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

Key Points

• Analyst sentiment is mixed: Eleven analysts give SPS Commerce a consensus “Hold” rating, with two sells, six holds, two buys and one strong buy. The average 12-month price target is $74.60.
• Institutional ownership remains very high: Hedge funds including Walleye Capital and Long Path Partners recently initiated sizable positions, while institutions and hedge funds collectively own 98.96% of the stock.
• Quarterly results exceeded expectations: SPS Commerce reported $1.27 in earnings per share versus the $1.09 consensus estimate and revenue of $197.81 million, up 5.6% year over year. Shares opened at $72.63, down 2.2% according to the report.

SPS Commerce, Inc. (NASDAQ:SPSC - Get Free Report) has been given a consensus rating of "Hold" by the eleven analysts that are covering the stock, Marketbeat.com reports. Two analysts have rated the stock with a sell recommendation, six have assigned a hold recommendation, two have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month price objective among analysts that have issued ratings on the stock in the last year is $74.60.

SPSC has been the topic of a number of recent research reports. Cantor Fitzgerald restated a "neutral" rating and issued a $70.00 price target (up from $60.00) on shares of SPS Commerce in a research report on Friday, July 31st. Zacks Research raised SPS Commerce from a "strong sell" rating to a "hold" rating in a research note on Monday, July 20th. Wall Street Zen downgraded SPS Commerce from a "buy" rating to a "hold" rating in a research note on Saturday, July 18th. Rothschild & Co Redburn set a $60.00 target price on shares of SPS Commerce and gave the company a "neutral" rating in a research note on Thursday, April 16th. Finally, Morgan Stanley reissued an "underweight" rating and issued a $59.00 price target (up from $57.00) on shares of SPS Commerce in a research note on Friday, July 31st.

Hedge Funds Weigh In On SPS Commerce

A number of hedge funds have recently modified their holdings of the stock. Summit Global Investments purchased a new stake in shares of SPS Commerce during the 2nd quarter worth about $828,000. Walleye Capital LLC bought a new stake in SPS Commerce during the second quarter valued at about $10,310,000. Mirabella Financial Services LLP acquired a new stake in shares of SPS Commerce in the second quarter valued at about $630,000. Long Path Partners LP acquired a new stake in shares of SPS Commerce in the second quarter valued at about $10,343,000. Finally, Swiss Life Asset Management Ltd bought a new position in shares of SPS Commerce in the second quarter worth about $325,000. 98.96% of the stock is owned by institutional investors and hedge funds.

SPS Commerce Stock Down 2.2%

SPSC stock opened at $72.63 on Thursday. The company has a market capitalization of $2.61 billion, a PE ratio of 35.09 and a beta of 0.53. The stock's 50 day moving average is $60.16 and its two-hundred day moving average is $61.74. SPS Commerce has a 52-week low of $49.04 and a 52-week high of $117.37.

SPS Commerce (NASDAQ:SPSC - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The software maker reported $1.27 earnings per share for the quarter, topping the consensus estimate of $1.09 by $0.18. The company had revenue of $197.81 million during the quarter, compared to analyst estimates of $195.46 million. SPS Commerce had a net margin of 10.10% and a return on equity of 13.04%. The firm's revenue for the quarter was up 5.6% compared to the same quarter last year. During the same period last year, the business earned $1.00 EPS. SPS Commerce has set its Q3 2026 guidance at 1.200-1.230 EPS and its FY 2026 guidance at 4.840-4.930 EPS. As a group, sell-side analysts anticipate that SPS Commerce will post 3.56 EPS for the current year.

SPS Commerce Company Profile

SPS Commerce, Inc is a leading provider of cloud-based supply chain management solutions that enable seamless collaboration between retailers, suppliers and logistics providers. Through its robust network, SPS Commerce connects trading partners with electronic data interchange (EDI) capabilities, helping businesses automate order processing, inventory management and fulfillment workflows. The company's platform ensures data accuracy, accelerates order-to-cash cycles and reduces manual intervention, supporting a wide range of industries including retail, grocery, consumer goods and automotive.

The company offers a suite of services encompassing EDI, retail-ready compliance, order management and data analytics.

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