VIRTVirtu Financial, Inc.

Security Brokers, Dealers & Flotation Companies

Revenue: $617M; 19% YoY
Operating margin: —
EBITDA: —
Market cap: $4.7B
Employees: 1,027; $601K revenue each
Net debt / EBITDA: —; $957M net debt
AI in 10-K: 0.9; mentions per 10K words

Takeover score 5 of 13

Fixable underperformance 2 of 7

TSR below peersYes
5 of 5 years
3+ of last 5 years
High CEO pay despite TSRNo
—
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
568× net income
Cash flow under 80% of net income
Dilutive SBCYes
16% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
24% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyNo
4% of assets
Over 40% of assets
Shareholder dissentNo
96% lowest support
Any vote under 80% support

Buyer economics 2 of 4

Low revenue per employeeYes
$601K · 13th pct
Bottom quartile of its SIC industry
Quiet on AINo
0.9 per 10K words · 32nd pct
Bottom quartile of AI mentions in 10-Ks
Net cashNo
—
More cash than debt, positive EBITDA
Buyout-sizedYes
$4.7B market cap
Market cap $500M–$5B

Catalysts 1 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingYes
−$15M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$614M	$530M	$456M	$517M	$617M	19%
Net income	$827K	$468K	$264K	$535K	$912K	71%
Operating cash flow	$1.2B	$707M	$492M	$599M	$518M	13%
Capex	$25M	$27M	$38M	$12M	$23M	83%
Stock-based comp	$56M	$67M	$64M	$75M	$100M	33%
Buybacks	$3M	$8M	$2M	$0	$2M

Deal filings

None.

13D filers

Filed	Filer	Form	Stake	Intent
Apr 14, 2025	Viola Vincent J	SCHEDULE 13D/A	45.2%	Active
Dec 20, 2021	Viola Vincent J	SC 13D/A	38.4%	Active
Nov 29, 2021	North Island Holdings I, LP	SC 13D/A	2.2%	Passive
Aug 17, 2021	North Island Holdings I, LP	SC 13D/A	16.9%	Passive
Jun 3, 2020	North Island Holdings I, LP	SC 13D/A	17.8%	Passive
May 26, 2020	Viola Vincent J	SC 13D/A	36.2%	Active
May 6, 2020	Viola Vincent J	SC 13D/A	35.9%	Active
Mar 23, 2020	Viola Vincent J	SC 13D/A	35.9%	Active
May 21, 2019	Viola Vincent J	SC 13D/A	36.7%	Active

Insider trading

Open-market buys, 12 mo: $0 · 0
Open-market sells, 12 mo: $15M · 19
Net: −$15M

Pay vs performance

Year	CEO total comp	Comp actually paid	TSR (indexed)	Peer TSR
FY2025	—	—	132	272
FY2024	—	—	143	214
FY2023	—	—	80	148
FY2022	—	—	81	119
FY2021	—	—	115	129