is expected to capture a 33% share of the global market by 2035.

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Vertex, Inc. (VERX) is expected to drive future revenue growth over the next two to three years through several key initiatives and market trends:

1. Accelerated Cloud Revenue Growth: The company anticipates continued robust growth in its cloud-based solutions. Cloud revenue surged by 29.6% year-over-year in Q3 2025 and is projected to increase by 28% for the full year 2025. For fiscal year 2026, Vertex Inc. projects a 25% increase in cloud revenue. This shift to cloud-based platforms is a primary accelerator for revenue.
2. Expansion of E-invoicing Solutions driven by Global Mandates: The global push for digital compliance, particularly e-invoicing mandates, presents a significant growth opportunity for Vertex. The company's e-invoicing business demonstrated accelerating growth in 2025 and is well-positioned for upcoming mandates in key European economies like France and Germany. Strategic investments, including $16 million to $20 million on e-invoicing initiatives for 2025, underscore this focus.
3. Introduction and Adoption of AI-driven Tax Technology: Vertex is actively investing in Artificial Intelligence (AI) initiatives, with planned spending of $10 million to $12 million on AI for 2025. New AI-driven offerings, such as Smart Categorization, have already gained early traction with enterprise customers. The company believes AI will transform tax compliance workflows, providing a competitive advantage.
4. Continued New Customer Acquisition in the Enterprise Segment: Vertex continues to onboard new customers at a healthy pace, maintaining its market position as a leading provider of indirect tax solutions to enterprises. The company serves over 60% of the Fortune 500, indicating a strong presence and opportunity for further expansion within the enterprise market, including winning business from competitors.

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Share Repurchases

• Vertex, Inc. authorized its first stock repurchase program on October 30, 2025, allowing for the buyback of up to $150 million of its Class A common stock.
• In the fourth quarter of 2025, the company repurchased approximately $10 million of Class A common stock under this authorization.

Share Issuance

• As of February 19, 2026, Vertex had 77,801,253 Class A and 82,155,641 Class B shares outstanding.
• As of February 26, 2024, the company had 61,673,585 shares of Class A common stock and 92,661,000 shares of Class B common stock outstanding.
• The company's CFO exercised restricted stock units (RSUs) into 30,305 shares of Class A Common Stock on February 23, 2026, with 16,411 shares withheld for taxes.

Outbound Investments

• Vertex made a $15.0 million preferred equity investment in Kintsugi AI, aligning with its tax automation strategy.
• The company may pursue future acquisitions of businesses, software, and technologies, which could be financed by incurring debt or issuing equity.

Capital Expenditures

• Vertex defines free cash flow as net cash provided by operating activities less purchases of property and equipment and capitalized software.
• The primary focus of capital expenditures includes purchases of property and equipment and capitalized software development costs.