- SPS Commerce (SPSC, Financial) achieved a 21% year-over-year revenue growth in Q1 2025.
- The company's strategic acquisition of Carbon6 has expanded its customer base significantly.
- Analysts anticipate a potential upside of 37.34% for SPSC with an "Outperform" consensus rating.
SPS Commerce (SPSC) has delivered impressive financial results for the first quarter of 2025, marking a significant leap in growth and investor interest. With a notable revenue increase of 21% year-over-year, the company secured $181.5 million, largely attributed to a substantial 23% rise in recurring revenue. The strategic acquisition of Carbon6 played a pivotal role in this success, adding an impressive 8,500 customers and enhancing revenue recovery capabilities. Furthermore, SPS Commerce reported an adjusted EBITDA surge of 22% to $54.4 million, alongside executing share repurchases totaling $40 million.
Wall Street Analysts Forecast
In the eyes of Wall Street analysts, SPS Commerce Inc (SPSC, Financial) remains a promising investment. The one-year price targets provided by 10 analysts suggest an average target of $190.95. This estimate spans from a high of $230.00 to a low of $154.00, indicating a potential upside of 37.34% from the current price of $139.03. For more detailed insights, investors can explore the SPS Commerce Inc (SPSC) Forecast page.
Further enhancing its investment appeal, SPS Commerce Inc (SPSC, Financial) has received an average brokerage recommendation of 2.1 from 11 firms, signifying an "Outperform" status. The recommendation scale ranges from 1 to 5, where a score of 1 represents a Strong Buy, and 5 indicates a Sell.
According to GuruFocus estimates, the estimated GF Value for SPS Commerce Inc (SPSC, Financial) in a year's time is projected at $255.37. This suggests a significant upside potential of 83.68% from the current trading price of $139.03. The GF Value represents GuruFocus' calculated fair value of a stock, derived from historical trading multiples, past growth performance, and future business forecasts. Investors seeking comprehensive metrics can visit the SPS Commerce Inc (SPSC) Summary page.
