Core Insights - Tensile Capital Management increased its stake in Vertex by acquiring 160,559 shares, bringing total holdings to 3.8 million shares valued at $94.3 million as of September 30 [2][11] - Vertex's stock price has decreased by 65% over the past year, significantly underperforming the S&P 500, which is up 13% during the same period [3][12] - Vertex reported a 12.7% revenue growth and a 29.6% growth in cloud revenue in the third quarter, alongside a new $150 million share-repurchase program [10] Company Overview - Vertex is a leading provider of tax technology software and services, focusing on enterprise clients [6] - The company generates revenue through software licenses, SaaS subscriptions, implementation, training, and tax-related outsourcing services [9] - Vertex's market capitalization is $3.1 billion, with a trailing twelve months (TTM) revenue of $732.2 million and a net income of -$53.6 million [4] Financial Metrics - Vertex's annual recurring revenue (ARR) stands at $648 million, with a net revenue retention rate of 107% [12] - The company has a significant cash generation capability, reporting $43.5 million in adjusted EBITDA for the third quarter [10] - Vertex's stock price was $19.68 as of the last market close [4]