Sprout Social (NASDAQ:SPT) Stock Rating Upgraded by Wall Street Zen

Sprout Social (NASDAQ:SPT) was upgraded by analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a report issued on Sunday.

Several other equities research analysts also recently commented on the company. KeyCorp cut their price objective on Sprout Social from $9.00 to $6.00 and set an “underweight” rating for the company in a report on Friday, February 27th. Weiss Ratings restated a “sell (e+)” rating on shares of Sprout Social in a report on Thursday, January 22nd. Needham & Company LLC dropped their price target on shares of Sprout Social from $32.00 to $14.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Barclays cut their price target on shares of Sprout Social from $26.00 to $13.00 and set an “overweight” rating for the company in a research note on Monday, January 12th. Finally, Jefferies Financial Group decreased their price objective on shares of Sprout Social from $15.00 to $12.00 and set a “buy” rating for the company in a research report on Tuesday, February 3rd. Four analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Sprout Social currently has an average rating of “Hold” and a consensus price target of $13.67.

Sprout Social Price Performance

NASDAQ:SPT opened at $6.45 on Friday. Sprout Social has a 52-week low of $6.03 and a 52-week high of $25.81. The company has a market cap of $381.78 million, a P/E ratio of -8.72 and a beta of 0.94. The company has a debt-to-equity ratio of 0.20, a quick ratio of 0.89 and a current ratio of 0.93. The stock’s 50-day simple moving average is $8.67 and its 200 day simple moving average is $10.85.

Sprout Social (NASDAQ:SPT) last issued its quarterly earnings results on Thursday, February 26th. The company reported $0.20 EPS for the quarter, beating the consensus estimate of $0.16 by $0.04. The firm had revenue of $120.89 million during the quarter, compared to analysts’ expectations of $118.68 million. Sprout Social had a negative return on equity of 16.10% and a negative net margin of 9.47%.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. As a group, sell-side analysts forecast that Sprout Social will post -0.99 EPS for the current fiscal year.

Insider Activity at Sprout Social

In related news, Director Aaron Edward Frederick Rankin acquired 90,661 shares of Sprout Social stock in a transaction on Wednesday, December 17th. The stock was purchased at an average cost of $11.14 per share, with a total value of $1,009,963.54. Following the completion of the transaction, the director directly owned 114,969 shares in the company, valued at $1,280,754.66. This trade represents a 372.97% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Justyn Russell Howard sold 23,855 shares of Sprout Social stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $6.76, for a total transaction of $161,259.80. Following the transaction, the insider directly owned 262,376 shares of the company’s stock, valued at approximately $1,773,661.76. This trade represents a 8.33% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 10.12% of the stock is owned by company insiders.

Institutional Trading of Sprout Social

A number of hedge funds have recently modified their holdings of the stock. Topline Capital Management LLC bought a new stake in shares of Sprout Social during the 3rd quarter worth about $17,555,000. Cubist Systematic Strategies LLC raised 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 period. Norges Bank bought a new position in Sprout Social in the 2nd quarter valued at about $10,694,000. Canada Pension Plan Investment Board lifted its position in Sprout Social by 20,382.0% during the second quarter. Canada Pension Plan Investment Board now owns 471,087 shares of the company’s stock worth $9,850,000 after acquiring an additional 468,787 shares during the last quarter. Finally, Federated Hermes Inc. lifted its position in Sprout Social by 182.3% during the second quarter. Federated Hermes Inc. now owns 687,234 shares of the company’s stock worth $14,370,000 after acquiring an additional 443,774 shares during 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.