EverCommerce (EVCM) AI Stock Analysis

• Market Cap: $1.87B
• Dividend Yield: N/A
• Average Volume (3M): 198.22K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.91
• Revenue Growth: -1.96%
• EPS Growth: 19.43%
• Country: US
• Employees: 2,000
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Infrastructure
• EPS (TTM): -0.04
• Shares Outstanding: 182,540,860
• 10 Day Avg. Volume: 207,091
• 30 Day Avg. Volume: 198,223
• PEG Ratio: 0.92
• Price to Book (P/B): 1.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 30.99
• Enterprise Value/Market Cap: 2.04
• Enterprise Value/Revenue: 1.39
• Enterprise Value/Gross Profit: 8.16
• Enterprise Value/Ebitda: 9.50
• 1Y Price Target: $11.88
• Price Target Upside: 15.79% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 64 Neutral
• Price Target: $10.50 ▲(2.34%Upside)

EverCommerce's overall score is driven by strong financial performance in terms of revenue growth and cash flow management, coupled with a positive earnings outlook. However, the stock's valuation is hindered by negative profitability and a lack of dividend yield. Technical indicators further weigh on the score, reflecting bearish momentum. Corporate events like the credit agreement amendment provide some support by enhancing financial flexibility.

Positive Factors

Cost Management

The combination of steady growth and high margins makes EVCM a safe bet for exposure to the long-tail of SMB business services companies.

Revenue Growth

EverCommerce is off to a good start with pro forma revenue growth at 7.4%, the highest growth rate seen in 6 quarters.

Share Repurchase Program

EverCommerce initiated an additional $50M share repurchase program, which adds to the existing $200M authorization.

Negative Factors

Lower-Quality Revenue

The MarTech segment is considered lower-quality revenue due to its lower gross margin and adjusted EBITDA margin.

MarTech Segment Challenges

The MarTech segment has been associated with mixed or disappointing earnings guidance in several quarters, indicating challenges in this area.

EverCommerce Business Overview & Revenue Model

Company Description

EverCommerce Inc., together with its subsidiaries, engages in providing integrated software-as-a-service solutions for service-based small and medium sized businesses in the United States and internationally. The company's solutions include business management software, including route-based dispatching, medical practice management, and gym member management solutions; billing and payment solutions that comprise e-invoicing, mobile payments, and integrated payment processing; customer engagement applications, which include reputation management and messaging solutions; and marketing technology solutions that cover websites, hosting, and digital lead generation. It also provides EverPro suite of solutions in home services; EverHealth suite of solutions within health services; and EverWell suite of solutions in fitness and wellness services. In addition, the company offers professional services, including implementation, configuration, installation, or training services. It serves home service professionals, such as home improvement contractors and home maintenance technicians; physician practices and therapists in the health services industry; and personal trainers and salon owners in the fitness and wellness sectors. The company was formerly known as PaySimple Holdings, Inc. and changed its name to EverCommerce Inc. in December 2020. The company was incorporated in 2016 and is headquartered in Denver, Colorado.

How the Company Makes Money

EverCommerce generates revenue primarily through its subscription-based software solutions, which provide businesses with tools for business management, customer engagement, and payment processing. The company offers a variety of integrated platforms that cater to specific industries, ensuring that they meet the unique needs of their clients. In addition to subscription fees, EverCommerce may also earn revenue from transaction fees associated with payment processing services. Key partnerships with industry-specific service providers enhance its product offerings and create opportunities for cross-selling, further contributing to its earnings.

EverCommerce Financial Statement Overview

Summary

EverCommerce demonstrates strong revenue growth and effective cash flow management, with a robust balance sheet characterized by low leverage. However, consistent profitability remains a challenge, with negative net margins and return on equity.

Income Statement

EverCommerce has shown a consistent revenue growth trajectory with a TTM total revenue of $670.93 million from $620.75 million in 2022, reflecting a growth rate of approximately 8.07%. The gross profit margin for the TTM period stands at 69.8%, indicating strong cost management. However, the company is struggling with profitability issues, as evidenced by the negative net income margin of -4.84% and net losses over several years. The EBIT margin of 2.84% and EBITDA margin of 11.9% for the TTM period indicate limited operating profitability, highlighting challenges in achieving bottom-line improvements.

Balance Sheet

The balance sheet shows a solid equity position with a debt-to-equity ratio of 0.007 for the TTM period, indicating low leverage. The equity ratio of 52.27% demonstrates a strong capital structure. However, the net income remains negative, affecting the return on equity, which is also negative at -4.39%. The company's high level of cash and cash equivalents, significantly exceeding its total debt, provides financial stability and liquidity.

