SPS Commerce, Inc. (NASDAQ:SPSC) Receives Average Recommendation of "Hold" from Analysts

Key Points

• SPS Commerce has received an average analyst rating of "Hold", with six analysts recommending holding the stock and five recommending buying it.
• The average 12-month target price for SPS Commerce is $156.70, with recent ratings fluctuating between $120.00 and $175.00.
• Institutional investors own approximately 98.96% of SPS Commerce, indicating strong confidence in the company among major stakeholders.

SPS Commerce, Inc. (NASDAQ:SPSC - Get Free Report) has received an average rating of "Hold" from the eleven analysts that are presently covering the firm, MarketBeat Ratings reports. Six investment analysts have rated the stock with a hold recommendation and five have assigned a buy recommendation to the company. The average 12-month target price among brokerages that have updated their coverage on the stock in the last year is $156.70.

A number of equities analysts recently weighed in on the company. DA Davidson reissued a "neutral" rating and set a $125.00 price objective on shares of SPS Commerce in a report on Thursday, September 25th. Loop Capital cut SPS Commerce from a "buy" rating to a "hold" rating and reduced their price target for the stock from $175.00 to $120.00 in a research note on Thursday, July 31st. Needham & Company LLC restated a "buy" rating and issued a $160.00 price target on shares of SPS Commerce in a research note on Wednesday, September 24th. Weiss Ratings restated a "hold (c-)" rating on shares of SPS Commerce in a research note on Wednesday. Finally, Stifel Nicolaus lowered their price objective on shares of SPS Commerce from $175.00 to $165.00 and set a "buy" rating on the stock in a research note on Thursday, July 31st.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. UMB Bank n.a. boosted its stake in shares of SPS Commerce by 60.6% during the second quarter. UMB Bank n.a. now owns 212 shares of the software maker's stock valued at $29,000 after purchasing an additional 80 shares in the last quarter. NewEdge Advisors LLC boosted its holdings in SPS Commerce by 545.7% in the first quarter. NewEdge Advisors LLC now owns 226 shares of the software maker's stock valued at $30,000 after purchasing an additional 191 shares during the last quarter. Allworth Financial LP grew its stake in shares of SPS Commerce by 296.6% during the 1st quarter. Allworth Financial LP now owns 234 shares of the software maker's stock worth $33,000 after purchasing an additional 175 shares during the period. Caitong International Asset Management Co. Ltd increased its stake in shares of SPS Commerce by 105.4% in the 1st quarter. Caitong International Asset Management Co. Ltd now owns 302 shares of the software maker's stock valued at $40,000 after purchasing an additional 155 shares in the last quarter. Finally, MassMutual Private Wealth & Trust FSB raised its holdings in SPS Commerce by 41.1% in the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 316 shares of the software maker's stock worth $43,000 after purchasing an additional 92 shares during the period. Institutional investors own 98.96% of the company's stock.

SPS Commerce Price Performance

SPSC opened at $108.62 on Thursday. SPS Commerce has a 1 year low of $102.05 and a 1 year high of $201.06. The firm's fifty day moving average price is $108.94 and its two-hundred day moving average price is $128.05. The company has a market capitalization of $4.12 billion, a price-to-earnings ratio of 49.83 and a beta of 0.69.

SPS Commerce (NASDAQ:SPSC - Get Free Report) last released its earnings results on Wednesday, July 30th. The software maker reported $1.00 earnings per share for the quarter, beating analysts' consensus estimates of $0.90 by $0.10. SPS Commerce had a net margin of 11.79% and a return on equity of 12.10%. The firm had revenue of $187.40 million for the quarter, compared to analysts' expectations of $185.88 million. During the same period in the previous year, the company earned $0.80 earnings per share. The company's quarterly revenue was up 22.0% on a year-over-year basis. SPS Commerce has set its FY 2025 guidance at 3.990-4.040 EPS. Q3 2025 guidance at 0.960-1.000 EPS. As a group, equities analysts anticipate that SPS Commerce will post 2.73 EPS for the current year.

About SPS Commerce

SPS Commerce, Inc provides cloud-based supply chain management solutions in the United States and internationally. It offers solutions through the SPS Commerce, a cloud-based platform that enhances the way retailers, grocers, suppliers, distributors, and logistics firms manage and fulfill omnichannel orders, optimize sell-through performance, and automate new trading relationships.

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