SPS Commerce (NASDAQ:SPSC) Cut to Hold at Wall Street Zen

Key Points

• SPS Commerce has been downgraded from a "buy" to a "hold" rating by analysts at Wall Street Zen, reflecting cautious sentiment in its stock outlook.
• The stock currently has a consensus rating of "Hold" with an average target price of $156.70, while recent price targets range from $125.00 to $135.00.
• SPS Commerce reported quarterly earnings of $1.00 EPS, surpassing estimates and marking a 22% revenue increase compared to the same quarter last year.

SPS Commerce (NASDAQ:SPSC - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Tuesday.

SPSC has been the topic of several other research reports. Weiss Ratings restated a "hold (c-)" rating on shares of SPS Commerce in a report on Wednesday, October 8th. Northland Securities set a $125.00 price target on SPS Commerce in a report on Tuesday, September 30th. DA Davidson restated a "neutral" rating and set a $125.00 price target on shares of SPS Commerce in a report on Thursday, September 25th. Cantor Fitzgerald cut their price target on SPS Commerce from $170.00 to $135.00 and set an "overweight" rating on the stock in a report on Wednesday, September 24th. Finally, Stifel Nicolaus cut their price target on SPS Commerce from $175.00 to $165.00 and set a "buy" rating on the stock in a report on Thursday, July 31st. Five equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $156.70.

SPS Commerce Trading Up 1.1%

SPSC stock opened at $108.09 on Tuesday. The company has a market capitalization of $4.10 billion, a PE ratio of 49.58 and a beta of 0.69. SPS Commerce has a 12-month low of $102.05 and a 12-month high of $201.06. The business's fifty day moving average price is $109.00 and its 200 day moving average price is $127.38.

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

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in SPSC. UMB Bank n.a. boosted its position in shares of SPS Commerce by 60.6% in the 2nd 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 during the period. NewEdge Advisors LLC boosted its position in shares of SPS Commerce by 545.7% in the 1st 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 period. Allworth Financial LP boosted its position in shares of SPS Commerce by 296.6% in the 1st quarter. Allworth Financial LP now owns 234 shares of the software maker's stock valued at $33,000 after purchasing an additional 175 shares during the period. Caitong International Asset Management Co. Ltd boosted its position 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 during the period. Finally, MassMutual Private Wealth & Trust FSB boosted its position in shares of SPS Commerce by 41.1% in the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 316 shares of the software maker's stock valued at $43,000 after purchasing an additional 92 shares during the period. 98.96% of the stock is owned by institutional investors and hedge funds.

SPS Commerce Company Profile

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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