Lightspeed Commerce (NYSE:LSPD) Posts Earnings Results, Beats Estimates By $0.02 EPS

Lightspeed Commerce (NYSE:LSPD) announced its quarterly earnings data on Thursday. The company reported $0.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.11 by $0.02, Briefing.com reports. Lightspeed Commerce had a positive return on equity of 0.32% and a negative net margin of 11.77%.The company had revenue of $322.70 million for the quarter, compared to the consensus estimate of $310.58 million. During the same period in the previous year, the business earned $0.06 EPS. The firm’s revenue was up 5.8% compared to the same quarter last year.

Here are the key takeaways from Lightspeed Commerce’s conference call:

• Q1 revenue exceeded expectations: Organic revenue rose 17% year over year to $322.7 million, while growth-engine revenue increased 20% and adjusted EBITDA reached $17.5 million, within the company’s guidance.
• Software growth accelerated to 8%, software ARPU increased 6%, and payments penetration rose to 44% overall and 49% in growth engines. Transaction-based gross profit grew 23%, supported by higher payments adoption and a 56% increase in high-margin Lightspeed Capital revenue.
• Management highlighted strong demand among higher-value, multi-location customers and maintained its fiscal 2027 outlook for 12%–15% organic revenue growth and $75 million–$95 million of adjusted EBITDA.
• Lightspeed repurchased approximately $86 million of shares during the quarter, including 7 million shares canceled, and has roughly $150 million remaining under its broader buyback authorization.
• Total gross margin declined to 43% from 45% organically, primarily because of revenue mix and temporary hardware supply-chain and freight-cost pressures. Management expects hardware margins to improve in the second half of fiscal 2027, but adjusted free cash flow was negative $4.4 million in Q1 due partly to working-capital movements.

Lightspeed Commerce Stock Up 4.9%

Shares of LSPD traded up $0.48 on Friday, reaching $10.14. The company’s stock had a trading volume of 859,229 shares, compared to its average volume of 1,041,734. The company has a current ratio of 4.28, a quick ratio of 4.18 and a debt-to-equity ratio of 0.01. Lightspeed Commerce has a twelve month low of $7.83 and a twelve month high of $14.34. The stock has a market capitalization of $1.40 billion, a PE ratio of -9.83, a PEG ratio of 1.93 and a beta of 1.88. The firm has a fifty day moving average of $9.85 and a 200-day moving average of $9.65.

Trending Headlines about Lightspeed Commerce

Here are the key news stories impacting Lightspeed Commerce this week:

• Positive Sentiment: Lightspeed reported first-quarter revenue of $322.7 million, above the $310.6 million consensus estimate, while adjusted earnings of $0.13 per share exceeded expectations of $0.11 and increased from $0.06 a year earlier. Revenue rose 5.8% year over year. Lightspeed Announces First Quarter 2027 Financial Results
• Positive Sentiment: Management highlighted 17% organic revenue growth, 12% organic gross-profit growth, and strong performance in North American retail and European hospitality, where revenue grew 20% and gross volume increased 14%. The company also added approximately 1,300 net customer locations and repurchased $86 million of stock. Lightspeed Announces First Quarter 2027 Financial Results
• Neutral Sentiment: JPMorgan raised its price target from $11 to $12, implying potential upside, but maintained an “underweight” rating. The combination suggests the bank sees valuation support but remains concerned about Lightspeed’s outlook. JPMorgan Price Target Update
• Neutral Sentiment: Shareholders approved all proposals at Lightspeed’s annual and special meeting, providing continuity but no major strategic change. Shareholder Meeting Voting Results
• Negative Sentiment: Fiscal 2027 revenue guidance of $1.2 billion to $1.3 billion came in below the roughly $1.3 billion analyst consensus. Second-quarter guidance of $316 million to $326 million was broadly in line, but the full-year outlook raised concerns that growth could slow. Lightspeed also remains unprofitable on a net-income basis, increasing the importance of sustained growth and operating execution.

Analysts Set New Price Targets

Several equities analysts have issued reports on LSPD shares. Stifel Nicolaus dropped their price target on Lightspeed Commerce from $12.00 to $10.00 and set a “hold” rating on the stock in a research note on Friday, May 22nd. Royal Bank Of Canada lowered their price objective on shares of Lightspeed Commerce from $13.00 to $10.00 and set an “outperform” rating for the company in a research note on Friday, May 22nd. National Bank Financial dropped their target price on shares of Lightspeed Commerce from $15.00 to $11.00 and set a “sector perform” rating on the stock in a research report on Wednesday, May 27th. Barclays cut their target price on shares of Lightspeed Commerce from $12.00 to $11.00 and set an “equal weight” rating on the stock in a research note on Tuesday, April 21st. Finally, Bank of America initiated coverage on shares of Lightspeed Commerce in a research note on Tuesday, May 19th. They issued an “underperform” rating and a $10.00 price target for the company. Four investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, Lightspeed Commerce currently has a consensus rating of “Hold” and an average target price of $11.32.

Hedge Funds Weigh In On Lightspeed Commerce

A number of hedge funds have recently added to or reduced their stakes in the stock. Bank of America Corp DE raised its stake in shares of Lightspeed Commerce by 846.0% in the second quarter. Bank of America Corp DE now owns 1,873,942 shares of the company’s stock worth $21,944,000 after purchasing an additional 1,675,853 shares during the last quarter. Goldman Sachs Group Inc. boosted its position in shares of Lightspeed Commerce by 151.8% during the first quarter. Goldman Sachs Group Inc. now owns 2,148,959 shares of the company’s stock valued at $18,803,000 after buying an additional 1,295,469 shares during the last quarter. Artisan Partners Limited Partnership boosted its position in shares of Lightspeed Commerce by 17.5% during the fourth quarter. Artisan Partners Limited Partnership now owns 3,900,930 shares of the company’s stock valued at $47,066,000 after buying an additional 581,900 shares during the last quarter. Marshall Wace LLP bought a new stake in Lightspeed Commerce during the second quarter worth $4,473,000. Finally, Quadrature Capital Ltd bought a new stake in Lightspeed Commerce during the fourth quarter worth $3,890,000. Institutional investors and hedge funds own 68.68% of the company’s stock.

About Lightspeed Commerce

Lightspeed Commerce Inc is a Canadian technology company that develops cloud-based point-of-sale (POS) and e-commerce software for small and medium-sized businesses across the retail and hospitality sectors. Its integrated platform enables merchants to manage sales, inventory, customer relationships and analytics through a single interface. By combining in-store and online channels, Lightspeed helps businesses streamline operations and improve customer engagement in an increasingly omnichannel marketplace.

The company’s product suite includes POS terminals, payment processing services, inventory management tools, customer loyalty programs and data reporting dashboards.