Sprout Social (NASDAQ:SPT) Stock Price Up 7% – What’s Next?

Sprout Social, Inc. (NASDAQ:SPT)’s share price traded up 7% on Thursday. The company traded as high as $10.38 and last traded at $10.4540. 331,410 shares traded hands during trading, a decline of 77% from the average session volume of 1,455,118 shares. The stock had previously closed at $9.77.

Analyst Upgrades and Downgrades

SPT has been the subject of several recent analyst reports. Zacks Research raised shares of Sprout Social from a “hold” rating to a “strong-buy” rating in a report on Monday, August 10th. Morgan Stanley lifted their price target on shares of Sprout Social from $10.00 to $11.00 and gave the stock an “equal weight” rating in a research note on Thursday, August 13th. Barclays increased 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. KeyCorp lifted their price target on shares of Sprout Social from $6.00 to $7.00 and gave the company an “underweight” rating in a report on Friday, August 7th. Finally, Wall Street Zen raised Sprout Social from a “buy” rating to a “strong-buy” rating in a research note on Saturday, August 15th. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $10.43.

Sprout Social Trading Down 2.8%

The company has a debt-to-equity ratio of 0.14, a current ratio of 1.03 and a quick ratio of 1.03. The firm has a market capitalization of $611.35 million, a price-to-earnings ratio of -20.18 and a beta of 1.01. The business has a 50 day moving average of $10.09 and a 200 day moving average of $7.90.

Sprout Social (NASDAQ:SPT) last posted its earnings results on Thursday, August 6th. The company reported $0.26 earnings per share 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 company had revenue of $123.85 million for 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, research analysts predict that Sprout Social, Inc. will post -0.02 earnings per share for the current fiscal year.

Insider Transactions at Sprout Social

In other Sprout Social news, insider Justyn Howard sold 10,895 shares of the firm’s stock in a transaction that occurred on Wednesday, September 2nd. The shares were sold at an average price of $11.45, for a total transaction of $124,747.75. Following the sale, the insider directly owned 239,840 shares in the company, valued at approximately $2,746,168. This trade represents a 4.35% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 51,612 shares of company stock worth $464,157. 9.60% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Haveli Investment Management LLC acquired a new stake in shares of Sprout Social in the 2nd quarter valued at about $16,405,033. LB Partners LLC boosted its position in shares of Sprout Social by 144.7% during the first quarter. LB Partners LLC now owns 1,510,979 shares of the company’s stock worth $8,613,000 after buying an additional 893,502 shares during the period. Y Intercept Hong Kong Ltd boosted its position in shares of Sprout Social by 252.2% during the first quarter. Y Intercept Hong Kong Ltd now owns 626,762 shares of the company’s stock worth $3,573,000 after buying an additional 448,783 shares during the period. Pale Fire Capital SE bought a new position in shares of Sprout Social during the first quarter worth about $1,960,000. Finally, Renaissance Technologies LLC grew its holdings in shares of Sprout Social by 79.4% during the first quarter. Renaissance Technologies LLC now owns 727,762 shares of the company’s stock worth $4,148,000 after buying an additional 322,200 shares in the last quarter.

About Sprout Social

Sprout Social, Inc (NASDAQ:SPT) provides a cloud-based social media management and analytics platform for businesses, agencies and organizations. Its software helps customers manage their social media presence, coordinate workflows and use social data to support marketing, customer care, communications and business decision-making.

The company’s platform includes tools for publishing and scheduling content, monitoring and responding to messages, analyzing social media performance, and conducting social listening.