SPS Commerce (NASDAQ:SPSC) Downgraded to “Hold” Rating by Wall Street Zen

Wall Street Zen downgraded shares of SPS Commerce (NASDAQ:SPSC) from a buy rating to a hold rating in a research note issued to investors on Sunday.

Other equities analysts have also recently issued research reports about the stock. Needham & Company LLC reissued a “buy” rating and issued a $160.00 price target on shares of SPS Commerce in a research report on Wednesday, September 24th. Cantor Fitzgerald reduced their price objective on SPS Commerce from $170.00 to $135.00 and set an “overweight” rating on the stock in a research note on Wednesday, September 24th. Stifel Nicolaus lowered their target price on SPS Commerce from $175.00 to $165.00 and set a “buy” rating for the company in a research note on Thursday, July 31st. Loop Capital lowered SPS Commerce from a “buy” rating to a “hold” rating and reduced their price target for the company from $175.00 to $120.00 in a research report on Thursday, July 31st. Finally, Morgan Stanley decreased their price objective on shares of SPS Commerce from $180.00 to $170.00 and set an “overweight” rating for the company in a research report on Thursday, July 31st. Five analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $156.70.

SPS Commerce Price Performance

NASDAQ SPSC opened at $104.14 on Friday. The company has a market cap of $3.95 billion, a P/E ratio of 47.77 and a beta of 0.70. The stock has a 50-day moving average of $112.95 and a two-hundred day moving average of $129.02. SPS Commerce has a 1-year low of $102.05 and a 1-year high of $201.06.

SPS Commerce (NASDAQ:SPSC) last issued its quarterly earnings results on Wednesday, July 30th. The software maker reported $1.00 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.90 by $0.10. SPS Commerce had a net margin of 11.79% and a return on equity of 12.10%. The business had revenue of $187.40 million for the quarter, compared to analysts’ expectations of $185.88 million. During the same quarter in the prior year, the company earned $0.80 earnings per share. The business’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. On average, analysts anticipate that SPS Commerce will post 2.73 EPS for the current fiscal year.

Institutional Investors Weigh In On SPS Commerce

Institutional investors have recently modified their holdings of the company. Texas Permanent School Fund Corp increased its stake in SPS Commerce by 15.4% in the 2nd quarter. Texas Permanent School Fund Corp now owns 17,866 shares of the software maker’s stock valued at $2,431,000 after purchasing an additional 2,387 shares in the last quarter. Caxton Associates LLP acquired a new stake in SPS Commerce in the second quarter valued at $2,007,000. Public Sector Pension Investment Board grew its holdings in SPS Commerce by 7.5% in the second quarter. Public Sector Pension Investment Board now owns 129,429 shares of the software maker’s stock valued at $17,614,000 after purchasing an additional 9,082 shares during the last quarter. Tower Research Capital LLC TRC raised its stake in shares of SPS Commerce by 715.5% during the 2nd quarter. Tower Research Capital LLC TRC now owns 6,271 shares of the software maker’s stock worth $853,000 after buying an additional 5,502 shares during the last quarter. Finally, Corient Private Wealth LLC raised its stake in shares of SPS Commerce by 101.3% during the 2nd quarter. Corient Private Wealth LLC now owns 7,340 shares of the software maker’s stock worth $999,000 after buying an additional 3,694 shares during the last quarter. Hedge funds and other institutional investors own 98.96% of the company’s stock.

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.