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Commerce.com
(NASDAQ:CMRC)
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Rating:58Neutral
Price Target:
$3.00
▲(28.76% Upside)
Action:Reiterated
Date:09/12/26
The score is held back primarily by financial risk: high leverage and still-inconsistent GAAP profitability outweigh the otherwise strong gross margins and positive free cash flow. Technicals are a clear positive with an established uptrend, while the latest earnings update is mixed—good execution and product/payment momentum, but reduced near-term guidance. Valuation remains challenged due to negative earnings and no dividend support, partially offset by the restructuring and buyback catalyst.
Positive Factors
Strong gross margins and positive cash generation
Very high gross margins provide meaningful economic capacity to support product investment and eventual earnings expansion. Positive operating and free cash flow also show that the business can fund operations internally, reducing reliance on external financing despite ongoing profitability work.
Negative Factors
High leverage and continuing net losses
Elevated leverage leaves less financial flexibility if operating performance weakens or the turnaround takes longer than expected. Continued net losses also limit the evidence of durable earnings power, making the company more exposed to execution setbacks and balance-sheet pressure.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong gross margins and positive cash generation
Very high gross margins provide meaningful economic capacity to support product investment and eventual earnings expansion. Positive operating and free cash flow also show that the business can fund operations internally, reducing reliance on external financing despite ongoing profitability work.
Read all positive factors
Commerce.com Key Performance Indicators (KPIs)
Any
Number of Enterprise Accounts
Tracks the count of enterprise clients, reflecting BigCommerce's success in attracting and retaining large businesses, which can drive significant revenue growth.
Tracks the count of enterprise clients, reflecting BigCommerce's success in attracting and retaining large businesses, which can drive significant revenue growth.
Data provided by:
The Fly
The FlyCommerce.com (CMRC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$288.35M
Dividend YieldN/A
Average Volume (3M)1.03M
Price to Earnings (P/E)―
Beta (1Y)1.23
Revenue Growth2.77%
EPS Growth68.74%
CountryUS
Employees1,079
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)-0.07
Shares Outstanding82,858,990
10 Day Avg. Volume651,211
30 Day Avg. Volume1,026,051
Financial Highlights & Ratios
PEG Ratio0.55
Price to Book (P/B)8.41
Price to Sales (P/S)0.97
P/FCF Ratio17.59
Enterprise Value/Market Cap0.87
Enterprise Value/Revenue0.73
Enterprise Value/Gross Profit0.95
Enterprise Value/Ebitda15.12
Forecast
1Y Price Target
$4.00Price Target Upside71.67% Upside
Rating ConsensusHold
Number of Analyst Covering5
EPS Forecast (FY)0.3
Revenue Forecast (FY)$339.57M
Commerce.com Business Overview & Revenue Model
Company Description
Commerce.com, Inc. delivers a global e-commerce platform via a software-as-a-service (SaaS) model, assisting brands and retailers across the United States, the Americas, Europe, the Middle East, Africa, and the Asia Pacific region. This comprehens...
Commerce.com Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Positive
The call presented solid operational and financial progress — strong GMV growth (14%), meaningful B2B momentum (17% GMV growth), improving margins (non-GAAP operating margin +~400 bps YoY), positive GAAP net income for the second consecutive quarter, improved cash generation, and promising traction for BigCommerce Payments (>30% ahead of plan). At the same time management prudently lowered near-term guidance (midpoint revenue reduced by ~$18M; non-GAAP operating income down ~$12.5M) and flagged softness in B2C replatforming, higher AI-related hosting costs that compressed gross margin sequentially, and cautious H2 new account bookings. Overall, the positives around profitability, cash, GMV, product momentum, and strategic positioning outweigh the near-term headwinds and deliberate trade-offs.Positive Updates
Revenue and Profitability Beat
Q2 revenue of $84.5M (within guidance) and non-GAAP operating income of $8.1M, which beat the high end of guidance ($4M-$5M). Company delivered positive GAAP net income for the second consecutive quarter.
Negative Updates
Revised Full-Year Guidance and Revenue Impact
Updated 2026 guidance lowered midpoint revenue by approximately $18M versus prior outlook. Full-year revenue now guided to $336.5M–$344.5M and non-GAAP operating income to $28M–$34M.
Read all updates
Q2-2026 Updates
Positive
Negative
Revenue and Profitability Beat
Q2 revenue of $84.5M (within guidance) and non-GAAP operating income of $8.1M, which beat the high end of guidance ($4M-$5M). Company delivered positive GAAP net income for the second consecutive quarter.
