Needham & Company LLC Reiterates "Buy" Rating for Commerce.com (NASDAQ:CMRC)

Key Points

• Needham & Company LLC has reiterated its "buy" rating for Commerce.com (NASDAQ: CMRC) and set a price target of $10.00, indicating a potential upside of 116.45% from the stock's previous close.
• Different analysts have varying ratings on Commerce.com, with three holding a "buy" rating, while two maintain a "hold" and two issue a "sell" rating, leading to an average rating of "hold" with a price target of $8.07.
• Commerce.com recently reported a 3.2% increase in revenue year-over-year, with earnings per share (EPS) of $0.04, surpassing analysts' expectations, although the company has a negative return on equity of 25.13%.

Commerce.com (NASDAQ:CMRC - Get Free Report)'s stock had its "buy" rating reaffirmed by analysts at Needham & Company LLC in a report issued on Wednesday,Benzinga reports. They presently have a $10.00 target price on the stock. Needham & Company LLC's target price points to a potential upside of 106.19% from the stock's previous close.

Other equities analysts have also issued reports about the stock. Canaccord Genuity Group reiterated a "buy" rating and issued a $11.00 price objective on shares of Commerce.com in a research report on Friday, August 1st. The Goldman Sachs Group lowered their price objective on shares of Commerce.com from $9.50 to $8.50 and set a "neutral" rating on the stock in a research report on Friday, May 9th. Finally, Wall Street Zen upgraded shares of Commerce.com from a "hold" rating to a "buy" rating in a research report on Sunday, August 10th. Three analysts have rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $8.07.

Commerce.com Stock Up 6.8%

CMRC stock traded up $0.31 during midday trading on Wednesday, reaching $4.85. 688,671 shares of the company were exchanged, compared to its average volume of 1,029,628. The company has a debt-to-equity ratio of 4.06, a quick ratio of 2.13 and a current ratio of 2.13. Commerce.com has a 1-year low of $4.14 and a 1-year high of $7.99. The stock's 50-day simple moving average is $4.86 and its 200 day simple moving average is $5.40. The company has a market cap of $391.59 million, a price-to-earnings ratio of -22.05 and a beta of 1.15.

Commerce.com (NASDAQ:CMRC - Get Free Report) last announced its earnings results on Thursday, July 31st. The company reported $0.04 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.03 by $0.01. The business had revenue of $84.43 million for the quarter, compared to analyst estimates of $86.08 million. Commerce.com had a negative net margin of 5.37% and a negative return on equity of 25.13%. The company's revenue for the quarter was up 3.2% compared to the same quarter last year. During the same period last year, the firm posted $0.05 earnings per share. Commerce.com has set its Q3 2025 guidance at EPS. FY 2025 guidance at EPS.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Divisar Capital Management LLC raised its stake in shares of Commerce.com by 48.5% during the 4th quarter. Divisar Capital Management LLC now owns 1,872,031 shares of the company's stock worth $11,457,000 after buying an additional 611,811 shares during the last quarter. Millennium Management LLC increased its stake in shares of Commerce.com by 1,073.1% during the 4th quarter. Millennium Management LLC now owns 1,245,111 shares of the company's stock valued at $7,620,000 after acquiring an additional 1,138,977 shares during the last quarter. Connor Clark & Lunn Investment Management Ltd. increased its stake in shares of Commerce.com by 55.7% during the 1st quarter. Connor Clark & Lunn Investment Management Ltd. now owns 1,083,965 shares of the company's stock valued at $6,244,000 after acquiring an additional 387,836 shares during the last quarter. Deutsche Bank AG grew its holdings in shares of Commerce.com by 1.5% during the 4th quarter. Deutsche Bank AG now owns 990,275 shares of the company's stock worth $6,060,000 after purchasing an additional 14,772 shares during the period. Finally, Trexquant Investment LP grew its holdings in shares of Commerce.com by 105.4% during the 1st quarter. Trexquant Investment LP now owns 777,992 shares of the company's stock worth $4,481,000 after purchasing an additional 399,164 shares during the period. Institutional investors and hedge funds own 79.21% of the company's stock.

About Commerce.com

BigCommerce Holdings, Inc operates a software-as-a-service platform for small businesses, mid-markets, and large enterprises in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and internationally. The company's platform provides various services for launching and scaling e-commerce operation, including store design, catalog management, hosting, checkout, order management, reporting, and pre-integrations.