Sprout Social (NASDAQ:SPT) Trading 4.2% Higher – Here’s Why

Sprout Social, Inc. (NASDAQ:SPT)’s stock price traded up 4.2% on Thursday . The stock traded as high as $10.55 and last traded at $10.5550. 414,181 shares were traded during mid-day trading, a decline of 72% from the average daily volume of 1,485,734 shares. The stock had previously closed at $10.13.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the stock. Barclays upped their price objective on shares of Sprout Social from $9.00 to $12.00 and gave the stock an “overweight” rating in a report on Tuesday, August 11th. KeyCorp boosted their price target on shares of Sprout Social from $6.00 to $7.00 and gave the company an “underweight” rating in a research report on Friday, August 7th. Weiss Ratings reissued a “sell (e+)” rating on shares of Sprout Social in a research note on Friday, July 17th. Zacks Research upgraded shares of Sprout Social from a “hold” rating to a “strong-buy” rating in a report on Monday, August 10th. Finally, Wall Street Zen raised Sprout Social from a “buy” rating to a “strong-buy” rating in a research report on Saturday, August 15th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, three have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $10.43.

Sprout Social Stock Performance

The business has a 50-day moving average of $9.48 and a 200 day moving average of $7.50. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.03 and a quick ratio of 1.03. The company has a market cap of $654.39 million, a PE ratio of -21.60 and a beta of 0.95.

Sprout Social (NASDAQ:SPT) last announced its earnings results on Thursday, August 6th. The company reported $0.26 EPS for the quarter, beating analysts’ consensus estimates 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 business had revenue of $123.85 million during 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. Equities research analysts anticipate that Sprout Social, Inc. will post -0.02 EPS for the current fiscal year.

Insider Activity at Sprout Social

In related news, insider Justyn Howard sold 10,895 shares of Sprout Social stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $11.45, for a total transaction of $124,747.75. Following the transaction, the insider owned 239,840 shares in the company, valued at approximately $2,746,168. The trade was a 4.35% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 51,612 shares of company stock worth $464,157. 9.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On Sprout Social

Large investors have recently made changes to their positions in the business. Haveli Investment Management LLC purchased a new position in shares of Sprout Social in the second quarter worth $16,405,033. LB Partners LLC increased its holdings in Sprout Social by 144.7% in the 1st quarter. LB Partners LLC now owns 1,510,979 shares of the company’s stock valued at $8,613,000 after acquiring an additional 893,502 shares during the last quarter. Cubist Systematic Strategies LLC increased its holdings in Sprout Social by 739.6% in the 2nd quarter. Cubist Systematic Strategies LLC now owns 714,089 shares of the company’s stock valued at $14,932,000 after acquiring an additional 629,033 shares during the last quarter. Canada Pension Plan Investment Board lifted its stake in Sprout Social by 20,382.0% in the 2nd quarter. Canada Pension Plan Investment Board now owns 471,087 shares of the company’s stock worth $9,850,000 after purchasing an additional 468,787 shares in the last quarter. Finally, Y Intercept Hong Kong Ltd lifted its stake in Sprout Social by 252.2% in the 1st quarter. Y Intercept Hong Kong Ltd now owns 626,762 shares of the company’s stock worth $3,573,000 after purchasing an additional 448,783 shares in the last quarter.

About Sprout Social

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.