SPS Commerce (NASDAQ:SPSC) Releases Q3 2026 Earnings Guidance

SPS Commerce (NASDAQ:SPSC) issued an update on its third quarter 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 1.200-1.230 for the period, compared to the consensus earnings per share estimate of 1.180. The company issued revenue guidance of $196.3 million-$198.3 million, compared to the consensus revenue estimate of $202.4 million. SPS Commerce also updated its FY 2026 guidance to 4.840-4.930 EPS.

SPS Commerce Stock Up 11.5%

Shares of NASDAQ SPSC traded up $7.56 during mid-day trading on Friday, hitting $73.39. 1,414,673 shares of the company traded hands, compared to its average volume of 498,369. The business has a 50 day moving average of $58.92 and a two-hundred day moving average of $62.35. The stock has a market capitalization of $2.69 billion, a price-to-earnings ratio of 35.45 and a beta of 0.56. SPS Commerce has a 1 year low of $49.04 and a 1 year high of $124.08.

SPS Commerce (NASDAQ:SPSC) last posted its quarterly earnings data on Thursday, July 30th. The software maker reported $1.27 EPS for the quarter, beating analysts’ consensus estimates of $1.09 by $0.18. The company had revenue of $197.81 million during the quarter, compared to analyst estimates of $195.46 million. SPS Commerce had a net margin of 10.10% and a return on equity of 12.95%. The business’s quarterly revenue was up 5.6% on a year-over-year basis. During the same period in the prior year, the firm earned $1.00 earnings per share. SPS Commerce has set its Q3 2026 guidance at 1.200-1.230 EPS and its FY 2026 guidance at 4.840-4.930 EPS. As a group, research analysts anticipate that SPS Commerce will post 3.42 EPS for the current year.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the company. Needham & Company LLC reissued a “buy” rating on shares of SPS Commerce in a research report on Tuesday. Zacks Research upgraded shares of SPS Commerce from a “strong sell” rating to a “hold” rating in a report on Monday, July 20th. DA Davidson set a $65.00 target price on SPS Commerce in a research note on Friday. Weiss Ratings cut SPS Commerce from a “sell (d+)” rating to a “sell (d)” rating in a research note on Thursday, July 23rd. Finally, Cantor Fitzgerald reaffirmed a “neutral” rating and set a $70.00 price objective (up from $60.00) on shares of SPS Commerce in a research report on Friday. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, six have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $74.60.

Key Stories Impacting SPS Commerce

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

• Positive Sentiment: Second-quarter results exceeded estimates. SPS Commerce reported adjusted EPS of $1.27, ahead of the $1.08 consensus, while revenue rose 5.6% year over year to approximately $197.8 million, above expectations of $195.5 million. Adjusted EBITDA increased 19% to $66.6 million. SPS Commerce Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Full-year EPS guidance was raised relative to consensus. SPS Commerce issued 2026 adjusted EPS guidance of $4.84 to $4.93, above the $4.46 analyst consensus. The company also repurchased $51.2 million of stock during the quarter. SPS Commerce Reports Strong Second Quarter 2026 Financial Results
• Neutral Sentiment: Third-quarter expectations are mixed. Q3 EPS guidance of $1.20 to $1.23 is above the $1.18 consensus, but revenue guidance of $196.3 million to $198.3 million trails the $202.4 million consensus. The completed divestiture of the 3P Revenue Recovery business is expected to reduce second-half 2026 revenue by about $10.5 million while remaining neutral to adjusted EBITDA.
• Negative Sentiment: Reported net income declined sharply. GAAP net income fell to $6.9 million, or $0.19 per diluted share, from $19.7 million, or $0.52, a year earlier. In addition, recent insider-trading data shows selling but no insider purchases, which may weigh on investor sentiment.

Hedge Funds Weigh In On SPS Commerce

A number of hedge funds have recently made changes to their positions in SPSC. NewEdge Advisors LLC raised its position in SPS Commerce by 545.7% in the first quarter. NewEdge Advisors LLC now owns 226 shares of the software maker’s stock worth $30,000 after purchasing an additional 191 shares in the last quarter. Advisory Services Network LLC acquired a new position in SPS Commerce during the third quarter worth $32,000. Advisors Asset Management Inc. increased its position in shares of SPS Commerce by 39.9% during the 1st quarter. Advisors Asset Management Inc. now owns 393 shares of the software maker’s stock worth $52,000 after purchasing an additional 112 shares in the last quarter. Global Retirement Partners LLC boosted its position in SPS Commerce by 2,130.0% in the fourth quarter. Global Retirement Partners LLC now owns 446 shares of the software maker’s stock valued at $40,000 after buying an additional 426 shares in the last quarter. Finally, Summit Securities Group LLC bought a new stake in SPS Commerce during the fourth quarter worth about $45,000. Institutional investors and hedge funds own 98.96% of the company’s stock.

About SPS Commerce

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.