Sprout Social, Inc. (NASDAQ:SPT) Stock Has Average Target Price of $10.43

Key Points

• Analysts rate Sprout Social “Hold” on average, with two sell, three hold, three buy and one strong-buy rating. The average 12-month price target is $10.43, slightly above the stock’s reported $10.09 opening price.
• Sprout Social’s latest quarterly results exceeded expectations, with EPS of $0.26 versus a $0.16 consensus and revenue of $123.85 million versus $122.19 million expected. The company still reported a negative net margin and return on equity.
• Insiders have been selling shares, including a 40,000-share sale by insider Justyn Howard, while several institutional investors increased their positions or initiated new stakes. The stock has traded between $4.92 and $12.89 over the past year.

Sprout Social, Inc. (NASDAQ:SPT - Get Free Report) has been assigned an average recommendation of "Hold" from the nine ratings firms that are presently covering the firm, MarketBeat.com reports. Two investment analysts have rated the stock with a sell recommendation, three have issued a hold recommendation, three have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1 year price objective among brokerages that have updated their coverage on the stock in the last year is $10.43.

A number of brokerages recently commented on SPT. Wall Street Zen upgraded shares of Sprout Social from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 15th. Barclays raised their price target on Sprout Social from $9.00 to $12.00 and gave the company an "overweight" rating in a research note on Tuesday, August 11th. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Sprout Social in a report on Friday, July 17th. Zacks Research raised Sprout Social from a "hold" rating to a "strong-buy" rating in a research report on Monday, August 10th. Finally, Morgan Stanley increased their price objective on Sprout Social from $10.00 to $11.00 and gave the company an "equal weight" rating in a report on Thursday, August 13th.

Insider Transactions at Sprout Social

In related news, insider Justyn Howard sold 40,000 shares of the company's stock in a transaction that occurred on Friday, July 10th. The stock was sold at an average price of $8.28, for a total value of $331,200.00. Following the completion of the transaction, the insider directly owned 7,417 shares of the company's stock, valued at $61,412.76. This represents a 84.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 51,612 shares of company stock valued at $464,157 over the last three months. Corporate insiders own 9.60% of the company's stock.

Institutional Trading of Sprout Social

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Haveli Investment Management LLC acquired a new position in shares of Sprout Social in the 2nd quarter valued at $16,405,033. LB Partners LLC raised its stake in Sprout Social by 144.7% during the 1st quarter. LB Partners LLC now owns 1,510,979 shares of the company's stock worth $8,613,000 after acquiring an additional 893,502 shares in the last quarter. Renaissance Technologies LLC raised its stake in Sprout Social by 79.4% during the 1st quarter. Renaissance Technologies LLC now owns 727,762 shares of the company's stock worth $4,148,000 after acquiring an additional 322,200 shares in the last quarter. Y Intercept Hong Kong Ltd lifted its position in Sprout Social by 252.2% in the first quarter. Y Intercept Hong Kong Ltd now owns 626,762 shares of the company's stock valued at $3,573,000 after acquiring an additional 448,783 shares during the last quarter. Finally, EVR Research LP purchased a new stake in Sprout Social in the fourth quarter valued at $3,381,000.

Sprout Social Price Performance

Sprout Social stock opened at $10.09 on Friday. The firm has a market cap of $611.35 million, a PE ratio of -20.18 and a beta of 1.01. The company's 50 day moving average is $10.09 and its two-hundred day moving average is $7.90. Sprout Social has a 52-week low of $4.92 and a 52-week high of $12.89. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.14.

Sprout Social (NASDAQ:SPT - Get Free Report) last issued its earnings results on Thursday, August 6th. The company reported $0.26 earnings per share for the quarter, beating the consensus estimate of $0.16 by $0.10. Sprout Social had a negative net margin of 6.13% and a negative return on equity of 8.80%. The firm had revenue of $123.85 million for the quarter, compared to analysts' expectations of $122.19 million. Sprout Social has set its FY 2026 guidance at 1.110-1.150 EPS and its Q3 2026 guidance at 0.290-0.300 EPS. On average, research analysts expect that Sprout Social will post -0.02 EPS for the current fiscal year.

Sprout Social Company Profile

Sprout Social, Inc NASDAQ: SPT is a software company that provides social media management and analytics tools for businesses, agencies and other organizations. Its cloud-based platform helps users manage social media activities from a centralized interface, supporting functions such as content publishing, audience engagement, workflow coordination and performance reporting.

The company's product offerings include social media monitoring and listening, analytics, customer care, employee advocacy and influencer marketing capabilities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.