91.49 USD
+1.65 (+1.84%)
91.49 USD
0 (0%)
SPSC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 280 industry peers in the Software industry. SPSC has an excellent financial health rating, but there are some minor concerns on its profitability. SPSC is growing strongly while it is still valued neutral. This is a good combination! This makes SPSC very considerable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year SPSC was profitable.
SPSC had a positive operating cash flow in the past year.
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
The Return On Assets of SPSC (7.34%) is better than 77.86% of its industry peers.
The Return On Equity of SPSC (8.87%) is better than 73.57% of its industry peers.
The Return On Invested Capital of SPSC (8.38%) is better than 79.64% of its industry peers.
SPSC had an Average Return On Invested Capital over the past 3 years of 8.71%. This is below the industry average of 10.73%.
| 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 73.21% of its industry peers.
SPSC's Profit Margin has been stable in the last couple of years.
SPSC's Operating Margin of 14.85% is amongst the best of the industry. SPSC outperforms 81.43% of its industry peers.
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 50.00% 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
SPSC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
SPSC has more shares outstanding than it did 1 year ago.
SPSC has more shares outstanding than it did 5 years ago.
SPSC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
SPSC has an Altman-Z score of 11.95. This indicates that SPSC is financially healthy and has little risk of bankruptcy at the moment.
SPSC has a better Altman-Z score (11.95) than 90.36% of its industry peers.
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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 11.95 |
ROIC/WACC0.77
WACC10.89%
2.3 Liquidity
A Current Ratio of 1.97 indicates that SPSC should not have too much problems paying its short term obligations.
SPSC has a Current ratio (1.97) which is comparable to the rest of the industry.
A Quick Ratio of 1.97 indicates that SPSC should not have too much problems paying its short term obligations.
SPSC has a better Quick ratio (1.97) than 60.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.97 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 20.72% over the past year.
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.
The Revenue has grown by 19.28% in the past year. This is quite good.
SPSC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.97% yearly.
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
The Earnings Per Share is expected to grow by 14.87% on average over the next years. This is quite good.
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 2Y12.68%
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
SPSC is valuated rather expensively with a Price/Earnings ratio of 22.76.
SPSC's Price/Earnings ratio is a bit cheaper when compared to the industry. SPSC is cheaper than 70.36% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.26, SPSC is valued at the same level.
SPSC is valuated rather expensively with a Price/Forward Earnings ratio of 19.80.
Based on the Price/Forward Earnings ratio, SPSC is valued a bit cheaper than 72.86% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.68, SPSC is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.76 | ||
| Fwd PE | 19.8 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SPSC is valued a bit cheaper than the industry average as 77.86% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SPSC indicates a somewhat cheap valuation: SPSC is cheaper than 76.43% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.25 | ||
| EV/EBITDA | 20.24 |
4.3 Compensation for Growth
SPSC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of SPSC 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)1.06
PEG (5Y)1.03
EPS Next 2Y15.4%
EPS Next 3Y14.87%
5. Dividend
5.1 Amount
No dividends for SPSC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
91.49
+1.65 (+1.84%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners107.29%
Inst Owner Change-1.17%
Ins Owners0.66%
Ins Owner Change1.21%
Market Cap3.45B
Revenue(TTM)729.76M
Net Income(TTM)85.06M
Analysts74.74
Price Target103.38 (13%)
Short Float %5.76%
Short Ratio4.03
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)-28.59%
PT rev (3m)-34.67%
EPS NQ rev (1m)-0.58%
EPS NQ rev (3m)-3.96%
EPS NY rev (1m)0.89%
EPS NY rev (3m)2.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.15%
Revenue NY rev (1m)-0.41%
Revenue NY rev (3m)-1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.76 | ||
| Fwd PE | 19.8 | ||
| P/S | 4.73 | ||
| P/FCF | 23.25 | ||
| P/OCF | 19.89 | ||
| P/B | 3.6 | ||
| P/tB | 18.1 | ||
| EV/EBITDA | 20.24 |
EPS(TTM)4.02
EY4.39%
EPS(NY)4.62
Fwd EY5.05%
FCF(TTM)3.94
FCFY4.3%
OCF(TTM)4.6
OCFY5.03%
SpS19.35
BVpS25.43
TBVpS5.06
PEG (NY)1.06
PEG (5Y)1.03
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 | 11.95 |
F-Score7
WACC10.89%
ROIC/WACC0.77
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 2Y12.68%
Revenue Next 3Y10.83%
Revenue Next 5YN/A
EBIT growth 1Y24.52%
EBIT growth 3Y17.28%
EBIT growth 5Y18.28%
EBIT Next Year40.7%
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.
Can you provide the valuation status for SPS COMMERCE INC?
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.