SPS Commerce (NASDAQ:SPSC) Shares Gap Up – Here’s Why

Shares of SPS Commerce, Inc. (NASDAQ:SPSC) gapped up prior to trading on Tuesday . The stock had previously closed at $54.86, but opened at $56.45. SPS Commerce shares last traded at $57.4790, with a volume of 161,422 shares changing hands.

Analyst Ratings Changes

A number of analysts have recently weighed in on the stock. Weiss Ratings downgraded shares of SPS Commerce from a “sell (d+)” rating to a “sell (d)” rating in a report on Wednesday, May 13th. Cantor Fitzgerald set a $60.00 price objective on shares of SPS Commerce and gave the company a “neutral” rating in a research note on Friday, May 1st. DA Davidson lowered their price objective on shares of SPS Commerce from $65.00 to $55.00 and set a “neutral” rating for the company in a research report on Friday, May 1st. Stifel Nicolaus set a $60.00 target price on SPS Commerce in a research note on Friday, May 1st. Finally, Wall Street Zen raised SPS Commerce from a “hold” rating to a “buy” rating in a report on Saturday, May 16th. 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. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $76.45.

SPS Commerce Trading Up 5.4%

The company has a market capitalization of $2.12 billion, a price-to-earnings ratio of 24.16 and a beta of 0.57. The business’s 50 day moving average price is $54.70 and its two-hundred day moving average price is $67.75.

SPS Commerce (NASDAQ:SPSC) last released its quarterly earnings data on Thursday, April 30th. The software maker reported $1.10 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.97 by $0.13. The business had revenue of $192.12 million during the quarter, compared to analysts’ expectations of $192.50 million. SPS Commerce had a net margin of 11.92% and a return on equity of 12.43%. The firm’s quarterly revenue was up 5.8% compared to the same quarter last year. During the same period in the prior year, the company earned $1.00 EPS. 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. Analysts expect that SPS Commerce, Inc. will post 3.41 EPS for the current year.

Insider Activity

In other news, Director Marty M. Reaume sold 1,000 shares of the stock in a transaction on Tuesday, April 7th. The stock was sold at an average price of $57.90, for a total value of $57,900.00. Following the completion of the transaction, the director directly owned 9,158 shares in the company, valued at approximately $530,248.20. This represents a 9.84% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.58% of the company’s stock.

Hedge Funds Weigh In On SPS Commerce

A number of institutional investors and hedge funds have recently bought and sold shares of the company. UBS Group AG raised its position in SPS Commerce by 182.3% in the fourth quarter. UBS Group AG now owns 1,295,267 shares of the software maker’s stock valued at $115,447,000 after purchasing an additional 836,407 shares during the last quarter. Norges Bank bought a new stake in shares of SPS Commerce during the fourth quarter worth about $49,883,000. Irenic Capital Management LP acquired a new position in shares of SPS Commerce in the fourth quarter valued at approximately $40,293,000. Walleye Capital LLC raised its holdings in SPS Commerce by 1,749.1% in the 1st quarter. Walleye Capital LLC now owns 457,635 shares of the software maker’s stock valued at $25,477,000 after buying an additional 432,886 shares during the last quarter. Finally, Disciplined Growth Investors Inc. MN raised its holdings in 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 buying an additional 367,346 shares during the last quarter. Institutional investors and hedge funds own 98.96% of the company’s stock.

About SPS Commerce

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.