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Its most likely relater to you 6.3% setting
I think I would leave it as a text layer. Transform the layer to rotate it some and use text warp to curve it some and add a layer style.
The Spherize tool does not give you an on layers preview so IMO its harder to visualize the composite.
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Thanks for the answer JJMack. Unfortunately, since this is a logo, it is not text. It has been converted to vector. Is there something similar for vector objects?
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You can warp image with free transform using its warping option.
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I agree with JJMack. Warp text seems like a better fit for this than spherize. I prefer to NOT rasterize text if possible. It can't be edited again if you rasterize.