SPS Commerce (SPSC) Fell 11% in Q3

Conestoga Capital Advisors, an asset management company, released its “Small Cap Strategy” third-quarter 2023 investor letter. A copy of the same can be downloaded here. The Small Cap Composite returned -6.72% net-of-fees in the third quarter, compared to the Russell 2000 Growth Index’s -7.32% return. The strategy’s outperformance was driven by positive stock selection effects, while sector allocation effects were modestly negative. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Conestoga Small Cap Composite highlighted stocks like SPS Commerce, Inc. (NASDAQ:SPSC) in the third quarter 2023 investor letter. Headquartered in Minneapolis, Minnesota, SPS Commerce, Inc. (NASDAQ:SPSC) offers cloud-based supply chain management solutions. On November 14, 2023, SPS Commerce, Inc. (NASDAQ:SPSC) stock closed at $186.41 per share. One-month return of SPS Commerce, Inc. (NASDAQ:SPSC) was 9.35%, and its shares gained 39.86% of their value over the last 52 weeks. SPS Commerce, Inc. (NASDAQ:SPSC) has a market capitalization of $6.841 billion.

Conestoga Small Cap Composite made the following comment about SPS Commerce, Inc. (NASDAQ:SPSC) in its Q3 2023 investor letter:

“SPS Commerce, Inc. (NASDAQ:SPSC): SPSC is one of the largest supplier networks in the retail industry, with over 115,000 retail partners that connect and collaborate over their cloud-based software platform. After being a leader in the first two quarters of 2023, SPSC declined 11% during the third quarter. We see this as a natural consolidation and comes as long-time CEO Archie Black retires and Chad Collins takes over the role.”

A supply chain manager overseeing the delivery of products to a customer after a successful transaction.

SPS Commerce, Inc. (NASDAQ:SPSC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 19 hedge fund portfolios held SPS Commerce, Inc. (NASDAQ:SPSC) at the end of second quarter which was 23 in the previous quarter.

We discussed SPS Commerce, Inc. (NASDAQ:SPSC) in another article and shared Alger Weatherbie Specialized Growth Fund’s views on the company. In addition, please check out our hedge fund investor letters Q3 2023 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.