VTEX (VTEX) AI Stock Analysis

• Market Cap: $609.46M
• Dividend Yield: N/A
• Average Volume (3M): 972.07K
• Price to Earnings (P/E): 92.3
• Beta (1Y): 0.89
• Revenue Growth: 3.62%
• EPS Growth: -20.45%
• Country: US
• Employees: 1,368
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.08
• Shares Outstanding: 97,168,860
• 10 Day Avg. Volume: 707,134
• 30 Day Avg. Volume: 972,071
• PEG Ratio: 0.50
• Price to Book (P/B): 2.98
• Price to Sales (P/S): 2.90
• P/FCF Ratio: 21.55
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 2.54
• Enterprise Value/Gross Profit: 3.28
• Enterprise Value/Ebitda: 26.33
• 1Y Price Target: $5.50
• Price Target Upside: 60.35% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 0.17
• Revenue Forecast (FY): $267.07M

• Rating: 69 Neutral
• Price Target: $4.00 ▲(16.62% Upside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

The score is driven primarily by improved fundamentals—profitability, free cash flow generation, and a very low-debt balance sheet—reinforced by 2026 margin and cash flow guidance. This is tempered by a demanding valuation and a weaker longer-term technical trend, alongside management’s cautious outlook for only modest near-term subscription revenue growth.

Positive Factors

Balance Sheet Strength

Minimal leverage and substantial equity (~$233M at year-end 2025) materially reduce financial risk and provide strategic optionality. This durable strength supports continued R&D investment, the $50M buyback, and resilience through macro cycles without forcing dilutive financing.

Improved Cash Generation

Consistent positive operating and free cash flow indicate earnings quality and internal funding ability for product investment and buybacks. Sustained FCF reduces dependency on external capital, enabling disciplined growth funding and long-term margin improvement if FCF conversion remains stable.

High Gross Margins & AI Productivity

Very strong subscription gross margins and measurable AI-driven margin expansion create durable unit economics. Margin tailwinds can be reinvested into R&D for B2B, retail media and AI features, improving competitiveness while preserving profitability as revenue scales.

Negative Factors

Revenue Growth Deceleration

A shift from prior multi-year rapid expansion to mid-single-digit guidance makes long-term upside dependent on reacceleration. Slower topline growth increases the emphasis on margin and efficiency execution and raises execution risk if product investments do not drive material incremental bookings.

Elongated Sales Cycles

Persistent lengthening of enterprise decision cycles reduces predictability of ARR additions and delays payback on sales investment. Structurally longer sales processes raise CAC/resource needs and can slow cohort expansion, making growth lumpy and harder to scale sustainably.

Regional Concentration & NRR Pressure

Reliance on GMV-linked revenue and exposure to Latin America weakness creates retention and growth risk. NRR near 100% implies limited organic upsell cushion; regional softness can depress GMV and take-rate revenue, constraining sustainable ARR growth absent geographic diversification or new revenue streams.

VTEX Business Overview & Revenue Model

Company Description

VTEX provides software-as-a-service digital commerce platform for enterprise brands and retailers. Its platform enables customers to execute their commerce strategy, including building online stores, integrating, and managing orders across channels, and creating marketplaces to sell products from third-party vendors. It has operations in Brazil, Argentina, Chile, Colombia, France, Italy, Mexico, Peru, Portugal, Romania, Spain, the United Kingdom, and the United States. VTEX was founded in 2000 and is headquartered in London, the United Kingdom.

How the Company Makes Money

VTEX generates revenue through a combination of subscription fees and transaction fees. The company operates a SaaS (Software as a Service) model, where merchants pay a recurring fee for access to its platform, which varies based on usage and service tiers. Additionally, VTEX earns revenue from transaction fees applied to sales processed through its platform. Significant partnerships with major brands and retailers enhance its market presence and contribute to revenue growth. The company's focus on providing integrated solutions that cover the entire e-commerce ecosystem also helps attract new customers and retain existing ones, bolstering its earnings.

