Federated Hermes Inc. Makes New $5.35 Million Investment in Sprout Social, Inc. (NASDAQ:SPT)

Key Points

• Federated Hermes Inc. acquired a new stake in Sprout Social, purchasing 243,460 shares valued at approximately $5.35 million, representing about 0.42% of the company.
• Insider activity includes CEO Ryan Paul Barretto selling 16,800 shares, reducing his stake by 12.3%, while Director Karen Walker decreased her holdings by 14.72% after selling 5,000 shares.
• Analysts have mixed ratings for Sprout Social, with a consensus target price of $29.17, and research reports reflecting a range of ratings from 'sell' to 'buy'.

Federated Hermes Inc. purchased a new position in shares of Sprout Social, Inc. (NASDAQ:SPT - Free Report) in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 243,460 shares of the company's stock, valued at approximately $5,354,000. Federated Hermes Inc. owned 0.42% of Sprout Social as of its most recent SEC filing.

A number of other large investors have also bought and sold shares of the business. Versant Capital Management Inc boosted its stake in Sprout Social by 1,319.4% in the 1st quarter. Versant Capital Management Inc now owns 1,462 shares of the company's stock valued at $32,000 after purchasing an additional 1,359 shares during the period. GAMMA Investing LLC raised its stake in shares of Sprout Social by 19,500.0% in the first quarter. GAMMA Investing LLC now owns 9,016 shares of the company's stock worth $198,000 after purchasing an additional 8,970 shares during the last quarter. Woodline Partners LP bought a new position in Sprout Social during the fourth quarter valued at about $233,000. Harbor Capital Advisors Inc. lifted its stake in shares of Sprout Social by 31.0% during the 1st quarter. Harbor Capital Advisors Inc. now owns 12,499 shares of the company's stock valued at $275,000 after buying an additional 2,955 shares in the last quarter. Finally, Graham Capital Management L.P. bought a new position in Sprout Social in the 4th quarter worth about $304,000.

Sprout Social Trading Up 1.1%

SPT traded up $0.19 during trading on Monday, reaching $16.73. The company had a trading volume of 892,656 shares, compared to its average volume of 608,468. The stock has a market cap of $973.35 million, a P/E ratio of -16.09 and a beta of 0.99. Sprout Social, Inc. has a 52 week low of $16.40 and a 52 week high of $36.30. The company has a quick ratio of 0.97, a current ratio of 0.97 and a debt-to-equity ratio of 0.11. The business has a 50 day simple moving average of $20.16 and a 200-day simple moving average of $23.49.

Sprout Social (NASDAQ:SPT - Get Free Report) last issued its quarterly earnings data on Thursday, May 8th. The company reported $0.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.15 by $0.07. The company had revenue of $109.29 million for the quarter, compared to analyst estimates of $107.63 million. Sprout Social had a negative return on equity of 31.03% and a negative net margin of 14.25%. The business's quarterly revenue was up 12.9% compared to the same quarter last year. During the same quarter last year, the company posted $0.10 earnings per share. On average, equities analysts anticipate that Sprout Social, Inc. will post -0.99 EPS for the current fiscal year.

Insiders Place Their Bets

In other Sprout Social news, CEO Ryan Paul Barretto sold 16,800 shares of the business's stock in a transaction dated Tuesday, July 8th. The shares were sold at an average price of $21.16, for a total value of $355,488.00. Following the transaction, the chief executive officer directly owned 119,775 shares in the company, valued at $2,534,439. The trade was a 12.30% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Karen Walker sold 5,000 shares of Sprout Social stock in a transaction that occurred on Monday, July 14th. The stock was sold at an average price of $19.05, for a total value of $95,250.00. Following the completion of the transaction, the director directly owned 28,963 shares in the company, valued at $551,745.15. This trade represents a 14.72% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 152,375 shares of company stock valued at $3,221,935. 10.12% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

SPT has been the subject of several recent analyst reports. Cantor Fitzgerald restated a "neutral" rating and issued a $24.00 price target on shares of Sprout Social in a research note on Tuesday, June 3rd. Morgan Stanley cut their target price on Sprout Social from $30.00 to $22.00 and set an "equal weight" rating on the stock in a research note on Wednesday, April 16th. Needham & Company LLC restated a "buy" rating and set a $32.00 price objective on shares of Sprout Social in a research note on Wednesday, May 28th. Oppenheimer decreased their target price on Sprout Social from $38.00 to $32.00 and set an "outperform" rating on the stock in a research report on Friday, May 9th. Finally, The Goldman Sachs Group cut their price objective on Sprout Social from $29.00 to $23.00 and set a "neutral" rating on the stock in a report on Thursday, April 17th. One analyst has rated the stock with a sell rating, five have issued a hold rating and six have given a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average target price of $29.17.

Sprout Social Profile

Sprout Social, Inc designs, develops, and operates a web-based social media management platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company provides cloud software for social messaging, data and workflows in a unified system of record, intelligence, and action.