88.15 USD
+1.91 (+2.21%)
88.15 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. While SPSC has a great health rating, its profitability is only average at the moment. SPSC is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, SPSC could be worth investigating further 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.
Each year in the past 5 years SPSC has been profitable.
In the past 5 years SPSC always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 7.34%, SPSC is doing good in the industry, outperforming 77.86% of the companies in the same industry.
SPSC has a better Return On Equity (8.87%) than 73.57% of its industry peers.
SPSC has a Return On Invested Capital of 8.38%. This is in the better half of the industry: SPSC outperforms 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
SPSC's Profit Margin of 11.66% is fine compared to the rest of the industry. SPSC outperforms 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.
In the last couple of years the Operating Margin of SPSC has remained more or less at the same level.
Looking at the Gross Margin, with a value of 68.45%, SPSC is in line with its industry, 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.
Compared to 1 year ago, SPSC has more shares outstanding
Compared to 5 years ago, SPSC has more shares outstanding
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
SPSC has an Altman-Z score of 11.36. This indicates that SPSC is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 11.36, SPSC belongs to the best of the industry, outperforming 89.64% 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 | 11.36 |
ROIC/WACC0.77
WACC10.92%
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.
A Quick Ratio of 1.97 indicates that SPSC should not have too much problems paying its short term obligations.
SPSC's Quick ratio of 1.97 is fine compared to the rest of the industry. SPSC outperforms 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.
The Earnings Per Share has been growing by 22.07% on average over the past years. This is a very strong growth
SPSC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.28%.
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
The Earnings Per Share is expected to grow by 14.87% on average over the next years. This is quite good.
The Revenue is expected to grow by 10.83% on average over the next years. This is quite good.
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
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.93 indicates a rather expensive valuation of SPSC.
SPSC's Price/Earnings ratio is a bit cheaper when compared to the industry. SPSC is cheaper than 73.21% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.43. SPSC is around the same levels.
The Price/Forward Earnings ratio is 19.08, which indicates a rather expensive current valuation of SPSC.
Based on the Price/Forward Earnings ratio, SPSC is valued a bit cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.66, SPSC is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.93 | ||
| Fwd PE | 19.08 |
4.2 Price Multiples
SPSC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SPSC is cheaper than 81.43% of the companies in the same industry.
77.86% 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 | 22.4 | ||
| EV/EBITDA | 19.03 |
4.3 Compensation for Growth
The 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.
A more expensive valuation may be justified as SPSC's earnings are expected to grow with 14.87% in the coming years.
PEG (NY)1.03
PEG (5Y)0.99
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 | 0% |
88.15
+1.91 (+2.21%)
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 Cap3.32B
Revenue(TTM)729.76M
Net Income(TTM)85.06M
Analysts74.74
Price Target103.38 (17.28%)
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 | 21.93 | ||
| Fwd PE | 19.08 | ||
| P/S | 4.56 | ||
| P/FCF | 22.4 | ||
| P/OCF | 19.16 | ||
| P/B | 3.47 | ||
| P/tB | 17.44 | ||
| EV/EBITDA | 19.03 |
EPS(TTM)4.02
EY4.56%
EPS(NY)4.62
Fwd EY5.24%
FCF(TTM)3.94
FCFY4.46%
OCF(TTM)4.6
OCFY5.22%
SpS19.35
BVpS25.43
TBVpS5.06
PEG (NY)1.03
PEG (5Y)0.99
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 | 11.36 |
F-Score7
WACC10.92%
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.