Read all positive updates
Company Guidance
Commerce refreshed its guidance, calling for Q3 2026 revenue of $82.5M–$85.5M and non‑GAAP operating income of $3.3M–$5.3M, and full‑year 2026 revenue of $336.5M–$344.5M with non‑GAAP operating income of $28M–$34M (the midpoint reflects an ~$18M revenue reduction and ~$12.5M reduction in non‑GAAP operating income vs. prior outlook). Management said the update reflects three deliberate decisions—narrowing the partner ecosystem (forgoing some near‑term partner revenue), a more cautious view of second‑half new‑account bookings amid softer B2C replatforming, and targeted R&D and higher infrastructure costs to support AI‑driven discovery—partially offset by operating efficiencies. The company emphasized it remains on a healthy foundation (Q2 revenue $84.5M; non‑GAAP operating income $8.1M; ARR $360.5M; GMV up 14% YoY to ~$8.8B; NRR 95.8%; cash and equivalents ≈$157M) and expects to deliver GAAP profitability for the full year.Commerce.com Financial Statement Overview
Summary
Income Statement
58
Neutral
Balance Sheet
34
Negative
Cash Flow
62
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 346.90M | 342.35M | 332.93M | 309.39M | 279.07M | 219.85M |
| Gross Profit | 266.17M | 269.60M | 255.34M | 235.19M | 209.09M | 171.38M |
| EBITDA | 16.67M | 5.51M | -7.10M | -43.28M | -127.14M | -70.31M |
| Net Income | -5.78M | -19.34M | -27.03M | -64.67M | -139.92M | -76.68M |
Balance Sheet | ||||||
| Total Assets | 324.83M | 308.79M | 340.29M | 444.06M | 474.06M | 555.46M |
| Cash, Cash Equivalents and Short-Term Investments | 156.32M | 141.10M | 178.16M | 270.13M | 303.51M | 399.88M |
| Total Debt | 164.51M | 165.52M | 220.58M | 350.31M | 350.11M | 348.41M |
| Total Liabilities | 273.20M | 269.44M | 306.92M | 418.52M | 428.38M | 417.17M |
| Stockholders Equity | 51.63M | 39.35M | 33.37M | 25.53M | 45.67M | 138.29M |
Cash Flow | ||||||
| Free Cash Flow | 21.46M | 18.80M | 22.53M | -28.42M | -94.55M | -43.60M |
| Operating Cash Flow | 36.91M | 27.40M | 26.25M | -24.24M | -89.36M | -40.30M |
| Investing Cash Flow | -25.75M | -18.52M | 105.29M | 2.82M | -116.53M | -186.88M |
| Financing Cash Flow | -256.00K | -53.08M | -114.04M | 1.24M | 209.00K | 305.27M |
Commerce.com Technical Analysis
Positive
2.33
Price Trends
2.82
Positive
2.88
Positive
2.99
Positive
Market Momentum
0.13
Positive
62.68
Neutral
67.52
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CMRC, the sentiment is Positive. The current price of 2.33 is below the 20-day moving average (MA) of 3.31, below the 50-day MA of 2.82, and below the 200-day MA of 2.99, indicating a bullish trend. The MACD of 0.13 indicates Positive momentum. The RSI at 62.68 is Neutral, neither overbought nor oversold. The STOCH value of 67.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CMRC.
Commerce.com Risk Analysis
Commerce.com disclosed 63 risk factors in its most recent earnings report. Commerce.com reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Commerce.com Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | $762.24M | 13.28 | 18.41% | ― | 20.55% | ― | |
71 Outperform | $667.66M | 23.12 | 12.98% | ― | 9.62% | 140.62% | |
71 Outperform | $1.13B | -79.42 | -5.70% | ― | 9.63% | 55.51% | |
64 Neutral | $792.78M | -36.04 | -94.75% | ― | 10.16% | 28.29% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
58 Neutral | $288.35M | -50.36 | -12.79% | ― | 2.77% | 68.74% | |
58 Neutral | $685.92M | 29.56 | 27.89% | ― | -1.48% | 257.78% |
* Technology Sector Average
CMRC
Commerce.com
3.48
-1.08
-23.68%
YEXT
Yext
6.93
-1.44
-17.20%
SMWB
Similarweb
9.05
0.50
5.85%
VTEX
VTEX
3.97
-0.25
-5.92%
RSKD
Riskified
8.53
3.89
83.84%
MNTN
MNTN, Inc Class A
10.19
-5.69
-35.83%
Commerce.com Corporate Events
Business Operations and StrategyStock BuybackFinancial Disclosures
Commerce.com Launches Restructuring and Share Repurchase Plan
Positive
Sep 10, 2026
On September 9 and 10, 2026, Commerce.com adopted a strategic operating plan and related restructuring intended to better align its workforce and operating costs with its ongoing cost structure and profitability goals. The company expects to incur...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.