90.07 USD
-1.17 (-1.28%)
91.71 USD
+1.64 (+1.82%)
SPSC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 277 industry peers in the Software industry. SPSC is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. SPSC is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make SPSC a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
- SPSC had positive earnings in the past year.
- In the past year SPSC had a positive cash flow from operations.
- In the past 5 years SPSC has always been profitable.
- Each year in the past 5 years SPSC had a positive operating cash flow.
1.2 Ratios
- SPSC has a Return On Assets of 7.34%. This is in the better half of the industry: SPSC outperforms 77.26% of its industry peers.
- SPSC's Return On Equity of 8.87% is fine compared to the rest of the industry. SPSC outperforms 72.20% of its industry peers.
- SPSC's Return On Invested Capital of 8.38% is fine compared to the rest of the industry. SPSC outperforms 79.42% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for SPSC is below the industry average of 10.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 8.87% | ||
| ROIC | 8.38% |
ROA(3y)7.88%
ROA(5y)7.91%
ROE(3y)9.71%
ROE(5y)9.84%
ROIC(3y)8.71%
ROIC(5y)8.62%
1.3 Margins
- The Profit Margin of SPSC (11.66%) is better than 71.84% of its industry peers.
- SPSC's Profit Margin has been stable in the last couple of years.
- Looking at the Operating Margin, with a value of 14.85%, SPSC belongs to the top of the industry, outperforming 81.59% of the companies in the same industry.
- SPSC's Operating Margin has been stable in the last couple of years.
- With a Gross Margin value of 68.45%, SPSC perfoms like the industry average, outperforming 49.10% of the companies in the same industry.
- In the last couple of years the Gross Margin of SPSC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.85% | ||
| PM (TTM) | 11.66% | ||
| GM | 68.45% |
OM growth 3Y-0.86%
OM growth 5Y0.26%
PM growth 3Y1.44%
PM growth 5Y0.01%
GM growth 3Y0.57%
GM growth 5Y0%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SPSC is destroying value.
- The number of shares outstanding for SPSC has been increased compared to 1 year ago.
- The number of shares outstanding for SPSC has been increased compared to 5 years ago.
- There is no outstanding debt for SPSC. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 11.79 indicates that SPSC is not in any danger for bankruptcy at the moment.
- SPSC's Altman-Z score of 11.79 is amongst the best of the industry. SPSC outperforms 92.06% of its industry peers.
- SPSC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 11.79 |
ROIC/WACC0.75
WACC11.12%
2.3 Liquidity
- A Current Ratio of 1.97 indicates that SPSC should not have too much problems paying its short term obligations.
- SPSC's Current ratio of 1.97 is in line compared to the rest of the industry. SPSC outperforms 58.48% of its industry peers.
- A Quick Ratio of 1.97 indicates that SPSC should not have too much problems paying its short term obligations.
- SPSC has a Quick ratio (1.97) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.97 |
3. Growth
3.1 Past
- SPSC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.72%, which is quite impressive.
- Measured over the past years, SPSC shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.07% on average per year.
- Looking at the last year, SPSC shows a quite strong growth in Revenue. The Revenue has grown by 19.28% in the last year.
- The Revenue has been growing by 17.97% on average over the past years. This is quite good.
EPS 1Y (TTM)20.72%
EPS 3Y23.77%
EPS 5Y22.07%
EPS Q2Q%22.83%
Revenue 1Y (TTM)19.28%
Revenue growth 3Y18.29%
Revenue growth 5Y17.97%
Sales Q2Q%16.02%
3.2 Future
- Based on estimates for the next years, SPSC will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.87% on average per year.
- SPSC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.83% yearly.
EPS Next Y21.39%
EPS Next 2Y15.4%
EPS Next 3Y14.87%
EPS Next 5YN/A
Revenue Next Year18.26%
Revenue Next 2Y12.67%
Revenue Next 3Y10.83%
Revenue Next 5YN/A
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 22.41 indicates a rather expensive valuation of SPSC.
- 70.04% of the companies in the same industry are more expensive than SPSC, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.38. SPSC is around the same levels.
- The Price/Forward Earnings ratio is 19.49, which indicates a rather expensive current valuation of SPSC.
- Based on the Price/Forward Earnings ratio, SPSC is valued a bit cheaper than 73.29% of the companies in the same industry.
- SPSC's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.41 | ||
| Fwd PE | 19.49 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SPSC indicates a somewhat cheap valuation: SPSC is cheaper than 76.53% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of SPSC indicates a somewhat cheap valuation: SPSC is cheaper than 75.45% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.89 | ||
| EV/EBITDA | 19.92 |
4.3 Compensation for Growth
- SPSC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- SPSC has a very decent profitability rating, which may justify a higher PE ratio.
