SPS CommerceSPSC +2.78%79 EV-to-FCF is 12.47 as of Jul. 09, 2026, which is 74% below its 10-year median of 47.20. GuruFocus rates SPSC with a GF Score™ of 79/100 and a GF Value™ of $242.15 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,589 Software companies, SPS Commerce ranks better than 57.9% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, SPS Commerce's Enterprise Value is $2,082.1 Mil.
SPS Commerce's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $166.9 Mil. Therefore, SPS Commerce's EV-to-FCF for today is 12.47.
The historical rank and industry rank for SPS Commerce's EV-to-FCF or its related term are showing as below:
SPSC'
s EV-to-FCF Range Over the Past 10 Years
Min: 10.59 Med: 47.2 Max: 118.58
Current: 12.47
During the past 13 years, the highest EV-to-FCF of SPS Commerce was 118.58. The lowest was 10.59. And the median was 47.20.
SPSC's EV-to-FCF is ranked better than 57.9% of 1589
companies
in the Software industry
Industry Median: 14.67
vs SPSC: 12.47
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
SPS Commerce's PE Ratio (TTM) for today is calculated as:
SPS Commerce's share price for today is $60.73.
SPS Commerce's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $2.400.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
SPS Commerce EV-to-FCF Related Terms
SPS Commerce EV-to-FCF Historical Data
* Premium members only.
The historical data trend for SPS Commerce's EV-to-FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Application subindustry, SPS Commerce's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
SPS Commerce EV-to-FCF vs Software Industry
For the Software industry and Technology sector, SPS Commerce's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where SPS Commerce's EV-to-FCF falls into.
SPS Commerce's current Enterprise Value is $2,082.1 Mil.
SPS Commerce's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $166.9 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
SPS Commerce (SPSC) has a EV-to-FCF of 12.47 as of Jul. 09, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on SPS Commerce and its competitors. This is 74% below median its historical median of 47.20. Over the past decade, SPS Commerce's EV-to-FCF has ranged from 10.59 to 118.58. According to the industry distribution chart, SPS Commerce ranks #669 out of 1589 companies in the Software industry, placing it in the top 42.1%.
Is SPS Commerce's EV-to-FCF too high?
SPS Commerce's current EV-to-FCF of 12.47 is 74% below median its 10-year median of 47.20. Over the past 10 years, this metric has ranged from a low of 10.59 to a high of 118.58. The Software industry median EV-to-FCF is 14.67. SPS Commerce's value of 12.47 is 15% below this industry median. Based on the distribution chart, SPS Commerce ranks #669 out of 1589 companies in the Software industry, which is above the industry midpoint. Overall, SPS Commerce has a GF Score™ of 79/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does SPS Commerce's EV-to-FCF compare to PLUS and ALRM?
According to the Software industry distribution chart, SPS Commerce ranks #669 out of 1589 companies for EV-to-FCF. This puts SPS Commerce in the upper half of its industry. The industry median EV-to-FCF is 14.67. SPS Commerce's value of 12.47 is 15% below this benchmark. Historically, SPS Commerce's own EV-to-FCF has ranged from 10.59 to 118.58 over the past decade. While the company's 10-year median is 47.20 vs. the industry median of 14.67, SPS Commerce has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Software company?
The median EV-to-FCF among Software companies is 14.67, based on 1,589 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. SPS Commerce's current EV-to-FCF of 12.47 is 15% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on SPS Commerce and its competitors. For the Software industry, the median EV-to-FCF is 14.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SPS Commerce's current EV-to-FCF is 12.47, which is 74% below median its own 10-year median of 47.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SPS Commerce stock overvalued right now?
Based on GuruFocus' analysis, SPS Commerce (SPSC) is currently considered Significantly Undervalued. The stock's GF Value™ is $242.15, compared to a current price of $60.73 — trading 74.9% below its estimated fair value. The current EV-to-FCF is 12.47, which is 74% below median its 10-year median of 47.20 and 15% below the Software industry median of 14.67. SPS Commerce's overall GF Score™ is 79/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For SPS Commerce (SPSC), the current EV-to-FCF is 12.47 as of Jul. 09, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is SPS Commerce (SPSC) Overvalued in 2026?
Based on GuruFocus' analysis, SPS Commerce stock appears to be undervalued.
The current stock price of $60.73 is trading 74.9% below its estimated GF Value™ of $242.15.
GuruFocus considers SPS Commerce to be Significantly Undervalued.
Key valuation signals for SPSC:
EV-to-FCF: 12.47 (74% below median its 10-year median of 47.20)
GF Value™: $242.15 vs. price of $60.73 (74.9% below fair value)
Industry Position: 15% below the Software median (#669 of 1589)
No single metric tells the full story. See the SPSC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SPS Commerce Inc is a provider of cloud-based supply chain management services for retailers, grocers, distributors, suppliers, and logistics firms to increase supply chain performance, optimize inventory levels and sell-through, reduce operational costs, improve order visibility, and satisfy consumer demands for a seamless omnichannel experience. Its solutions are delivered through the SPS Commerce platform and provide integrations and retail performance analytics to its customers. The company has one operating segment Supply Chain Management Solutions, that derives revenues from customers by providing access to cloud-based supply chain management services, primarily under subscription-based service arrangements.
79GF Score
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