SPSC - SPS Commerce: Interesting TAM Expansion And Appears Undervalued
2025-03-25 11:26:39 ET
Summary
- SPS Commerce offers cloud-based SCM software and has delivered strong returns since its IPO, despite recent share price corrections.
- SPSC's fundamentals are solid, with steady revenue growth, profitability, and expanding operating cash flow, making it a decent growth stock.
- Future growth catalysts include recurring revenue from acquisitions and tapping into Amazon's FBA seller ecosystem, presenting significant TAM opportunities.
- My conservative price target of $149.6 per share projects a 15% upside YoY, justifying a buy rating for SPSC.
SPS Commerce ( SPSC ) is a company providing supply chain management ((SCM)) cloud-based software in retail and logistics industries....
SPS Commerce: Interesting TAM Expansion And Appears Undervalued