Sprout Social (NASDAQ:SPT) Sets New 1-Year Low After Analyst Downgrade

Sprout Social, Inc. (NASDAQ:SPT)’s share price reached a new 52-week low during trading on Friday after Canaccord Genuity Group lowered their price target on the stock from $70.00 to $50.00. Canaccord Genuity Group currently has a buy rating on the stock. Sprout Social traded as low as $29.64 and last traded at $30.08, with a volume of 5810943 shares changing hands. The stock had previously closed at $48.15.

Other research analysts have also issued reports about the stock. Barclays decreased their price target on shares of Sprout Social from $72.00 to $50.00 and set an “overweight” rating for the company in a report on Friday. The Goldman Sachs Group cut Sprout Social from a “buy” rating to a “neutral” rating and cut their price target for the company from $80.00 to $44.00 in a report on Friday. Needham & Company LLC reduced their price objective on Sprout Social from $75.00 to $55.00 and set a “buy” rating for the company in a research report on Friday. Piper Sandler cut Sprout Social from an “overweight” rating to a “neutral” rating and lowered their target price for the company from $66.00 to $40.00 in a research report on Friday. Finally, Stifel Nicolaus lifted their target price on Sprout Social from $60.00 to $70.00 and gave the company a “buy” rating in a research note on Friday, January 19th. Seven research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $57.07.

Insider Transactions at Sprout Social

In other Sprout Social news, CFO Preto Joseph Del sold 1,500 shares of the firm’s stock in a transaction dated Monday, February 5th. The stock was sold at an average price of $59.71, for a total transaction of $89,565.00. Following the completion of the sale, the chief financial officer now directly owns 127,322 shares in the company, valued at approximately $7,602,396.62. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. In other Sprout Social news, CFO Preto Joseph Del sold 1,500 shares of the stock in a transaction that occurred on Monday, February 5th. The shares were sold at an average price of $59.71, for a total value of $89,565.00. Following the completion of the sale, the chief financial officer now owns 127,322 shares in the company, valued at approximately $7,602,396.62. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, President Ryan Paul Barretto sold 5,600 shares of Sprout Social stock in a transaction on Monday, February 5th. The shares were sold at an average price of $59.63, for a total transaction of $333,928.00. Following the sale, the president now directly owns 209,375 shares of the company’s stock, valued at approximately $12,485,031.25. The disclosure for this sale can be found here. Insiders sold a total of 140,200 shares of company stock valued at $8,171,958 over the last quarter. Company insiders own 10.97% of the company’s stock.

Hedge Funds Weigh In On Sprout Social

A number of hedge funds have recently added to or reduced their stakes in the company. Fidelis Capital Partners LLC acquired a new position in Sprout Social during the first quarter worth $27,000. RiverPark Advisors LLC acquired a new position in shares of Sprout Social during the 3rd quarter valued at about $37,000. Guinness Atkinson Asset Management Inc bought a new position in shares of Sprout Social in the 3rd quarter valued at approximately $40,000. DekaBank Deutsche Girozentrale bought a new position in shares of Sprout Social in the 3rd quarter valued at approximately $47,000. Finally, Arcadia Investment Management Corp MI lifted its holdings in Sprout Social by 36.7% in the 4th quarter. Arcadia Investment Management Corp MI now owns 1,047 shares of the company’s stock worth $64,000 after purchasing an additional 281 shares during the last quarter.

Sprout Social Stock Down 40.1 %

The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.38. The business has a 50-day simple moving average of $55.98 and a 200-day simple moving average of $56.71. The stock has a market cap of $1.62 billion, a P/E ratio of -23.06 and a beta of 1.09.

Sprout Social (NASDAQ:SPT) last announced its earnings results on Tuesday, February 20th. The company reported ($0.32) EPS for the quarter, missing the consensus estimate of ($0.30) by ($0.02). Sprout Social had a negative return on equity of 42.60% and a negative net margin of 19.64%. The firm had revenue of $93.58 million during the quarter, compared to the consensus estimate of $90.76 million. Analysts expect that Sprout Social, Inc. will post -1.17 EPS for the current year.

About Sprout Social

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.