Needham & Company Maintains a 'Buy' on SPS Commerce (SPSC); Not Concerned By Seasonally Challenging Q4
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Price: $79.40 +0.04%
Rating Summary:
7 Buy, 11 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
7 Buy, 11 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Needham & Company maintains a 'Buy' on SPS Commerce (NASDAQ: SPSC) price target revised to $33.00.
Needham analyst says, "Q4 results were relatively inline but unspectacular given unfavorable seasonality. On the positive side, organic recurring rev growth was up 25% y/y ex-DirectEDI vs. up 25% y/y in Q3 while ARPU continued to head north (up 5% q/q) reflecting upsell activity and a push upmarket...On the negative side, new customer adds were weaker than we would have liked (233 customers vs. 287 in 4Q10), attributed to unfavorable seasonality (retailers in lockdown mode during Q4) which mutes netadd growth and to the greater than expected Q3 enablement activity which likely had stole some of Q4’s thunder. We’d expect netadds to bounce back notably over the next couple quarters, reflecting increasing distribution and a healthy spending environment."
For an analyst ratings summary and ratings history on SPS Commerce click here. For more ratings news on SPS Commerce click here.
Shares of SPS Commerce closed at $27.91 yesterday.
Needham analyst says, "Q4 results were relatively inline but unspectacular given unfavorable seasonality. On the positive side, organic recurring rev growth was up 25% y/y ex-DirectEDI vs. up 25% y/y in Q3 while ARPU continued to head north (up 5% q/q) reflecting upsell activity and a push upmarket...On the negative side, new customer adds were weaker than we would have liked (233 customers vs. 287 in 4Q10), attributed to unfavorable seasonality (retailers in lockdown mode during Q4) which mutes netadd growth and to the greater than expected Q3 enablement activity which likely had stole some of Q4’s thunder. We’d expect netadds to bounce back notably over the next couple quarters, reflecting increasing distribution and a healthy spending environment."
For an analyst ratings summary and ratings history on SPS Commerce click here. For more ratings news on SPS Commerce click here.
Shares of SPS Commerce closed at $27.91 yesterday.
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