Buy Like Buffett
Watchlist

SPS COMMERCE, INC.

SPSC · Technology · $2.3B mkt cap · FY2025 filings · Wide moat ·

On the watchlist

Wide moat
Share / Embed this score
Embed this score

The five investor questions

100

2021–2025 (latest 5 aligned FYs; v3 window cap 5): revenue $385M to $752M, increasing; diluted EPS 1.21 to 2.46, increasing. Latest-filed diluted EPS remains usable for Business Trend, but an integer share-count change lacks enough evidence to confirm a comparable EPS basis; valuation growth therefore stays at 0%.

100

Median gross margin 66.8% over 10y, very stable.

54

Median ROIC 12.7%, above the 12% hurdle in 60% of years.

100

Net cash position — no leverage risk.

80

Owner earnings changed +38.5%/yr over up to the ten most recent annual observations, share count n/a.

Price vs. value if growth stopped today

A cautious baseline, not a price target: what the shares may support if normalized owner earnings simply hold steady.

Above value if growth stopped todayBelow value if growth stopped today
214% above value if growth stopped today
$65.8M
$19.49
$19.49
$61.16
214% above value if growth stopped today

What today’s price assumes: owner earnings growing ~26%/yr over 5 years. The zero-growth estimate assumes owner earnings stay flat (0% growth).

How to read this

We solve for the constant annual change in owner earnings that would make the five-year zero-growth estimate equal today’s price. This keeps the existing model inputs and calculation unchanged; it is an expectations lens, not a forecast.

This zero-growth estimate assumes trailing owner earnings persist — unreliable for declining businesses. The recent FY revenue series does not trigger the three-consecutive-declines flag.

Among the current top-score group, the median current price is 239% above the zero-growth estimate across 48 of the current top 50 companies by Moat Score with both values.

Score records captured Jul 26, 2026.

Exactly which 50 companies?

FTNT, META, MEDP, IBEX, MSFT, GOOGL, LULU, ANF, IDXX, TXRH, FHI, QLYS, FFIV, ADBE, LLY, MANH, VEEV, GRMN, SSD, MNST, DOCS, MCO, CPRT, NTAP, LRCX, NVDA, CORT, SFM, MPTI, ULTA, SN, RMD, ROL, PAYC, IRMD, INTU, DECK, MORN, LGCY, DAL, GWW, ISRG, MPWR, CTAS, LOPE, MRK, CMG, FAST, BKNG, ORLY

Missing a usable price or zero-growth estimate: ANF, BKNG.

Model details under moat-index@3.0.0: zero-growth multiple 11.1×, capped-growth comparison at no more than 18×; 9% discount rate; high-end growth 0% (capped at 4%) using min(5y revenue CAGR, 5y diluted-EPS CAGR), clamped to 0%–4%; maintenance capex uses min(capex, D&A); abstain when D&A is unavailable. This is a disclosed model range, not intrinsic value as fact.

18 years of fundamentals

The business, in plain English

SPS COMMERCE, INC. booked $752M of revenue in FY2025 in the Technology sector and kept 69.2% of it as gross profit — a high-margin business by that measure. After every other cost, 12.4% of each revenue dollar reached the bottom line.

Across the filed record, revenue grew from $37.7M (FY2009) to $752M (FY2025) — about 20.6% a year compounded over 16 years.

It earned 10.8% on invested capital in the latest filed year, FY2025. Across the full 16-year measurable filed record, median ROIC was 11.0%. Over the v3 recent window (10 measurable filed years), median ROIC was 12.7%. The Returns on Capital filter above scores it 54/100.

SPSC's latest filed year, FY2025, doesn't disclose total debt in a form the methodology can use, so current leverage is treated as unmeasured — never assumed to be zero.

