Sprout Social (NASDAQ:SPT) Raised to “Strong-Buy” at Wall Street Zen

Sprout Social (NASDAQ:SPT) was upgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “strong-buy” rating in a report released on Saturday.

Several other research analysts have also recently commented on the company. KeyCorp raised their target price on Sprout Social from $6.00 to $7.00 and gave the stock an “underweight” rating in a research report on Friday, August 7th. Weiss Ratings restated a “sell (e+)” rating on shares of Sprout Social in a research report on Friday, July 17th. Zacks Research upgraded shares of Sprout Social from a “hold” rating to a “strong-buy” rating in a research report on Monday, August 10th. Morgan Stanley increased their target price on Sprout Social from $10.00 to $11.00 and gave the company an “equal weight” rating in a research note on Thursday. Finally, Barclays lifted their target price on Sprout Social from $9.00 to $12.00 and gave the stock an “overweight” rating in a report on Tuesday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, Sprout Social presently has an average rating of “Hold” and an average target price of $10.43.

Sprout Social Price Performance

SPT opened at $9.89 on Friday. The business’s fifty day simple moving average is $8.06 and its 200 day simple moving average is $7.10. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.14. The firm has a market cap of $599.24 million, a P/E ratio of -19.78 and a beta of 0.97. Sprout Social has a 52 week low of $4.92 and a 52 week high of $16.03.

Sprout Social (NASDAQ:SPT) last issued its quarterly earnings results on Thursday, August 6th. The company reported $0.26 EPS for the quarter, topping 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 during the quarter, compared to analyst estimates 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. As a group, equities research analysts anticipate that Sprout Social will post -0.25 EPS for the current fiscal year.

Insider Activity

In other news, insider Justyn Russell Howard sold 40,000 shares of Sprout Social stock in a transaction dated Friday, July 10th. The stock was sold at an average price of $8.28, for a total transaction of $331,200.00. Following the sale, the insider directly owned 7,417 shares of the company’s stock, valued at approximately $61,412.76. This trade represents a 84.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 9.60% of the company’s stock.

Institutional Investors Weigh In On Sprout Social

A number of institutional investors and hedge funds have recently bought and sold shares of SPT. Haveli Investment Management LLC purchased a new position in shares of Sprout Social in the 2nd quarter worth about $16,405,033,000. Bank of New York Mellon Corp bought a new position in shares of Sprout Social in the second quarter worth approximately $1,658,000. GAMMA Investing LLC boosted its holdings in shares of Sprout Social by 115.8% in the 2nd quarter. GAMMA Investing LLC now owns 6,368 shares of the company’s stock worth $48,000 after purchasing an additional 3,417 shares in the last quarter. Versant Capital Management Inc lifted its position in Sprout Social by 4,977.4% in the 2nd quarter. Versant Capital Management Inc now owns 11,932 shares of the company’s stock worth $90,000 after buying an additional 11,697 shares during the last quarter. Finally, Pacer Advisors Inc. purchased a new stake in Sprout Social in the first quarter worth approximately $1,500,000.

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.