SPS Commerce (NASDAQ:SPSC) Shares Gap Up – Time to Buy?

SPS Commerce, Inc. (NASDAQ:SPSC)’s stock price gapped up before the market opened on Wednesday . The stock had previously closed at $57.17, but opened at $59.76. SPS Commerce shares last traded at $59.5720, with a volume of 63,290 shares changing hands.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on SPSC. Rothschild & Co Redburn set a $60.00 price objective on SPS Commerce and gave the stock a “neutral” rating in a research note on Thursday, April 16th. Needham & Company LLC cut their price objective on SPS Commerce from $110.00 to $75.00 and set a “buy” rating for the company in a research note on Friday, May 1st. DA Davidson reduced their target price on shares of SPS Commerce from $65.00 to $55.00 and set a “neutral” rating for the company in a report on Friday, May 1st. Morgan Stanley set a $70.00 target price on shares of SPS Commerce in a research note on Friday, May 1st. Finally, Stifel Nicolaus set a $60.00 price target on shares of SPS Commerce in a report on Friday, May 1st. One research 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 issued a Sell rating to the company’s stock. According to data from MarketBeat.com, SPS Commerce has an average rating of “Hold” and an average price target of $76.45.

SPS Commerce Trading Up 4.2%

The stock has a 50 day simple moving average of $54.96 and a 200-day simple moving average of $66.58. The firm has a market cap of $2.19 billion, a PE ratio of 24.81 and a beta of 0.57.

SPS Commerce (NASDAQ:SPSC) last announced its quarterly earnings data on Thursday, April 30th. The software maker reported $1.10 EPS for the quarter, beating the consensus estimate of $0.97 by $0.13. The business had revenue of $192.12 million for the quarter, compared to the consensus estimate of $192.50 million. SPS Commerce had a return on equity of 12.43% and a net margin of 11.92%.The business’s revenue was up 5.8% on a year-over-year basis. During the same period in the previous year, the business earned $1.00 earnings per share. SPS Commerce has set its FY 2026 guidance at 4.730-4.760 EPS and its Q2 2026 guidance at 1.060-1.090 EPS. On average, equities research analysts expect that SPS Commerce, Inc. will post 3.41 EPS for the current year.

Insider Buying and Selling

In other SPS Commerce news, Director Marty M. Reaume sold 1,000 shares of the business’s stock in a transaction on Tuesday, April 7th. The shares were sold at an average price of $57.90, for a total value of $57,900.00. Following the sale, the director owned 9,158 shares in the company, valued at $530,248.20. The trade was a 9.84% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.58% of the stock is currently owned by insiders.

Institutional Trading of SPS Commerce

Several hedge funds have recently modified their holdings of SPSC. NewEdge Advisors LLC raised its position in shares of SPS Commerce by 545.7% during the 1st quarter. NewEdge Advisors LLC now owns 226 shares of the software maker’s stock valued at $30,000 after buying an additional 191 shares in the last quarter. Advisory Services Network LLC purchased a new position in SPS Commerce during the 3rd quarter valued at $32,000. Global Retirement Partners LLC boosted its stake in shares of SPS Commerce by 2,130.0% during the fourth quarter. Global Retirement Partners LLC now owns 446 shares of the software maker’s stock valued at $40,000 after purchasing an additional 426 shares during the period. Summit Securities Group LLC purchased a new stake in SPS Commerce in the 4th quarter valued at about $45,000. Finally, Park Place Capital Corp boosted its holdings in shares of SPS Commerce by 29.7% in the fourth quarter. Park Place Capital Corp now owns 564 shares of the software maker’s stock valued at $50,000 after purchasing an additional 129 shares during the period. 98.96% of the stock is owned by hedge funds and other 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.