EverCommerce (NASDAQ:EVCM) Posts Quarterly Earnings Results, Misses Estimates By $0.13 EPS

Key Points

• EverCommerce reported quarterly EPS of $0.03, missing the $0.16 consensus by $0.13; revenue of $151.45 million also fell short of expectations, though it increased 2.6% year over year.
• Management cited weaker new-customer acquisition and delayed project milestones, and projected roughly $600 million in 2026 revenue and $170 million in adjusted EBITDA. It plans investments to support growth, which may weigh on near-term results.
• Analysts have lowered several price targets, and Deutsche Bank downgraded the stock to Hold; MarketBeat’s consensus rating is Reduce, with an $8.67 price target.

EverCommerce (NASDAQ:EVCM - Get Free Report) posted its earnings results on Thursday. The company reported $0.03 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.13), FiscalAI reports. EverCommerce had a net margin of 4.81% and a return on equity of 4.00%. The firm had revenue of $151.45 million for the quarter, compared to analysts' expectations of $152.91 million. During the same period last year, the firm earned ($0.03) earnings per share. EverCommerce's revenue for the quarter was up 2.6% compared to the same quarter last year.

Here are the key takeaways from EverCommerce's conference call:

• Q3 revenue was $151.4 million, up 2.7% year over year but slightly below the low end of guidance. Management cited weaker new-customer acquisition, vendor rebates below forecast, and delayed security-project milestones; full-year 2026 revenue guidance was set at approximately $600 million.
• Adjusted EBITDA was $45 million, in line with the guidance midpoint, but margin declined to 29.7% from 31.5% a year earlier. The updated full-year EBITDA outlook is approximately $170 million and includes planned Q4 growth investments and higher healthcare benefits costs.
• New CEO Alex Goor said the company plans to prioritize product improvements, customer feedback, sales execution, and disciplined investment, aiming to accelerate growth exiting 2027 and achieve sustainable double-digit revenue growth. He acknowledged that revenue growth has been decelerating and relies primarily on pricing, while noting investments could affect near-term results.
• Payments revenue in the six solutions management is prioritizing grew 15% year over year, while their total payment volume increased 15.6%. Customers actively using multiple solutions grew 27%, and management said these customers generate net revenue retention above 100%.
• EverCommerce ended the quarter with $139 million in cash, $125 million of undrawn revolver capacity, and net leverage of approximately 2.2 times; its debt does not mature until 2031. The company also generated $73 million of trailing-12-month levered free cash flow.

EverCommerce Price Performance

Shares of NASDAQ:EVCM traded down $0.13 during trading on Friday, reaching $8.22. The stock had a trading volume of 152,151 shares, compared to its average volume of 85,446. The company has a debt-to-equity ratio of 0.72, a quick ratio of 2.14 and a current ratio of 2.14. The business has a fifty day moving average price of $8.56 and a 200-day moving average price of $10.25. The stock has a market cap of $1.45 billion, a PE ratio of 54.80, a PEG ratio of 0.80 and a beta of 0.63. EverCommerce has a 1-year low of $6.01 and a 1-year high of $14.41.

Analyst Ratings Changes

EVCM has been the topic of several analyst reports. Deutsche Bank Aktiengesellschaft lowered shares of EverCommerce from a "buy" rating to a "hold" rating and dropped their price target for the company from $12.00 to $7.00 in a research report on Friday. Wall Street Zen raised shares of EverCommerce from a "buy" rating to a "strong-buy" rating in a research note on Saturday. Weiss Ratings lowered shares of EverCommerce from a "hold (c-)" rating to a "sell (d+)" rating in a report on Tuesday. Canaccord Genuity Group reduced their price objective on shares of EverCommerce from $13.00 to $9.00 and set a "buy" rating for the company in a research report on Friday. Finally, Oppenheimer decreased their price objective on shares of EverCommerce from $13.00 to $11.00 and set an "outperform" rating on the stock in a report on Friday. Two equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, EverCommerce currently has an average rating of "Reduce" and a consensus price target of $8.67.

Insider Buying and Selling

In other EverCommerce news, Director Eric Remer sold 47,353 shares of the firm's stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $8.24, for a total value of $390,188.72. Following the transaction, the director owned 5,022,792 shares in the company, valued at approximately $41,387,806.08. This trade represents a 0.93% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 431,327 shares of company stock valued at $4,069,251. 10.10% of the stock is currently owned by corporate insiders.

Key Headlines Impacting EverCommerce

Here are the key news stories impacting EverCommerce this week:

• Positive Sentiment: Management indicated full-year 2026 revenue of about $600 million and adjusted EBITDA of about $170 million. The outlook offers investors a view of expected scale and profitability, though the company also plans to ramp up investments in Q4. Article: EverCommerce signals 2026 outlook
• Positive Sentiment: Oppenheimer lowered its target to $11 from $13 but maintained an Outperform rating; Canaccord cut its target to $9 from $13 and kept a Buy rating. Both firms remain positive on the shares despite reducing their estimates. Article: Oppenheimer price target Article: Canaccord price target
• Negative Sentiment: Q3 adjusted earnings were reported at $0.03 per share, below the $0.16 consensus, while revenue of $151.45 million also fell short of the $152.91 million estimate. Revenue was up 2.6% year over year, but the earnings miss may weigh on sentiment. Article: EverCommerce Q3 results
• Negative Sentiment: Deutsche Bank downgraded EVCM from Buy to Hold with a $7 target, and RBC cut its target from $10 to $7 while maintaining Sector Perform. The lower targets and Deutsche’s downgrade signal reduced analyst confidence. Article: Deutsche Bank downgrade Article: RBC price target

EverCommerce Company Profile

EverCommerce, Inc is a software and technology company that provides integrated, cloud-based solutions for service-oriented small and midsize businesses. Its platforms are designed to help businesses manage operations, customer relationships, payments, marketing and other administrative functions through specialized applications tailored to specific industries.

The company serves a broad range of vertical markets, including home and field services, health and wellness, fitness, education, professional services and other appointment- or membership-based businesses.

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