The global AI in healthcare revenue cycle management (RCM) market is valued at USD 25.7 billion in 2025 and is projected to reach USD 180.33 billion by 2034, growing at a CAGR of 24.20%. This growth is driven by automation of billing, coding, claims processing, and payment activities, which improves financial accuracy, reduces errors, and enhances cash flow. North America currently dominates the market, with Asia-Pacific expected to grow at the highest CAGR. Key segments include software and services by component, integrated platforms and standalone tools by type, cloud-based deployment by mode, claims & denials management by application, and hospitals and health systems as the primary end-user. Recent developments include Infinx acquiring i3 Verticals' RCM division and Adonis securing $31 million in funding. Major players such as AGS Health, AdvantEdge, CareCloud, Conifer Health, McKesson, The SSI Group, Athenahealth, Change Healthcare, R1 RCM, and GE HealthCare are contributing to market growth through AI-driven RCM solutions.

The global AI in healthcare revenue cycle management (RCM) market was valued at USD 25.7 billion in 2025 and is projected to reach USD 180.33 billion by 2034, growing at a compound annual growth rate (CAGR) of 24.20%. This growth is driven by automation needs to reduce errors, improve billing accuracy, and streamline claims processing. North America currently dominates the market, with Asia-Pacific expected to grow at the highest CAGR. Key segments include software (largest revenue share in 2024) and services (fastest CAGR), with cloud-based deployment leading in adoption. The claims & denials management segment holds the largest revenue share, while eligibility and benefits verification is expected to grow fastest. Major players such as Infinx, Adonis, AGS Health, AdvantEdge, CareCloud, Conifer Health, McKesson, The SSI Group, Athenahealth, Change Healthcare, and R1 RCM are contributing to market growth through AI-driven automation and integration with EHR systems. Recent developments include Infinx acquiring i3 Verticals' RCM division in May 2025 and Adonis securing $31 million in funding in June 2024.

Raymond James has increased its price target for i3 Verticals (NASDAQ: IIIV) from $33.00 to $39.00 while maintaining a Strong Buy rating following the company's fiscal third-quarter 2025 results. The stock, trading at $32, is near its 52-week high. i3 Verticals reported 2% revenue upside and a 4% adjusted EBITDA beat against expectations, with a 90.72% gross profit margin, 9.06% year-over-year revenue growth, and 8% organic growth in the quarter. Annual recurring revenue (ARR) grew 300 basis points to 12%. The company maintains full-year revenue guidance, with organic growth in the fourth quarter expected to decline slightly due to nonrecurring comparisons. Management anticipates high single-digit normalized organic growth and 50-100 basis points of EBITDA margin expansion in 2026. Raymond James estimates the company has approximately $350 million in M&A capacity. The stock trades at about 14 times 2027 estimated EBITDA and has a current ratio of 2.02, indicating strong liquidity.

I3 Verticals faces a financial risk due to discontinued healthcare RCM operations, impacting the comparability of its financial statements. The company's current financial reports include results from both continuing and discontinued operations, creating challenges for investors to assess its true financial health. The average stock price target for IIIV is $32.60, implying 2.81% upside potential.

i3 Verticals, Inc. (NASDAQ:IIIV) has a price-to-sales (P/S) ratio of 3x, which is below the industry average, as most U.S. software companies have P/S ratios above 4.9x, with some exceeding 12x. Despite this, the company's revenue growth has been sluggish, with a 17% decline over the last three years and an expected 9.5% contraction in the coming year, compared to a projected 20% industry growth. The low P/S ratio reflects investor skepticism about future revenue performance. The company operates in the public sector and healthcare software markets in the United States and Canada, and maintains an excellent balance sheet with moderate growth potential. It currently has one warning sign in its investment analysis.