VTEX Financial Statement Overview

Summary

Strong turnaround: multi-year revenue expansion, return to consistent profitability in 2024–2025, and positive free cash flow with solid gross margins and minimal leverage. The main constraint is the sharp 2025 growth deceleration and slightly weaker free cash flow growth, making forward results more dependent on continued efficiency and margin execution than rapid topline growth.

Income Statement

Revenue has compounded strongly over the period (from ~$99M in 2020 to ~$241M in 2025), and profitability has improved materially after heavy losses in 2021–2022. The company returned to consistent profitability in 2024–2025, with 2025 net margin around 8.3% and solid gross margin (~77%), indicating good unit economics. The main weakness is growth deceleration in 2025 (low-single-digit revenue growth vs. much higher earlier years) and still-modest operating margins, suggesting the next leg depends more on scaling efficiency than rapid topline expansion.

Balance Sheet

The balance sheet is very conservatively financed with minimal debt (debt-to-equity roughly 1% in 2024–2025), which reduces financial risk and adds flexibility. Equity remains substantial (~$233M in 2025), and returns have improved alongside the earnings recovery (return on equity ~8.6% in 2025 after negative levels in 2021–2023). The key watchout is that equity has trended down from 2021 levels, and asset levels have been relatively flat, implying shareholder value creation will need to come from sustained profitability rather than balance-sheet expansion.

Cash Flow

Cash generation has strengthened significantly: operating cash flow turned from negative in 2021–2022 to meaningfully positive in 2024–2025, and free cash flow in 2025 (~$32M) nearly matches net income, reflecting decent earnings quality. However, free cash flow growth turned slightly negative in 2025, and operating cash flow remains a relatively small share of revenue (roughly in the mid-teens), indicating some sensitivity to working-capital or reinvestment needs as the business scales.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	240.52M	226.71M	201.52M	157.62M	125.77M
Gross Profit	186.34M	167.29M	140.57M	104.79M	76.18M
EBITDA	25.75M	14.40M	-4.99M	-51.09M	-65.12M
Net Income	20.01M	12.00M	-13.69M	-52.42M	-60.51M
Balance Sheet
Total Assets	346.63M	366.78M	341.14M	357.67M	414.97M
Cash, Cash Equivalents and Short-Term Investments	192.10M	214.81M	209.41M	238.56M	298.20M
Total Debt	2.88M	3.31M	4.10M	6.79M	9.27M
Total Liabilities	113.07M	110.98M	100.81M	83.00M	87.78M
Stockholders Equity	233.50M	255.75M	240.29M	274.66M	327.18M
Cash Flow
Free Cash Flow	32.33M	25.19M	3.79M	-29.56M	-54.74M
Operating Cash Flow	33.37M	27.26M	4.26M	-29.22M	-52.99M
Investing Cash Flow	24.80M	-20.01M	38.42M	-43.38M	-166.78M
Financing Cash Flow	-61.59M	-14.03M	-38.43M	-19.58M	283.68M

VTEX Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.43
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VTEX, the sentiment is Positive. The current price of 3.43 is above the 20-day moving average (MA) of 3.11, above the 50-day MA of 3.39, and below the 200-day MA of 4.64, indicating a neutral trend. The MACD of -0.08 indicates Negative momentum. The RSI at 60.47 is Neutral, neither overbought nor oversold. The STOCH value of 65.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VTEX.

VTEX Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VTEX	69 Neutral	$609.46M	92.28	6.53%	―	3.62%	-20.45%
RDVT	64 Neutral	$610.16M	56.23	11.58%	―	22.27%	117.93%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SPT	59 Neutral	$381.90M	-8.72	-26.69%	―	13.09%	32.34%
RSKD	51 Neutral	$684.37M	-19.04	-10.54%	―	6.54%	-19.17%
BMBL	51 Neutral	$342.73M	-1.60	-25.34%	―	-7.43%	61.36%
DOMO	45 Neutral	$150.06M	-2.09	―	―	-0.14%	21.60%

VTEX Corporate Events

VTEX Posts Record Q4 2025 Profit, Expands Enterprise and Global Commerce Footprint

VTEX reported fourth-quarter and full-year 2025 results on February 26, 2026, highlighting its evolution into a multi-product, AI-driven commerce platform and a deliberate push upmarket toward large enterprises. The company grew its cohort of customers generating more than US$250,000 in ARR to 158 and lifted Global Markets subscription revenue, led by the U.S. and Europe, by 21.6% for the year, underscoring its global expansion and strengthening enterprise positioning.

