SPSC · Nasdaq · Technology
SPS Commerce, Inc. (SPSC) — Rank #103 by gross profitability (GP/assets 0.46) · ROE 9.9% · Piotroski F-Score 6 / 9.
As-of 2026-10-30 · CIK 0001092699 · all metrics point-in-time as of the filing date.
About
SPS Commerce, Inc. provides cloud-based supply chain management solutions in the United States.
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It offers solutions through SPS Commerce, a cloud-based platform that connects retailers, brands, distributors, manufacturers, and logistics providers, handling the complexity of modern commerce operations. The company also provides Fulfillment, a comprehensive solution designed to streamline supply chain operation that sends and receives order data, ensuring accurate execution of required processes from order to invoicing and revenue recovery through fully automated operations; and Analytics product that simplifies managing sell-through data from customers business partners that handle data acquisition, cleansing, normalization, and delivery. In addition, it offers various complimentary products, such as assortment product, which simplifies the communication of robust, accurate item data by automatically translating item attributes, and hierarchies through single connection across all sales channels; and relationship management product that allows organizations to accelerate digitization of their supply chain and improve collaboration with suppliers through change management, onboarding programs, and supplier score carding. The company was formerly known as St. Paul Software, Inc. and changed its name to SPS Commerce, Inc. in May 2001. SPS Commerce, Inc.
was incorporated in 1987 and is headquartered in Minneapolis, Minnesota.
- Industry
- Software - Application
- Sector
- Technology
- Filer Category
- Large accelerated filer
- Fiscal Year End
- December 31
- Website
- spscommerce.com
Company Snapshot
P/E and reverse DCF are the primary valuation lenses at this stage.
Market Cap
—
P/E (annual)
—
P/S (annual)
—
P/B
—
P/OCF (annual)
—
Shareholder Yield
—
Employees
2,948
Industry
Software - Application
Exchange
Nasdaq
11/12
Flags passed
SPSC fails 1 critical flag
Passes 11 of 12 quality flags
- FAILBalance sheet deteriorating
Net cash collapsed with receivables or inventory outpacing revenue
- PASSGross margin holding
- PASSDilution within 2%
- PASSFCF not negative from investment
- PASSDisclosure consistent
- PASSRevenue not declining
- PASSOperating margin holding
- PASSFree cash flow intact
- PASSPasses safety gate
- PASSNo competitive retreat
- PASSSBC not compressing margin
- PASSNo valuation convergence
Strengths Operating leverage expanding · Deferred revenue growing · Sequential beat (rev + EPS)
A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.
Quality Profile
Profitability
1/1 passSafety
1/1 passCash Flow
3/3 passGrowth
2/2 passOperating margin expansion and free cash flow are the primary reads at this stage.
Profitability
Does it make money well?
No warning flags · GP/assets 71st percentile of 36 SIC 7372 peers
Gross profitability (GP / assets)
0.46
Primary signal (Novy-Marx).
71st pctl of 36 SIC 7372 peers
Return on equity
9.9%
Gross margin
69.2%
46th pctl of 36 SIC 7372 peers
Revenue growth (YoY)
17.8%
Gross margin improving
Margin trend vs prior year.
Operating Leverage
| 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|
| Revenue vs COGS | ||||
| Revenue vs OpEx | ||||
| Op. Income vs Revenue |
Growth
Revenue CAGR (3Y)
18.6%
Revenue CAGR (5Y)
19.2%
Earnings CAGR (3Y)
19.2%
FCF CAGR (3Y)
23.8%
Cash Flow Health
Is the cash real?
No warning flags · FCF 63% above net income
Free cash flow
$152.27M
Operating cash flow minus capex.
Positive free cash flow
FCF vs net income
63.1%
(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.
FCF not below net income
Fails when free cash flow is below net income (yellow flag).
Accruals healthy
Cash-backed earnings.
SBC / revenue
7.1%
Stock-based comp intensity.
Balance Sheet Strength
Can it survive a storm?
Warning: Balance sheet deteriorating · net cash $173.17M, F-Score 6/9
Balance-sheet safety
Composite anti-fragile check.
Debt / equity
0.20
87th pctl of 32 SIC 7372 peers (best = lowest)
Current ratio
2.26×
60th pctl of 36 SIC 7372 peers
Quick ratio
1.62×
Net cash
$173.17M
Cash & equivalents minus total debt.
Piotroski F-Score
6 / 9
Fundamental-strength score (0-9).
Valuation
Is the price reasonable?
No warning flags
Capital allocation quality
Composite score
2.0 / 5
Lifecycle Phase History
Price History
Source filings on SEC EDGAR: 10-K annual reports · 10-Q quarterly reports