SPSC · Analysis updated Nov 10, 2026, 6:00 PM ET

Why is SPS Commerce, Inc. (SPSC) stock moving?

SPS Commerce beat third-quarter estimates, with adjusted EPS of $1.39 against $1.23 expected and sales of $197.6M slightly above consensus. Management raised full-year adjusted EPS guidance to $5.05-$5.11 from $4.84-$4.93, above the $4.90 estimate, and raised GAAP EPS guidance as well. The top line was weaker: full-year sales guidance was cut to $786.9M-$788.9M, below the $790.7M estimate, and Q4 sales guidance of $199.3M-$201.3M came in under the $203.4M consensus. Q4 GAAP EPS guidance of $0.74-$0.79 is also below the $0.82 estimate, while Q4 adjusted EPS guidance is in line. The 8-K excerpt mentions a share repurchase program and leadership transitions, but the excerpt does not give the details. DA Davidson kept its Neutral rating and raised its target to $70 from $65. The market reaction was muted on the day: the stock closed at $85.78 on Oct 29 against $85.59 the day before, on 704K shares. It then slid to $80.92 on Nov 10, down about 12.6% from $92.63 on Oct 23 and about 5.7% from the Oct 29 close. Volume spiked to about 1.0M shares on Nov 3, roughly double the typical level in this window. The Nov 10 close sits just above the 30-day intraday low of $79.00 set on Nov 6, and the stock trades above the $70 sell-side target. The trend is down while the profit guidance is better and the sales outlook is weaker.

News behind the analysis

About SPS Commerce, Inc.

Technology · Application software (retail supply chain / EDI)

SPS Commerce is a Minneapolis-based company that runs a cloud network linking retailers, suppliers, distributors and logistics firms so they can swap orders, invoices and shipping data electronically. It has more than 50,000 customers, and its revenue is mostly recurring. It is now adding AI agent features, branded MAX, to its network.

How it makes money

Almost all of its revenue comes from recurring subscriptions. The biggest piece is Fulfillment, its EDI (electronic data interchange) service, which suppliers use to meet each retailer's rules for trading data. Customers pay monthly fees based on how many trading partners they connect to and how much they use the service. Smaller sources are Analytics (point-of-sale and sales data) and Revenue Recovery, a service that helps suppliers win back money from retailer deductions. SPS sold its 3P Revenue Recovery business in mid-2026. Quarterly revenue is roughly $200 million, and full-year 2026 revenue is guided at roughly $800 million.

What usually moves SPSC

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This analysis is for informational purposes only and is not investment advice. It is based on the news, filings and market data provided, which may be incomplete. Consult a licensed financial adviser before making investment decisions.