In the fourth quarter of 2025, VTEX’s GMV rose 17.2% year over year to US$6.3 billion, total revenue climbed 10.5% to US$68.0 million, and subscription revenue—which made up 98.1% of the total—grew 12.2%, while non-GAAP income from operations jumped 31.8% to US$16.2 million, yielding a 23.8% margin. The company combined record profitability with cost discipline, cutting headcount 16.7% year on year, and completed a US$21.3 million share repurchase in Q4 before the board authorized a new US$50 million program on February 24, 2026, signaling confidence in its cash generation and valuation.

Commercially, VTEX added new customers across Latin America, including Brazilian brands such as Atacado Vila Nova and TCL and regional retailers like Colombia’s Mercacentro and Ecuador’s Pharmacy’s and Cruz Azul, while existing clients such as EssilorLuxottica, Mondelez, OBI and Whirlpool expanded their operations on the platform. Operational case studies showcased the platform’s role in driving digital transformation and AI adoption: Aço Cearense saw triple-digit digital revenue growth via VTEX-enabled assisted sales, Americanas used VTEX’s AI agent to automate order support, Essity boosted retail media returns with VTEX Ads, and Grupo DIFARE migrated major pharmacy chains to VTEX to advance its omnichannel strategy.

These results and customer wins illustrate VTEX’s effort to cement its role as a core infrastructure provider for enterprise commerce, particularly in B2B, Retail Media and AI, even amid a challenging macro environment. By pairing strong subscription margins and growing non-GAAP profitability with increased R&D investment, the company is attempting to balance near-term financial discipline with longer-term product innovation, a trade-off that could enhance its competitive standing but also raises execution demands as it scales globally.

The most recent analyst rating on (VTEX) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on VTEX stock, see the VTEX Stock Forecast page.

VTEX Posts Higher 2025 Subscription Revenue and Narrows Accumulated Losses

For the twelve months ended December 31, 2025, VTEX reported total revenue of $240.5 million, up from $226.7 million a year earlier, driven by an increase in subscription revenue to $234.9 million while services revenue declined to $5.6 million. The company’s balance sheet showed total assets of $346.6 million, modestly down from $362.1 million at year-end 2024, with higher trade receivables, lower cash and marketable securities, and reduced deferred revenue on a non-current basis, indicating continued growth in its core SaaS operations while maintaining a solid liquidity and equity position for stakeholders.

VTEX ended 2025 with $267.5 million in current assets and $79.1 million in non-current assets, alongside $113.1 million in total liabilities, resulting in shareholders’ equity of $233.6 million compared with $254.1 million a year earlier. The company narrowed its accumulated losses from $109.8 million to $89.8 million, suggesting improving profitability trends as subscription revenue scales, though the slight contraction in cash, marketable securities and equity underscores ongoing investment and the need to sustain operating discipline in a competitive commerce-platform market.

The most recent analyst rating on (VTEX) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on VTEX stock, see the VTEX Stock Forecast page.

VTEX Achieves $1 Billion GMV in Black Friday-Cyber Monday 2025

VTEX announced that its customers achieved a GMV of $1.0 billion during the Black Friday-Cyber Monday week in 2025, marking a significant growth in orders and GMV compared to 2024. The company highlighted the resilience of its commerce infrastructure, which processed 273 billion edge requests and peaked at 53 million requests per minute, underscoring its reliability and scalability during peak sales periods. VTEX’s strategic focus on global expansion, product enhancements, and initiatives like B2B and AI aims to navigate market shifts and drive growth, reinforcing its position as a trusted partner for enterprise commerce.

The most recent analyst rating on (VTEX) stock is a Hold with a $5.00 price target. To see the full list of analyst forecasts on VTEX stock, see the VTEX Stock Forecast page.