SPS Commerce (NASDAQ:SPSC) Price Target Cut to $75.00 by Analysts at Needham & Company LLC

SPS Commerce (NASDAQ:SPSC) had its price objective reduced by Needham & Company LLC from $110.00 to $75.00 in a research note released on Friday, Marketbeat.com reports. Needham & Company LLC currently has a buy rating on the software maker’s stock.

A number of other analysts have also commented on SPSC. Craig Hallum lowered SPS Commerce from a “buy” rating to a “hold” rating and set a $70.00 price target on the stock. in a report on Friday, February 13th. DA Davidson dropped their price target on SPS Commerce from $80.00 to $65.00 and set a “neutral” rating on the stock in a report on Tuesday, February 17th. Citigroup reiterated a “buy” rating and set a $84.00 price target (down from $110.00) on shares of SPS Commerce in a report on Friday, February 13th. Wall Street Zen raised SPS Commerce from a “hold” rating to a “buy” rating in a research report on Sunday, April 26th. Finally, Morgan Stanley set a $95.00 target price on SPS Commerce in a research report on Friday, February 13th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, SPS Commerce presently has an average rating of “Hold” and an average price target of $77.18.

SPS Commerce Stock Up 5.0%

SPS Commerce stock traded up $2.80 during mid-day trading on Friday, reaching $58.92. 941,692 shares of the company’s stock were exchanged, compared to its average volume of 513,257. The business’s fifty day simple moving average is $57.17 and its 200 day simple moving average is $77.21. The firm has a market capitalization of $2.18 billion, a PE ratio of 24.05 and a beta of 0.58. SPS Commerce has a one year low of $50.55 and a one year high of $153.16.

SPS Commerce (NASDAQ:SPSC) last issued its quarterly earnings results on Thursday, April 30th. The software maker reported $1.10 EPS for the quarter, topping analysts’ consensus estimates of $0.97 by $0.13. The business had revenue of $192.12 million for the quarter, compared to analyst estimates of $192.51 million. SPS Commerce had a return on equity of 12.44% and a net margin of 11.92%.SPS Commerce’s quarterly revenue was up 5.8% compared to the same quarter last year. During the same period last year, the company posted $1.00 earnings per share. 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. On average, sell-side analysts forecast that SPS Commerce will post 3.25 earnings per share for the current year.

Insider Transactions at SPS Commerce

In other SPS Commerce news, CFO Kimberly K. Nelson sold 6,300 shares of the firm’s stock in a transaction on Friday, February 20th. The stock was sold at an average price of $58.66, for a total value of $369,558.00. Following the completion of the sale, the chief financial officer directly owned 145,452 shares of the company’s stock, valued at $8,532,214.32. This trade represents a 4.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, EVP Jamie Thingelstad sold 2,418 shares of the firm’s stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $54.94, for a total value of $132,844.92. Following the completion of the sale, the executive vice president directly owned 56,344 shares of the company’s stock, valued at $3,095,539.36. This represents a 4.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 24,102 shares of company stock valued at $1,425,328. Corporate insiders own 0.98% of the company’s stock.

Hedge Funds Weigh In On SPS Commerce

Several hedge funds have recently made changes to their positions in the stock. Advisors Asset Management Inc. grew its position in shares of SPS Commerce by 39.9% in the first quarter. Advisors Asset Management Inc. now owns 393 shares of the software maker’s stock valued at $52,000 after purchasing an additional 112 shares in the last quarter. Benjamin Edwards Inc. grew its position in shares of SPS Commerce by 4.0% in the third quarter. Benjamin Edwards Inc. now owns 3,087 shares of the software maker’s stock valued at $321,000 after purchasing an additional 120 shares in the last quarter. State of Alaska Department of Revenue grew its position in shares of SPS Commerce by 0.6% in the fourth quarter. State of Alaska Department of Revenue now owns 20,986 shares of the software maker’s stock valued at $1,870,000 after purchasing an additional 126 shares in the last quarter. Park Place Capital Corp grew its position in shares of SPS Commerce by 29.7% in the fourth quarter. Park Place Capital Corp now owns 564 shares of the software maker’s stock valued at $50,000 after purchasing an additional 129 shares in the last quarter. Finally, Arizona State Retirement System grew its position in shares of SPS Commerce by 1.3% in the third quarter. Arizona State Retirement System now owns 11,226 shares of the software maker’s stock valued at $1,169,000 after purchasing an additional 140 shares in the last quarter. 98.96% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting SPS Commerce

Here are the key news stories impacting SPS Commerce this week:

• Positive Sentiment: Company Q1 results showed revenue and recurring revenue growth (~6% and ~7% yoy) and an adjusted EPS beat (reported $1.10 vs. consensus ~$0.97); management emphasized subscription strength. SPS Commerce Reports First Quarter 2026 Financial Results
• Positive Sentiment: Company raised EPS guidance: FY2026 EPS guide of $4.73–4.76 and Q2 EPS guide of $1.060–1.090 both sit above consensus, supporting forward earnings expectations. Earnings Release / Guidance Details
• Neutral Sentiment: Needham trimmed its price target to $75 (from $110) but kept a Buy rating, highlighting continued upside vs. the current price—this is supportive but reflects tempered expectations. Needham Lowers Price Target to $75
• Neutral Sentiment: Analyst coverage remains mixed: William Blair reiterated a Hold, and several write-ups (earnings transcript and presentation) provide detail for investors to parse adjusted vs. GAAP results. Q1 2026 Earnings Call Transcript
• Negative Sentiment: DA Davidson cut its price target to $55 and moved to Neutral, signaling near-term downside risk and adding selling pressure for more cautious investors. DA Davidson Lowers PT to $55
• Negative Sentiment: Some third-party reports flagged weaker GAAP operating profit and a below-expectations revenue/EPS reconciliation (Quiver noted a GAAP EPS shortfall and declines in operating profit), plus recent insider selling—items that could weigh on sentiment. Quiver: Stock Reaction & GAAP Metrics
• Negative Sentiment: Revenue guidance ranges were slightly below some revenue consensus points (Q2 and FY revenue bands came in marginally under certain street estimates), which could cap upside despite stronger EPS guides. MarketBeat: Guidance and Results Summary

SPS Commerce Company Profile

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.