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Here is Why Growth Investors Should Buy SPS Commerce (SPSC) Now
SPSSPS(US:SPSC) ZACKSยท2025-03-06 18:45

Core Viewpoint - Growth stocks are appealing due to their above-average financial growth, but identifying those with true potential can be challenging [1] Group 1: Company Overview - SPS Commerce (SPSC) is highlighted as a recommended growth stock with a favorable Growth Score and a top Zacks Rank [2] - The company provides supply chain software services to businesses, making it a strong growth pick [3] Group 2: Earnings Growth - SPS Commerce has a historical EPS growth rate of 20.1%, with projected EPS growth of 11% this year, surpassing the industry average of 9.5% [4] Group 3: Cash Flow Growth - The year-over-year cash flow growth for SPS Commerce is 22.6%, exceeding the industry average of 14.6% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 21.2%, compared to the industry average of 8% [6] Group 4: Earnings Estimate Revisions - There have been upward revisions in current-year earnings estimates for SPS Commerce, with a 1.3% increase in the Zacks Consensus Estimate over the past month [8] Group 5: Investment Positioning - SPS Commerce holds a Zacks Rank of 2 and a Growth Score of B, positioning it well for potential outperformance in the growth stock category [10]