2 Top Tech Stocks to Buy in January: i3 Verticals and Yalla Group

As we step into the new year, investors are looking for promising tech stocks that can deliver strong returns. Two companies that stand out in the tech sector are i3 Verticals, Inc. (IIIV) and Yalla Group Limited (YALA). Both companies have shown impressive growth and have significant potential for the future. Let's take a closer look at these two tech stocks and why they are worth considering for your portfolio.



i3 Verticals, Inc. (IIIV)

i3 Verticals specializes in developing and acquiring software solutions for the public sector and health care markets. The company's recurring revenue model, with approximately 80% of its revenue coming from software, services, and transaction-based payment processing, provides a stable and predictable revenue stream. Additionally, i3 Verticals' disciplined acquisition strategy, having completed 50 acquisitions since 2012, has contributed to its growth and expansion into new markets.

One of the key catalysts driving i3 Verticals' growth is its focus on the public sector and healthcare markets, which are typically less volatile and offer long-term growth opportunities. The company's proprietary platform integrates software, services, and payment processing, making it an attractive solution for government agencies and healthcare providers. As a result, i3 Verticals is well-positioned to continue its growth trajectory in the coming years.



Yalla Group Limited (YALA)

Yalla Group operates two flagship mobile apps—Yalla, a voice-centric group chat platform, and Yalla Ludo, a casual gaming app featuring popular Middle East and North Africa (MENA) board games with in-game voice chat and localized features. Yalla was the largest MENA-based online social networking and gaming company by revenue in 2022, attracting over 36.2 million monthly users and 11.9 million paying users by late 2023. As of third quarter 2024, Yalla reported 40 million active monthly users.

The primary catalyst for Yalla Group's growth is its focus on the MENA region, which has a growing internet and smartphone penetration. The company's localization efforts, such as offering popular MENA board games and in-game voice chat, have helped it differentiate itself and appeal to its target audience. Additionally, Yalla Group's two flagship mobile apps have attracted a large user base, providing a strong foundation for future growth.



In conclusion, i3 Verticals and Yalla Group are two top tech stocks to consider for your portfolio in January. Both companies have shown impressive growth and have significant potential for the future. By investing in these tech stocks, you can take advantage of their growth prospects and contribute to the overall performance of your portfolio. As always, it is essential to conduct thorough research and consider your risk tolerance before making any investment decisions.