EverCommerce (EVCM) AI Stock Analysis

• Market Cap: $1.93B
• Dividend Yield: N/A
• Average Volume (3M): 227.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.96
• Revenue Growth: -1.96%
• EPS Growth: 19.43%
• Country: US
• Employees: 2,000
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.04
• Shares Outstanding: 182,540,860
• 10 Day Avg. Volume: 318,675
• 30 Day Avg. Volume: 227,202
• 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: 1.98
• Enterprise Value/Revenue: 1.39
• Enterprise Value/Gross Profit: 8.16
• Enterprise Value/Ebitda: 9.50
• 1Y Price Target: $12.14
• Price Target Upside: 15.62% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 64 Neutral
• Price Target: $10.50 ▲(0.00%Upside)

EverCommerce shows strong financial management, particularly in cash flow and equity positions, supported by a positive earnings call. However, profitability challenges and valuation concerns weigh down the overall score. Technical indicators are neutral, and recent corporate events offer slight optimism.

Positive Factors

Business Strategy

The divestiture of the Marketing Technology Solutions business should lead to improved visibility and growth for the core business, creating a more compelling financial picture.

Earnings

EverCommerce's revenue and EBITDA surpassed the high-end of guidance, setting a new high-water mark for the business.

Stock Valuation

EVCM shares are considered cheap, supporting a BUY rating due to the potential for a leaner, more focused business delivering reliable growth.

Negative Factors

Complexity of Business Model

An eventual sale of the MarTech assets is expected to simplify EverCommerce's complex public market story.

MarTech Segment Challenges

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

Revenue Quality

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

EverCommerce Business Overview & Revenue Model

Company Description

EverCommerce (EVCM) is a leading service commerce platform, providing vertically tailored, integrated SaaS solutions to over 500,000 service-based businesses across various industries. The company's core products and services include business management software, customer engagement solutions, and payment processing technologies designed to streamline operations, improve customer interactions, and drive growth for businesses in sectors such as healthcare, wellness, and home and field services.

How the Company Makes Money

EverCommerce generates revenue through a subscription-based model for its suite of SaaS solutions, which includes business management, customer engagement, and payment processing tools. The company's key revenue streams are subscription fees for its software offerings and transaction fees from its payment processing services. Additionally, EverCommerce benefits from strategic partnerships and integrations with industry-leading platforms that enhance its service offerings and expand its market reach. The company's focus on delivering industry-specific solutions helps it to maintain strong customer retention and attract new clients within its target sectors.

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
EBITDA	79.94M	89.08M	106.63M	80.21M	45.53M	54.80M
Net Income	-32.48M	-41.09M	-45.62M	-59.82M	-81.97M	-59.95M
Balance Sheet
Total Assets	1.41B	1.42B	1.52B	1.59B	1.66B	1.33B
Cash, Cash Equivalents and Short-Term Investments	148.41M	135.78M	92.61M	92.63M	93.99M	96.03M
Total Debt	5.50M	527.94M	532.20M	536.45M	546.13M	698.33M
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: Positive
• Last Price: 10.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EVCM, the sentiment is Positive. The current price of 10.5 is above the 20-day moving average (MA) of 10.04, above the 50-day MA of 10.13, and above the 200-day MA of 10.50, indicating a bullish trend. The MACD of 0.07 indicates Negative momentum. The RSI at 60.48 is Neutral, neither overbought nor oversold. The STOCH value of 85.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EVCM.

EverCommerce Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CSGS	76 Outperform	$1.91B	22.48	30.24%	1.96%	3.08%	34.87%
TUYA	74 Outperform	$1.46B	69.76	1.98%	4.33%	27.63%	―
FIVN	72 Outperform	$2.03B	―	-0.90%	―	14.44%	91.60%
MQ	68 Neutral	$2.75B	58.13	5.01%	―	-8.44%	―
TDC	66 Neutral	$2.10B	15.73	130.19%	―	-6.53%	240.56%
EVCM	64 Neutral	$1.93B	―	-3.09%	―	-1.96%	19.43%
Sector *	50 Neutral	AU$1.48B	1.33	-28.24%	3.27%	16.24%	-7.89%

EverCommerce Corporate Events

EverCommerce Holds Annual Stockholders Meeting June 2025

On June 20, 2025, EverCommerce Inc. held its Annual Meeting of Stockholders with 97.95% of the company’s outstanding common stock represented. During the meeting, two Class I Directors were elected to serve until the 2028 Annual Meeting, and Ernst & Young LLP was ratified as the independent registered public accounting firm for the year ending December 31, 2025.

The most recent analyst rating on (EVCM) stock is a Buy with a $11.00 price target. To see the full list of analyst forecasts on EverCommerce stock, see the EVCM Stock Forecast page.

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.