Put together: Business Trend is the strongest of the five filters (100/100) and Returns on Capital the weakest (54/100), which is how SPSC lands at 87/100 — a Wide moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

FY2008–FY2025 · 18 fiscal years, normalized from SPSC’s SEC filings

Sales, as filed$752M FY2025
$0$500M2008201420202025
Revenue kept after cost of goods69.2% FY2025
0%50%2008201420202025
Standard ROIC or separately labeled Operating ROICROIC 10.8% FY2025
0%50%100%2008201420202025
Cash an owner could take out$93.3M FY2025
$0$50M$100M2008201420202025

Gaps in a line mean that item isn’t in SPSC’s filings for that year. The series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Flagship explainer

How SPS COMMERCE, INC. makes its money

Start with a dollar of revenue and follow what the filing says remains.

revenueBranching filed flows with values and percentages directly labeled. Missing filing concepts are omitted rather than estimated.Revenue$752M · 100%Cost of revenue$232M · 31%Gross profit$520M · 69%Operating income$118M · 16%Income before tax$124M · 16%Income tax$30.5M · 4%Net income$93.3M · 12%As of 2025-12-31 · 1 SEC filing sourceBuy Like Buffett · buylikebuffett.com

Honest partial: the filing did not provide a normalized tag for Research and development, Selling, general and administrative; those components are omitted, not plugged.

Table alternative
Filed lineValue% of revenueSource
$752M100%
Cost of revenue$232M31%
$520M69%
$118M16%
Income before tax$124M16%
Income tax$30.5M4%
$93.3M12%
Source: · event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set
Embed this chart

Flagship explainer

What SPS COMMERCE, INC. owns — and owes

SPS COMMERCE, INC.'s filing tags don't support a full breakdown — here's what is filed:

Table alternative
Filed lineValue% of assetsSource
Total assets$1.2B100%
Cash and equivalents$151M13%
Stockholders’ equity$974M83%
Source: · event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set

Flagship explainer

What drives SPS COMMERCE, INC.’s return on equity?

ROE is five filed business factors multiplied together.

DuPont return on equity factor treeReturn on equity branches into tax burden, interest burden, operating margin, asset turnover, and the equity multiplier.Return on equity10%Tax burden75%net income ÷ pretax incomeInterest burden105%pretax ÷ operating incomeOperating margin16%operating income ÷ revenueAsset turnover0.68×revenue ÷ average assetsEquity multiplier1.20×average assets ÷ average equityAs of 2025-12-31 · 1 SEC filing sourceBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$93.3MFY2025
Income before tax$124MFY2025
Operating income$118MFY2025
$752MFY2025
Ending assets$1.2BFY2025
Beginning assets$1.0BFY2024
$974MFY2025
$855MFY2024
Source:
  • SEC filingFiling detailsAccession 0001092699-26-000012
· event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set
Embed this chart

Flagship explainer

Where SPS COMMERCE, INC.'s cash went

SPS COMMERCE, INC.’s filing does not supply enough provenance-matched cash-flow lines for a truthful flow chart — here’s what is filed:

Table alternative
Filed lineValue% of cash from operationsSource
Cash from operations$179M100%
Depreciation and amortization$21.1M12%
Source: · event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set

Curated 19-manager tier

Who reported holding SPS COMMERCE, INC.

Delayed public 13F reports for 2026-Q2—not live positions, trades, or recommendations.

0 holding0 exited1 not holding1/19 resolved18 unavailable

Named manager positions and quarter-over-quarter changes
ManagerReported positionQuarter-over-quarterFiling accession
Markel / Markel-GaynerNo position reportedNo position reported
Abrams CapitalUnavailableComparison unavailableFiling unavailable
Akre CapitalUnavailableComparison unavailableFiling unavailable
Baupost GroupUnavailableComparison unavailableFiling unavailable
Berkshire HathawayUnavailableComparison unavailableFiling unavailable
Brave Warrior AdvisorsUnavailableComparison unavailableFiling unavailable
Dodge & CoxUnavailableComparison unavailableFiling unavailable
First EagleUnavailableComparison unavailableFiling unavailable
FundsmithUnavailableComparison unavailableFiling unavailable
Gardner Russo & QuinnUnavailableComparison unavailableFiling unavailable
Gates Foundation TrustUnavailableComparison unavailableFiling unavailable
Mairs & PowerUnavailableComparison unavailableFiling unavailable
Oakmark / Harris AssociatesUnavailableComparison unavailableFiling unavailable
Pershing SquareUnavailableComparison unavailableFiling unavailable
Polen CapitalUnavailableComparison unavailableFiling unavailable
Sequoia / Ruane CunniffUnavailableComparison unavailableFiling unavailable
Southeastern Asset ManagementUnavailableComparison unavailableFiling unavailable
Tweedy, BrowneUnavailableComparison unavailableFiling unavailable
Yacktman Asset ManagementUnavailableComparison unavailableFiling unavailable

Position size uses shares and filed value from each manager’s 13F. Portfolio weight uses the eligible long-share filing denominator. Changes compare only with the immediately preceding calendar quarter.

