86.045 USD
+0.34 (+0.39%)
Taking everything into account, SPSC scores 6 out of 10 in our fundamental rating. SPSC was compared to 280 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 not priced too expensively while it is growing strongly. Keep and eye on this one! This makes SPSC very considerable for growth investing!
1. Profitability
1.1 Basic Checks
SPSC had positive earnings in the past year.
SPSC had a positive operating cash flow in the past year.
In the past 5 years SPSC has always been profitable.
In the past 5 years SPSC always reported a positive cash flow from operatings.
1.2 Ratios
SPSC has a Return On Assets of 7.34%. This is in the better half of the industry: SPSC outperforms 77.86% of its industry peers.
The Return On Equity of SPSC (8.87%) is better than 73.21% of its industry peers.
The Return On Invested Capital of SPSC (8.38%) is better than 79.29% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SPSC is below the industry average of 10.98%.
| 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
SPSC has a Profit Margin of 11.66%. This is in the better half of the industry: SPSC outperforms 72.86% of its industry peers.
SPSC's Profit Margin has been stable in the last couple of years.
The Operating Margin of SPSC (14.85%) is better than 81.43% of its industry peers.
SPSC's Operating Margin has been stable in the last couple of years.
SPSC has a Gross Margin (68.45%) which is in line with its industry peers.
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.
Compared to 1 year ago, SPSC has more shares outstanding
Compared to 5 years ago, SPSC has more shares outstanding
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
An Altman-Z score of 11.30 indicates that SPSC is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 11.30, SPSC belongs to the best of the industry, outperforming 88.57% of the companies in the same industry.
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 | 11.3 |
ROIC/WACC0.76
WACC10.97%
2.3 Liquidity
SPSC has a Current Ratio of 1.97. This is a normal value and indicates that SPSC is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of SPSC (1.97) is comparable to the rest of the industry.
SPSC has a Quick Ratio of 1.97. This is a normal value and indicates that SPSC is financially healthy and should not expect problems in meeting its short term obligations.
SPSC's Quick ratio of 1.97 is fine compared to the rest of the industry. SPSC outperforms 60.71% of its industry peers.
| 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.
SPSC shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.07% yearly.
SPSC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.28%.
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
SPSC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.87% yearly.
Based on estimates for the next years, SPSC will show a quite strong growth in Revenue. The Revenue will grow by 10.83% on average per year.
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 21.40.
Based on the Price/Earnings ratio, SPSC is valued a bit cheaper than 74.64% of the companies in the same industry.
SPSC's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.59.
SPSC is valuated rather expensively with a Price/Forward Earnings ratio of 18.62.
76.43% of the companies in the same industry are more expensive than SPSC, based on the Price/Forward Earnings ratio.
SPSC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.4 | ||
| Fwd PE | 18.62 |
4.2 Price Multiples
81.07% of the companies in the same industry are more expensive than SPSC, based on the Enterprise Value to EBITDA ratio.
78.21% of the companies in the same industry are more expensive than SPSC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.87 | ||
| EV/EBITDA | 18.91 |
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.
A more expensive valuation may be justified as SPSC's earnings are expected to grow with 14.87% in the coming years.
PEG (NY)1
PEG (5Y)0.97
EPS Next 2Y15.4%
EPS Next 3Y14.87%
5. Dividend
5.1 Amount
SPSC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:SPSC (12/11/2025, 1:54:02 PM)
86.045
+0.34 (+0.39%)
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 Cap3.24B
Revenue(TTM)729.76M
Net Income(TTM)85.06M
Analysts74.74
Price Target103.38 (20.15%)
Short Float %5.49%
Short Ratio3.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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 | 21.4 | ||
| Fwd PE | 18.62 | ||
| P/S | 4.45 | ||
| P/FCF | 21.87 | ||
| P/OCF | 18.7 | ||
| P/B | 3.38 | ||
| P/tB | 17.02 | ||
| EV/EBITDA | 18.91 |
EPS(TTM)4.02
EY4.67%
EPS(NY)4.62
Fwd EY5.37%
FCF(TTM)3.94
FCFY4.57%
OCF(TTM)4.6
OCFY5.35%
SpS19.35
BVpS25.43
TBVpS5.06
PEG (NY)1
PEG (5Y)0.97
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 | 11.3 |
F-Score7
WACC10.97%
ROIC/WACC0.76
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.