SPS Commerce Stock Slammed After SPSC Earnings Reveal Mixed Results and Weak Guidance

SPS Commerce investors got a nasty surprise as the supply chain management specialist delivered a quarter that left Wall Street wanting more.

The Numbers Don't Lie

Mixed results tell only half the story—it's the weak forward guidance that really stings. When a company can't project confidence in its own future trajectory, savvy investors start asking tough questions.

Market Reaction Speaks Volumes

The immediate selloff wasn't just knee-jerk—it was a calculated response to underwhelming performance metrics. Sometimes the market's collective wisdom sees what optimistic executives won't admit.

Another reminder that in traditional finance, 'guidance' often means 'we're hoping you don't look too closely at the actual numbers.' Meanwhile, crypto markets trade 24/7 with full transparency—no quarterly surprises, just real-time price discovery.

The supply chain software space just got another reality check—and investors are voting with their sell orders.

Elevate Your Investing Strategy:

• Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.

Revenue reported by SPS Commerce was $189.9 million, which was below analysts’ estimate of $192.67 million. That’s despite a 16% growth year-over-year from $163.7 million. Chad Collins, CEO of SPS Commerce, noted, “Despite ongoing global trade and economic uncertainty, and the spend scrutiny we’re seeing across some of our customer groups this year, we believe the ever-evolving retail ecosystem will continue to drive the need for supply chain efficiencies.”

SPS Commerce stock was down 32.84% in pre-market trading on Friday, following a 1.23% dip yesterday. The shares have also fallen 43.53% year-to-date and 37.59% over the past 12 months.

SPS Commerce Guidance

SPS Commerce also provided investors with a guidance update in its latest earnings report. For Q4 2025, the company expects adjusted EPS to range from 98 cents to $1.02, alongside revenue of $192.7 million to $194.7 million. This doesn’t look good when compared to Wall Street’s Q4 estimates, which include adjusted EPS of $1.03 on revenue of $196.68 million.

SPS Commerce also included guidance for the full year of 2025 in its latest earnings report. The company expects adjusted EPS between $4.10 and $4.15 with revenue of $751.6 million to $753.6 million. For perspective, analysts expect adjusted EPS of $4.14 on revenue of $758.41 million for the year.

Is SPS Commerce Stock a Buy, Sell, or Hold?

Turning to Wall Street, the analysts’ consensus rating for SPS Commerce is Moderate Buy, based on five Buy and four Hold ratings over the past three months. With that comes an average SPSC stock price target of $135.14, representing a potential 30.08% upside for the shares. These ratings and price targets will likely change as analysts update their coverage after today’s earnings report.