Source: · event Jun 30, 2026 · retrieved Jul 26, 2026

Flagship explainer

What SPS COMMERCE, INC. insiders reported

Records still being gathered — partial as of retrieval Aug 19, 2026.

Partial coverage: the incomplete Form 4 walk cannot establish no activity, an activity date, or zero counts.

Moat Score history

16 logged readings since Jul 17, 2026 · append-only, never rewritten

Moat Score over timeLast scored reading of each day, on the 0–100 scale86.9 / 100
0406080100WideNarrowShallowNo moatJul 17, 2026Jul 26, 2026

Breaks in the line mark methodology or normalizer upgrades — readings across versions aren’t compared, so a level shift there isn’t a change in the business.

Tier changesSame-methodology and same-normalizer crossings of the Wide / Narrow / Shallow bars

  1. Normalizer upgraded unstamped (version unknown)moat-xbrl-normalizer@1.1.0 — readings across versions aren’t comparedJul 26, 2026
  2. Methodology upgraded moat-index@2.0.0moat-index@3.0.0 — readings across versions aren’t comparedJul 23, 2026
  3. Methodology upgraded moat-index@1.2.0moat-index@2.0.0 — readings across versions aren’t comparedJul 20, 2026

Scores are logged append-only and never overwritten — this record cannot be reconstructed retroactively, which is exactly why it’s worth keeping.

Insider activity

Form 4 reports mix P/S market or private transactions with compensation-plan mechanics. Activity casually described as “insider selling” can include compensation mechanics; awards, tax withholding, and option exercises are shown by their exact filed class here, never collapsed into “Bought” or “Sold.”

These are disclosed filing facts and arithmetic aggregates, not a signal or verdict.

This machine-readable surface covers SEC ownership filings from 2003; it does not represent earlier paper-era records.

Records still being gathered — partial as of retrieval Aug 19, 2026.

Trailing-12-month totals and the 90-day cluster result are withheld because this issuer walk is incomplete.

No reported Form 4 rows were captured for SPSC; the incomplete walk cannot establish zero activity, zero counts, or a negative cluster result.

A filing source-event date will appear when a Form 4 row is captured.

Retrieved .

Technology context

#30 of 744 scored Technology companies, ranked by Moat Score.

Nearest peers by Moat Score

  1. #28AMAT APPLIED MATERIALS INC /DE87.0Wide moat
  2. #29ADP AUTOMATIC DATA PROCESSING INC87.0Wide moat
  3. #31PYPL PayPal Holdings, Inc.86.7Wide moat
  4. #32FDS FACTSET RESEARCH SYSTEMS INC.86.6Wide moat

Compare SPSC with its nearest peers →All Technology companies on the Index →

Common questions about SPSC

Does SPS COMMERCE, INC. have an economic moat?
Based on its FY2025 SEC filings, the Moat Index scores SPS COMMERCE, INC. (SPSC) 86.9 out of 100 — a Wide moat. The five questions behind that score begin at 20% each; if exactly one genuinely lacks data, the other four weights are renormalized and disclosed. revenue and EPS trend 100, pricing power 100, returns on capital 54, balance-sheet safety 100, capital allocation 80.
Is SPSC trading below the conservative owner-earnings estimate?
The value if growth stopped today — a zero-growth baseline — is $19.49 per share. It capitalizes normalized owner earnings at a 9% rate and assumes 0% growth. Versus a recent price of $61.16, that is 214% above value if growth stopped today. The model also publishes a capped-growth comparison, but the zero-growth estimate is the cautious baseline. It assumes trailing owner earnings persist and is unreliable for declining businesses. This is an educational estimate from primary SEC filings, not intrinsic value as a fact or investment advice.
How has SPSC's Moat Score changed over time?
The record logs 16 readings since Jul 17, 2026; the latest reads 86.9 out of 100 (wide moat). No tier changes on record yet. (Methodology or normalizer upgrades on Jul 20, 2026, Jul 23, 2026, Jul 26, 2026 re-based the score; readings across versions aren't compared.) The history is append-only — readings are only ever added, never rewritten.

Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell SPSC. See the disclaimer.