Cash Flow

EverCommerce has demonstrated strong cash flow generation, with a TTM operating cash flow of $130.54 million and free cash flow of $123.98 million. The free cash flow to net income ratio is positive, despite net losses, indicating effective cash management. The free cash flow growth rate from 2023 to the TTM period is a robust 52.06%, highlighting improved cash flow performance. The operating cash flow to net income ratio is also favorable, further underscoring the company's strong cash-generating ability.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
670.92M	698.76M	675.37M	620.75M	490.14M	337.52M
	Gross Profit
468.15M	470.39M	444.36M	403.37M	327.91M	222.50M
	EBIT
19.07M	252.00K	2.43M	-30.59M	-27.19M	-22.04M
	EBITDA
79.94M	89.08M	106.63M	80.21M	45.53M	54.80M
	Net Income Common Stockholders
-32.48M	-41.09M	-45.62M	-59.82M	-81.97M	-59.95M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
148.41M	135.78M	92.61M	92.63M	93.99M	96.03M
	Total Assets
1.41B	1.42B	1.52B	1.59B	1.66B	1.33B
	Total Debt
5.50M	527.94M	532.20M	536.45M	546.13M	698.33M
	Net Debt
-142.91M	392.16M	439.59M	443.82M	452.13M	602.30M
	Total Liabilities
674.53M	670.44M	692.03M	685.03M	677.73M	808.43M
	Stockholders Equity
739.57M	750.83M	826.04M	906.69M	985.65M	519.16M
Cash Flow		Free Cash Flow
123.98M	94.26M	81.53M	46.72M	22.69M	44.46M
	Operating Cash Flow
130.54M	113.16M	104.61M	64.80M	37.48M	57.54M
	Investing Cash Flow
-14.33M	-12.30M	-38.02M	-18.08M	-379.67M	-418.31M
	Financing Cash Flow
-59.51M	-59.61M	-66.63M	-47.31M	341.18M	401.85M

EverCommerce Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EVCM, the sentiment is Negative. The current price of 10.26 is above the 20-day moving average (MA) of 10.15, above the 50-day MA of 10.13, and below the 200-day MA of 10.52, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 44.93 is Neutral, neither overbought nor oversold. The STOCH value of 63.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EVCM.

EverCommerce Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CSGS	74 Outperform	$1.88B	22.07	30.24%	1.89%	3.08%	34.87%
FIVN	73 Outperform	$2.23B	―	-0.90%	―	14.44%	91.60%
MQ	68 Neutral	$2.57B	54.84	5.01%	―	-8.44%	―
TUYA	68 Neutral	$1.66B	83.23	1.98%	3.60%	27.63%	―
TDC	67 Neutral	$2.18B	16.06	130.19%	―	-6.53%	240.56%
EVCM	64 Neutral	$1.87B	―	-3.09%	―	-1.96%	19.43%
Sector *	62 Neutral	$11.93B	10.60	-7.51%	3.00%	7.40%	-8.09%

EverCommerce Corporate Events

EverCommerce Amends Credit Agreement with RBC

On June 10, 2025, EverCommerce Inc. subsidiaries amended their Credit Agreement with Royal Bank of Canada, reducing the revolver commitments from $190 million to $155 million and extending the maturity date for $125 million of these commitments to January 6, 2028. This amendment also lowered the applicable margin rates for both Term SOFR and Alternate Base Rate loans, potentially improving the company’s financial flexibility and cost of borrowing.

The most recent analyst rating on (EVCM) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on EverCommerce stock, see the EVCM Stock Forecast page.

EverCommerce Appoints Amy Shenkan to Board

On May 17, 2025, EverCommerce Inc. appointed Amy Guggenheim Shenkan to its Board of Directors as a Class II director and as a member of the Audit Committee. As part of her role, Ms. Shenkan will receive an annual retainer and an initial equity award, which will vest in full by May 17, 2026, contingent on her continued service.

The most recent analyst rating on (EVCM) stock is a Hold with a $9.00 price target. To see the full list of analyst forecasts on EverCommerce stock, see the EVCM Stock Forecast page.

EverCommerce Faces Nasdaq Non-Compliance After Director Resignation

On April 9, 2025, Alexi Wellman resigned from the Board of Directors of EverCommerce Inc., effective April 10, 2025, for personal reasons, without any disagreement with the company. Her resignation leaves a vacancy on the Audit Committee, reducing its members to two, which does not comply with Nasdaq’s requirement for three members. EverCommerce has informed Nasdaq of this non-compliance and plans to appoint a new director within 180 days to meet the criteria.