SPS Commerce (SPSC) Fundamental Analysis: Revenue, Earnings & Valuation

9.88 / 10

Outperform

Fundamental assessment rates SPSC at Outperform with a 9.9/10 score. Net‑income‑to‑Revenue and Revenue‑to‑Market‑Value ratios are strong, delivering >12% and ~4% monthly returns respectively. Profit‑to‑Market‑Value and inventory turnover are weaker, dragging performance, but overall fundamentals remain superior.

Analysis Checks(2/10)

Revenue-MV

Value-0.73

Score3/3

Weight74.37%

1M Return3.91%

Profit-MV

Value0.21

Score1/3

Weight-58.39%

1M Return-2.90%

Net income-Revenue

Value-0.06

Score3/3

Weight397.73%

1M Return12.12%

PB-ROE

Value1.83

Score1/3

Weight-86.83%

1M Return-4.76%

Rate of return on total assets (%)

Value-10.79

Score1/3

Weight-7.70%

1M Return-0.38%

Annualized return on total assets (%)

Value-10.79

Score1/3

Weight-7.70%

1M Return-0.38%

ROE (diluted) (%)

Value9.58

Score1/3

Weight-4.57%

1M Return-0.20%

Asset-MV

Value-0.55

Score0/3

Weight-105.92%

1M Return-8.51%

Inventory turnover days

Value213.26

Score1/3

Weight-1.00%

1M Return-0.05%

Cash-MV

Value-0.71

Score1/3

Weight-99.99%

1M Return-5.15%

Is SPSC fundamentally strong?

SPSC scores 9.88/10 on fundamentals and holds a Discounted valuation at present. Backed by its 10.21% ROE, 12.42% net margin, 22.47 P/E ratio, 2.15 P/B ratio, and 18.84% earnings growth, these metrics solidify its Outperform investment rating.