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What Analysts Are Saying About SPS Commerce Stock
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What Analysts Are Saying About SPS Commerce Stock
Jan 3, 2025 6:35 AM

Throughout the last three months, 5 analysts have evaluated SPS Commerce ( SPSC ) , offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 0 2 0 0
Last 30D 1 0 0 0 0
1M Ago 0 0 0 0 0
2M Ago 0 0 1 0 0
3M Ago 2 0 1 0 0

Analysts have set 12-month price targets for SPS Commerce ( SPSC ), revealing an average target of $219.2, a high estimate of $250.00, and a low estimate of $188.00. Highlighting a 1.04% decrease, the current average has fallen from the previous average price target of $221.50.

Interpreting Analyst Ratings: A Closer Look

A comprehensive examination of how financial experts perceive SPS Commerce ( SPSC ) is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Scott Berg Needham Maintains Buy $230.00 $230.00
Quinton Gabrielli Piper Sandler Announces Neutral $198.00 -
Joe Vruwink Baird Raises Neutral $188.00 $186.00
Parker Lane Stifel Raises Buy $250.00 $240.00
Scott Berg Needham Maintains Buy $230.00 $230.00

Key Insights:

Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to SPS Commerce ( SPSC ). This offers insight into analysts' perspectives on the current state of the company.

Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of SPS Commerce ( SPSC ) compared to the broader market.

Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

For valuable insights into SPS Commerce's ( SPSC ) market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on SPS Commerce ( SPSC ) analyst ratings.

About SPS Commerce

SPS Commerce Inc ( SPSC ) is a provider of cloud-based supply chain management services for retailers, grocers, distributors, suppliers, and logistics firms to increase supply chain performance, optimize inventory levels and sell-through, reduce operational costs, improve order visibility, and satisfy consumer demands for a seamless omnichannel experience. Its solutions are delivered through the SPS Commerce ( SPSC ) platform and provide integrations and retail performance analytics to its customers. Its products are; Fulfillment, Analytics, and Other products like Assortment and Community also it provides one-time services such as professional services and testing and certification. The group derives revenue from recurring monthly fees and set-up fees.

Understanding the Numbers: SPS Commerce's Finances

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Over the 3 months period, SPS Commerce ( SPSC ) showcased positive performance, achieving a revenue growth rate of 20.66% as of 30 September, 2024. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: SPS Commerce's ( SPSC ) net margin excels beyond industry benchmarks, reaching 14.33%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.06%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): SPS Commerce's ( SPSC ) ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.53% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.02.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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