Sprout Social (NASDAQ:SPT) Releases FY 2026 Earnings Guidance

Sprout Social (NASDAQ:SPT) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share guidance of 0.880-0.970 for the period, compared to the consensus earnings per share estimate of 0.650. The company issued revenue guidance of $492.5 million-$495.5 million, compared to the consensus revenue estimate of $493.1 million. Sprout Social also updated its Q2 2026 guidance to 0.150-0.160 EPS.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on SPT. Canaccord Genuity Group reiterated a “hold” rating and issued a $9.00 target price (down from $16.00) on shares of Sprout Social in a research note on Friday, February 27th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Sprout Social in a report on Tuesday, April 21st. Jefferies Financial Group dropped their price objective on shares of Sprout Social from $15.00 to $12.00 and set a “buy” rating on the stock in a report on Tuesday, February 3rd. Needham & Company LLC lowered their price target on shares of Sprout Social from $32.00 to $14.00 and set a “buy” rating on the stock in a report on Friday, February 27th. Finally, Wall Street Zen raised shares of Sprout Social from a “hold” rating to a “buy” rating in a report on Sunday, March 8th. Four research 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. According to MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $13.11.

Sprout Social Price Performance

NASDAQ SPT traded up $0.60 on Friday, reaching $7.40. 4,669,853 shares of the company’s stock traded hands, compared to its average volume of 1,355,016. The company has a debt-to-equity ratio of 0.20, a current ratio of 0.93 and a quick ratio of 0.93. Sprout Social has a 12 month low of $4.92 and a 12 month high of $25.48. The stock has a market cap of $440.74 million, a PE ratio of -11.21 and a beta of 0.94. The stock has a 50-day simple moving average of $5.94 and a 200 day simple moving average of $8.48.

Sprout Social (NASDAQ:SPT) last issued its earnings results on Thursday, May 7th. The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.16 by $0.07. Sprout Social had a negative net margin of 8.18% and a negative return on equity of 14.28%. The firm had revenue of $121.50 million for the quarter, compared to analysts’ expectations of $120.33 million. Sprout Social has set its Q2 2026 guidance at 0.150-0.160 EPS and its FY 2026 guidance at 0.880-0.970 EPS. As a group, research analysts predict that Sprout Social will post -0.39 earnings per share for the current year.

Insider Activity

In other news, insider Justyn Russell Howard sold 40,000 shares of the firm’s stock in a transaction that occurred on Friday, April 10th. The shares were sold at an average price of $5.03, for a total value of $201,200.00. Following the transaction, the insider owned 7,417 shares in the company, valued at approximately $37,307.51. This trade represents a 84.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 103,855 shares of company stock valued at $600,860 in the last quarter. 9.60% of the stock is currently owned by company insiders.

Key Stories Impacting Sprout Social

Here are the key news stories impacting Sprout Social this week:

• Positive Sentiment: Q1 earnings beat estimates, with EPS of $0.23 versus the $0.16 consensus, while revenue of $121.5 million also topped forecasts. Sprout Social (SPT) Q1 Earnings and Revenues Top Estimates
• Positive Sentiment: The company raised its FY 2026 outlook, guiding for EPS of $0.88 to $0.97 and revenue of $492.5 million to $495.5 million, both above consensus estimates. Sprout Social Announces First Quarter 2026 Financial Results
• Positive Sentiment: Second-quarter guidance also came in slightly above expectations, with EPS of $0.15 to $0.16 and revenue of $121.7 million to $122.5 million versus a lower Street forecast. Sprout Social Announces First Quarter 2026 Financial Results
• Neutral Sentiment: Management said subscription revenue tied to customers with at least $30K in annual recurring revenue grew 21% year over year, and it authorized a new $50 million share repurchase program, which may support sentiment but is not an immediate earnings driver. Sprout Social Announces First Quarter 2026 Financial Results
• Negative Sentiment: Despite the stronger report, Sprout Social remains unprofitable, with negative net margin and negative return on equity, which could temper upside. Sprout Social stock page

Institutional Trading of Sprout Social

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Quadrant Capital Group LLC purchased a new stake in Sprout Social in the fourth quarter worth $28,000. Summit Securities Group LLC lifted its stake in Sprout Social by 399.0% in the fourth quarter. Summit Securities Group LLC now owns 2,520 shares of the company’s stock worth $28,000 after acquiring an additional 2,015 shares during the period. Quarry LP lifted its stake in Sprout Social by 264.2% in the third quarter. Quarry LP now owns 3,784 shares of the company’s stock worth $49,000 after acquiring an additional 2,745 shares during the period. Kestra Advisory Services LLC purchased a new stake in Sprout Social in the fourth quarter worth $54,000. Finally, Russell Investments Group Ltd. lifted its stake in Sprout Social by 39.1% in the fourth quarter. Russell Investments Group Ltd. now owns 6,235 shares of the company’s stock worth $70,000 after acquiring an additional 1,752 shares during the period.

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.