Sprout Social (NASDAQ:SPT) Upgraded to Buy at Wall Street Zen

Wall Street Zen upgraded shares of Sprout Social (NASDAQ:SPT) from a hold rating to a buy rating in a research note issued to investors on Sunday morning.

SPT has been the subject of several other research reports. The Goldman Sachs Group cut their price target on Sprout Social from $13.00 to $8.00 and set a “neutral” rating for the company in a research note on Monday, March 2nd. Needham & Company LLC lowered their price objective on Sprout Social from $32.00 to $14.00 and set a “buy” rating on the stock in a research note on Friday, February 27th. KeyCorp dropped their price objective on shares of Sprout Social from $9.00 to $6.00 and set an “underweight” rating on the stock in a report on Friday, February 27th. Morgan Stanley cut 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 research report on Thursday, November 13th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of Sprout Social in a research note on Thursday, January 22nd. Four investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $13.67.

Sprout Social Trading Down 8.4%

Shares of SPT stock opened at $6.45 on Friday. The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 0.20. The firm has a market cap of $381.77 million, a P/E ratio of -8.72 and a beta of 0.94. The company has a 50 day moving average of $8.67 and a 200-day moving average of $10.82. Sprout Social has a 12-month low of $6.03 and a 12-month high of $25.81.

Sprout Social (NASDAQ:SPT) last posted its quarterly earnings data on Thursday, February 26th. The company reported $0.20 EPS for the quarter, beating the consensus estimate of $0.16 by $0.04. Sprout Social had a negative return on equity of 16.10% and a negative net margin of 9.47%.The business had revenue of $120.89 million for the quarter, compared to the consensus estimate of $118.68 million. Sprout Social has set its FY 2026 guidance at 0.880-0.970 EPS and its Q1 2026 guidance at 0.150-0.160 EPS. Sell-side analysts anticipate that Sprout Social will post -0.99 earnings per share for the current year.

Insider Activity at Sprout Social

In related news, insider Justyn Russell Howard sold 40,000 shares of the company’s stock in a transaction that occurred on Friday, January 9th. The shares were sold at an average price of $10.70, for a total transaction of $428,000.00. Following the sale, the insider owned 7,417 shares of the company’s stock, valued at approximately $79,361.90. This represents a 84.36% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Ryan Paul Barretto bought 93,984 shares of the stock in a transaction on Friday, January 9th. The stock was purchased at an average price of $10.67 per share, for a total transaction of $1,002,809.28. Following the completion of the purchase, the chief executive officer directly owned 875,256 shares in the company, valued at approximately $9,338,981.52. This represents a 12.03% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 10.12% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Sprout Social

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Invesco Ltd. grew its position in Sprout Social by 38.6% during the fourth quarter. Invesco Ltd. now owns 76,775 shares of the company’s stock worth $865,000 after buying an additional 21,399 shares in the last quarter. State of Tennessee Department of Treasury raised its holdings in shares of Sprout Social by 228.3% in the 4th quarter. State of Tennessee Department of Treasury now owns 38,071 shares of the company’s stock valued at $429,000 after acquiring an additional 26,474 shares in the last quarter. EP Wealth Advisors LLC bought a new stake in shares of Sprout Social during the 4th quarter valued at about $114,000. Mackenzie Financial Corp boosted its position in shares of Sprout Social by 225.9% during the 4th quarter. Mackenzie Financial Corp now owns 126,143 shares of the company’s stock valued at $1,435,000 after acquiring an additional 87,434 shares during the last quarter. Finally, Fuller & Thaler Asset Management Inc. purchased a new position in shares of Sprout Social during the fourth quarter worth about $440,000.

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.