Sprout Social (NASDAQ:SPT) Updates FY 2025 Earnings Guidance

Sprout Social (NASDAQ:SPT) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 0.650-0.740 for the period, compared to the consensus estimate of 0.690. The company issued revenue guidance of $448.1 million-$453.1 million, compared to the consensus revenue estimate of $463.9 million. Sprout Social also updated its Q1 2025 guidance to 0.140-0.160 EPS.

Sprout Social Stock Down 2.4 %

Shares of SPT stock traded down $0.68 on Tuesday, reaching $27.25. 702,184 shares of the stock were exchanged, compared to its average volume of 552,959. The company has a market capitalization of $1.56 billion, a price-to-earnings ratio of -22.71 and a beta of 1.06. The business’s 50 day moving average price is $31.97 and its 200 day moving average price is $30.59. The company has a current ratio of 0.96, a quick ratio of 0.96 and a debt-to-equity ratio of 0.19. Sprout Social has a twelve month low of $25.05 and a twelve month high of $65.32.

Sprout Social (NASDAQ:SPT) last released its quarterly earnings data on Tuesday, February 25th. The company reported ($0.20) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.15 by ($0.35). Sprout Social had a negative return on equity of 40.94% and a negative net margin of 17.24%. As a group, sell-side analysts expect that Sprout Social will post -0.99 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on SPT shares. Piper Sandler lowered their target price on shares of Sprout Social from $40.00 to $29.00 and set a “neutral” rating for the company in a report on Monday, November 11th. Needham & Company LLC restated a “buy” rating and issued a $55.00 price objective on shares of Sprout Social in a research note on Wednesday, January 15th. Jefferies Financial Group lifted their target price on Sprout Social from $34.00 to $42.00 and gave the stock a “buy” rating in a research report on Monday, February 3rd. Oppenheimer decreased their target price on Sprout Social from $40.00 to $38.00 and set an “outperform” rating for the company in a research report on Tuesday, December 3rd. Finally, Morgan Stanley lifted their price target on Sprout Social from $36.00 to $37.00 and gave the stock an “equal weight” rating in a research report on Monday, January 13th. One equities research analyst has rated the stock with a sell rating, seven have issued a hold rating and six have issued a buy rating to the stock. According to MarketBeat, the company presently has an average rating of “Hold” and an average target price of $39.58.

Insiders Place Their Bets

In other Sprout Social news, CEO Ryan Paul Barretto sold 13,465 shares of the stock in a transaction dated Tuesday, December 3rd. The shares were sold at an average price of $31.45, for a total value of $423,474.25. Following the completion of the transaction, the chief executive officer now directly owns 546,343 shares of the company’s stock, valued at approximately $17,182,487.35. This trade represents a 2.41 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Karen Walker sold 5,000 shares of the business’s stock in a transaction that occurred on Friday, December 13th. The stock was sold at an average price of $34.24, for a total value of $171,200.00. Following the sale, the director now directly owns 35,665 shares in the company, valued at $1,221,169.60. This trade represents a 12.30 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 120,265 shares of company stock worth $3,837,006. 10.97% of the stock is owned by insiders.

About Sprout Social

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.