Sprout Social (NASDAQ:SPT) Reaches New 1-Year Low Following Insider Selling

Sprout Social, Inc. (NASDAQ:SPT)’s share price reached a new 52-week low during trading on Thursday following insider selling activity. The company traded as low as $9.60 and last traded at $9.9150, with a volume of 491691 shares trading hands. The stock had previously closed at $10.25.

Specifically, insider Justyn Russell Howard sold 20,000 shares of Sprout Social stock in a transaction that occurred on Tuesday, November 4th. The shares were sold at an average price of $10.22, for a total transaction of $204,400.00. Following the sale, the insider owned 7,417 shares of the company’s stock, valued at approximately $75,801.74. The trade was a 72.95% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.

Analysts Set New Price Targets

Several research firms have issued reports on SPT. Zacks Research downgraded shares of Sprout Social from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, August 13th. Weiss Ratings restated a “sell (e+)” rating on shares of Sprout Social in a report on Wednesday, October 8th. The Goldman Sachs Group lowered their price objective on shares of Sprout Social from $24.00 to $21.00 and set a “neutral” rating for the company in a research report on Thursday, August 7th. Canaccord Genuity Group reduced their price target on shares of Sprout Social from $30.00 to $25.00 and set a “buy” rating for the company in a research report on Thursday, August 7th. Finally, Oppenheimer reduced their price target on shares of Sprout Social from $32.00 to $23.00 and set an “outperform” rating for the company in a report on Thursday, August 7th. Six equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $27.36.

Sprout Social Trading Down 3.1%

The stock has a 50 day moving average of $12.78 and a 200-day moving average of $17.23. The company has a market capitalization of $584.39 million, a P/E ratio of -10.46 and a beta of 0.88. The company has a current ratio of 1.00, a quick ratio of 1.00 and a debt-to-equity ratio of 0.08.

Sprout Social (NASDAQ:SPT) last announced its quarterly earnings data on Wednesday, November 5th. The company reported $0.23 EPS for the quarter, beating the consensus estimate of $0.16 by $0.07. Sprout Social had a negative return on equity of 25.95% and a negative net margin of 12.70%.The company had revenue of $115.59 million for the quarter, compared to the consensus estimate of $114.86 million. During the same quarter in the prior year, the company posted $0.13 EPS. Sprout Social’s quarterly revenue was up 12.7% on a year-over-year basis. Sprout Social has set its FY 2025 guidance at 0.770-0.790 EPS. Q4 2025 guidance at 0.150-0.170 EPS. On average, research analysts predict that Sprout Social, Inc. will post -0.99 EPS for the current year.

Institutional Investors Weigh In On Sprout Social

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. boosted its stake in shares of Sprout Social by 0.3% in the first quarter. Vanguard Group Inc. now owns 5,900,938 shares of the company’s stock worth $129,762,000 after acquiring an additional 14,771 shares during the last quarter. Jennison Associates LLC lifted its position in Sprout Social by 8.7% during the second quarter. Jennison Associates LLC now owns 2,392,450 shares of the company’s stock worth $50,026,000 after buying an additional 192,007 shares in the last quarter. Geode Capital Management LLC lifted its position in Sprout Social by 1.5% during the second quarter. Geode Capital Management LLC now owns 1,241,902 shares of the company’s stock worth $25,971,000 after buying an additional 18,456 shares in the last quarter. Cubist Systematic Strategies LLC lifted its position in Sprout Social by 739.6% during the second quarter. Cubist Systematic Strategies LLC now owns 714,089 shares of the company’s stock worth $14,932,000 after buying an additional 629,033 shares in the last quarter. Finally, Ameriprise Financial Inc. raised its position in Sprout Social by 25.1% in the second quarter. Ameriprise Financial Inc. now owns 708,686 shares of the company’s stock valued at $14,819,000 after purchasing an additional 142,157 shares during the period.

Sprout Social Company Profile

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.