- SPSC's earnings are expected to grow with 14.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)1.02
EPS Next 2Y15.4%
EPS Next 3Y14.87%
5. Dividend
5.1 Amount
- No dividends for SPSC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
90.07
-1.17 (-1.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)02-05 2026-02-05/amc
Inst Owners107.27%
Inst Owner Change0.2%
Ins Owners0.88%
Ins Owner Change1.21%
Market Cap3.40B
Revenue(TTM)729.76M
Net Income(TTM)85.06M
Analysts74.74
Price Target105.08 (16.66%)
Short Float %6.04%
Short Ratio3.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.62%
Min EPS beat(2)8.18%
Max EPS beat(2)11.06%
EPS beat(4)4
Avg EPS beat(4)8.96%
Min EPS beat(4)0.86%
Max EPS beat(4)15.73%
EPS beat(8)8
Avg EPS beat(8)8.44%
EPS beat(12)12
Avg EPS beat(12)9.4%
EPS beat(16)16
Avg EPS beat(16)10%
Revenue beat(2)0
Avg Revenue beat(2)-2.03%
Min Revenue beat(2)-2.93%
Max Revenue beat(2)-1.13%
Revenue beat(4)0
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-2.93%
Max Revenue beat(4)-0.58%
Revenue beat(8)2
Avg Revenue beat(8)-0.88%
Revenue beat(12)2
Avg Revenue beat(12)-0.84%
Revenue beat(16)3
Avg Revenue beat(16)-0.9%
PT rev (1m)1.64%
PT rev (3m)-31.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.96%
EPS NY rev (1m)0%
EPS NY rev (3m)2.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.41 | ||
| Fwd PE | 19.49 | ||
| P/S | 4.65 | ||
| P/FCF | 22.89 | ||
| P/OCF | 19.58 | ||
| P/B | 3.54 | ||
| P/tB | 17.82 | ||
| EV/EBITDA | 19.92 |
EPS(TTM)4.02
EY4.46%
EPS(NY)4.62
Fwd EY5.13%
FCF(TTM)3.94
FCFY4.37%
OCF(TTM)4.6
OCFY5.11%
SpS19.35
BVpS25.43
TBVpS5.06
PEG (NY)1.05
PEG (5Y)1.02
Graham Number47.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 8.87% | ||
| ROCE | 10.85% | ||
| ROIC | 8.38% | ||
| ROICexc | 9.67% | ||
| ROICexgc | 86.58% | ||
| OM | 14.85% | ||
| PM (TTM) | 11.66% | ||
| GM | 68.45% | ||
| FCFM | 20.33% |
ROA(3y)7.88%
ROA(5y)7.91%
ROE(3y)9.71%
ROE(5y)9.84%
ROIC(3y)8.71%
ROIC(5y)8.62%
ROICexc(3y)13.58%
ROICexc(5y)14.47%
ROICexgc(3y)98.15%
ROICexgc(5y)87.03%
ROCE(3y)11.28%
ROCE(5y)11.17%
ROICexgc growth 3Y10.82%
ROICexgc growth 5Y19.47%
ROICexc growth 3Y-13.8%
ROICexc growth 5Y-9.82%
OM growth 3Y-0.86%
OM growth 5Y0.26%
PM growth 3Y1.44%
PM growth 5Y0.01%
GM growth 3Y0.57%
GM growth 5Y0%
F-Score7
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 45.23% | ||
| Cap/Sales | 3.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 105.89% | ||
| Profit Quality | 174.46% | ||
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.97 | ||
| Altman-Z | 11.79 |
F-Score7
WACC11.12%
ROIC/WACC0.75
Cap/Depr(3y)58.3%
Cap/Depr(5y)68.47%
Cap/Sales(3y)3.75%
Cap/Sales(5y)4.32%
Profit Quality(3y)164.93%
Profit Quality(5y)172.42%
High Growth Momentum
Growth
EPS 1Y (TTM)20.72%
EPS 3Y23.77%
EPS 5Y22.07%
EPS Q2Q%22.83%
EPS Next Y21.39%
EPS Next 2Y15.4%
EPS Next 3Y14.87%
EPS Next 5YN/A
Revenue 1Y (TTM)19.28%
Revenue growth 3Y18.29%
Revenue growth 5Y17.97%
Sales Q2Q%16.02%
Revenue Next Year18.26%
Revenue Next 2Y12.67%
Revenue Next 3Y10.83%
Revenue Next 5YN/A
EBIT growth 1Y24.52%
EBIT growth 3Y17.28%
EBIT growth 5Y18.28%
EBIT Next Year40.72%
EBIT Next 3Y21.87%
EBIT Next 5YN/A
FCF growth 1Y46.06%
FCF growth 3Y13.76%
FCF growth 5Y18.74%
OCF growth 1Y40.93%
OCF growth 3Y11.71%
OCF growth 5Y17%
SPS COMMERCE INC / SPSC FAQ
Can you provide the ChartMill fundamental rating for SPS COMMERCE INC?
ChartMill assigns a fundamental rating of 6 / 10 to SPSC.
What is the valuation status for SPSC stock?
ChartMill assigns a valuation rating of 5 / 10 to SPS COMMERCE INC (SPSC). This can be considered as Fairly Valued.
How profitable is SPS COMMERCE INC (SPSC) stock?
SPS COMMERCE INC (SPSC) has a profitability rating of 6 / 10.
What is the financial health of SPS COMMERCE INC (SPSC) stock?
The financial health rating of SPS COMMERCE INC (SPSC) is 7 / 10.
What is the earnings growth outlook for SPS COMMERCE INC?
The Earnings per Share (EPS) of SPS COMMERCE INC (SPSC) is expected to grow by 21.39% in the next year.