Sprout Social (NASDAQ:SPT) Trading Down 6.6% – Here’s What Happened

Sprout Social, Inc. (NASDAQ:SPT)’s stock price fell 6.6% on Friday . The company traded as low as $9.60 and last traded at $9.4660. 293,358 shares changed hands during trading, a decline of 71% from the average session volume of 1,023,872 shares. The stock had previously closed at $10.14.

Analysts Set New Price Targets

Several brokerages recently commented on SPT. Weiss Ratings reiterated a “sell (e+)” rating on shares of Sprout Social in a research note on Wednesday, October 8th. Morgan Stanley dropped their target price on shares of Sprout Social from $17.00 to $14.00 and set an “equal weight” rating for the company in a report on Thursday, November 13th. Barclays decreased their price target on Sprout Social from $26.00 to $13.00 and set an “overweight” rating on the stock in a research note on Monday. Finally, Canaccord Genuity Group lowered their price target on Sprout Social from $25.00 to $16.00 and set a “buy” rating on the stock in a report on Friday, November 7th. Six research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $24.64.

Sprout Social Trading Down 5.5%

The business has a 50 day moving average of $10.55 and a 200-day moving average of $13.40. The stock has a market cap of $567.04 million, a PE ratio of -11.83 and a beta of 0.81. The company has a current ratio of 0.89, a quick ratio of 0.89 and a debt-to-equity ratio of 0.23.

Sprout Social (NASDAQ:SPT) last released its quarterly earnings results on Wednesday, November 5th. The company reported $0.23 earnings per share for the quarter, topping analysts’ consensus estimates of $0.16 by $0.07. The company had revenue of $115.59 million during the quarter, compared to analysts’ expectations of $114.86 million. Sprout Social had a negative return on equity of 18.93% and a negative net margin of 10.59%.The business’s revenue for the quarter was up 12.7% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.13 earnings per share. Sprout Social has set its FY 2025 guidance at 0.770-0.790 EPS and its Q4 2025 guidance at 0.150-0.170 EPS. On average, analysts anticipate that Sprout Social, Inc. will post -0.99 EPS for the current year.

Insiders Place Their Bets

In other Sprout Social news, CEO Ryan Paul Barretto acquired 93,984 shares of the firm’s stock in a transaction dated Friday, January 9th. The shares were acquired at an average price of $10.67 per share, for a total transaction of $1,002,809.28. Following the completion of the acquisition, the chief executive officer directly owned 875,256 shares of the company’s stock, valued at $9,338,981.52. This trade represents a 12.03% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Justyn Russell Howard sold 40,000 shares of the company’s stock in a transaction on Friday, January 9th. The shares were sold at an average price of $10.70, for a total value of $428,000.00. Following the completion of the transaction, the insider owned 7,417 shares of the company’s stock, valued at $79,361.90. The trade was a 84.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 10.12% of the company’s stock.

Hedge Funds Weigh In On Sprout Social

A number of institutional investors and hedge funds have recently bought and sold shares of SPT. State of Alaska Department of Revenue acquired a new position in shares of Sprout Social during the third quarter worth $30,000. First Horizon Advisors Inc. increased its position in shares of Sprout Social by 78.9% during the second quarter. First Horizon Advisors Inc. now owns 1,531 shares of the company’s stock worth $32,000 after acquiring an additional 675 shares during the last quarter. Versant Capital Management Inc lifted its stake in shares of Sprout Social by 2,754.5% in the third quarter. Versant Capital Management Inc now owns 3,511 shares of the company’s stock worth $45,000 after acquiring an additional 3,388 shares in the last quarter. Quarry LP lifted its stake in shares of Sprout Social by 264.2% in the third quarter. Quarry LP now owns 3,784 shares of the company’s stock worth $49,000 after acquiring an additional 2,745 shares in the last quarter. Finally, CWM LLC boosted its holdings in Sprout Social by 266.3% in the second quarter. CWM LLC now owns 3,934 shares of the company’s stock valued at $82,000 after purchasing an additional 2,860 shares during the last quarter.

Sprout Social Company Profile

Sprout Social (NASDAQ: SPT) is a Chicago-based software company specializing in social media management solutions for businesses of all sizes. The company provides a cloud-based platform designed to help organizations improve their social media presence through a suite of tools for content scheduling, community engagement, social listening and analytics. Sprout Social’s platform is built to streamline the workflows of marketing, customer care and public relations teams by providing a centralized hub for managing multiple social channels.

The company’s product offerings include publishing and scheduling capabilities that allow users to plan and automate social content across networks such as Facebook, Instagram, Twitter, LinkedIn and Pinterest.