SPS Commerce (NASDAQ:SPSC) Reaches New 1-Year Low - Here's What Happened

Key Points

• SPS Commerce hit a new 52-week low during mid-day trading, sliding to $52.02 (last $52.48) on volume of about 104,029 shares after closing the prior session at $55.56.
• Analyst sentiment has weakened with several price-target cuts and downgrades — the consensus is an average rating of Hold and an average price target of $87.40, despite a mix of Buy and Hold opinions from firms like Citigroup, DA Davidson and Craig Hallum.
• The company reported quarterly EPS of $1.14 (vs. $1.00 expected) and revenue of $192.65M (slightly below estimates) with revenue up 12.7% year-over-year, and it provided FY 2026 guidance of $4.42–$4.50 EPS and Q1 2026 guidance of $0.95–$0.99.

SPS Commerce, Inc. (NASDAQ:SPSC - Get Free Report) hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $52.02 and last traded at $52.4750, with a volume of 104029 shares changing hands. The stock had previously closed at $55.56.

Analyst Upgrades and Downgrades

Several analysts have issued reports on the stock. DA Davidson reduced their price target on shares of SPS Commerce from $80.00 to $65.00 and set a "neutral" rating on the stock in a report on Tuesday, February 17th. Craig Hallum downgraded shares of SPS Commerce from a "buy" rating to a "hold" rating and set a $70.00 price target on the stock. in a report on Friday, February 13th. Wall Street Zen raised shares of SPS Commerce from a "hold" rating to a "buy" rating in a report on Saturday, March 14th. Cantor Fitzgerald set a $70.00 price target on shares of SPS Commerce in a report on Friday, February 13th. Finally, Citigroup reaffirmed a "buy" rating and issued a $84.00 price target (down from $110.00) on shares of SPS Commerce in a report on Friday, February 13th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, SPS Commerce currently has an average rating of "Hold" and an average price target of $87.40.

SPS Commerce Price Performance

The business's 50-day moving average price is $63.00 and its two-hundred day moving average price is $82.73. The firm has a market cap of $1.94 billion, a price-to-earnings ratio of 21.15 and a beta of 0.62.

SPS Commerce (NASDAQ:SPSC - Get Free Report) last posted its quarterly earnings data on Thursday, February 12th. The software maker reported $1.14 earnings per share for the quarter, beating analysts' consensus estimates of $1.00 by $0.14. SPS Commerce had a net margin of 12.42% and a return on equity of 12.73%. The business had revenue of $192.65 million during the quarter, compared to analyst estimates of $193.60 million. During the same quarter in the previous year, the business posted $0.89 earnings per share. The company's revenue was up 12.7% on a year-over-year basis. SPS Commerce has set its FY 2026 guidance at 4.420-4.500 EPS and its Q1 2026 guidance at 0.950-0.990 EPS. As a group, sell-side analysts forecast that SPS Commerce, Inc. will post 2.73 earnings per share for the current year.

Insider Activity

In other SPS Commerce news, EVP Jamie Thingelstad sold 2,418 shares of the company's stock in a transaction dated Tuesday, February 24th. The shares were sold at an average price of $54.94, for a total value of $132,844.92. Following the completion of the transaction, the executive vice president directly owned 56,344 shares of the company's stock, valued at $3,095,539.36. This represents a 4.11% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Kimberly K. Nelson sold 6,300 shares of the company's stock in a transaction dated Friday, February 20th. The shares were sold at an average price of $58.66, for a total transaction of $369,558.00. Following the completion of the transaction, the chief financial officer directly owned 145,452 shares of the company's stock, valued at approximately $8,532,214.32. The trade was a 4.15% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 23,102 shares of company stock valued at $1,367,428. Corporate insiders own 0.98% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. UBS Group AG increased its position in shares of SPS Commerce by 182.3% in the 4th quarter. UBS Group AG now owns 1,295,267 shares of the software maker's stock worth $115,447,000 after purchasing an additional 836,407 shares during the last quarter. Norges Bank acquired a new stake in shares of SPS Commerce in the 4th quarter valued at about $49,883,000. Van Berkom & Associates Inc. acquired a new stake in shares of SPS Commerce in the 3rd quarter valued at about $51,878,000. Irenic Capital Management LP acquired a new stake in shares of SPS Commerce in the 4th quarter valued at about $40,293,000. Finally, Disciplined Growth Investors Inc. MN raised its stake in shares of SPS Commerce by 86.4% in the 3rd quarter. Disciplined Growth Investors Inc. MN now owns 792,472 shares of the software maker's stock valued at $82,528,000 after purchasing an additional 367,346 shares in the last quarter. 98.96% of the stock is currently owned by institutional investors.

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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