Sprout Social (NASDAQ:SPT) Issues FY24 Earnings Guidance

Sprout Social (NASDAQ:SPT) issued an update on its FY24 earnings guidance on Thursday morning. The company provided EPS guidance of $0.45-$0.46 for the period, compared to the consensus EPS estimate of $0.23. The company issued revenue guidance of $405-$406 million, compared to the consensus revenue estimate of $425.52 million. Sprout Social also updated its Q2 guidance to $0.07-$0.08 EPS.

Sprout Social Trading Down 40.1 %

SPT stock traded down $19.33 during mid-day trading on Friday, hitting $28.82. 13,470,229 shares of the company were exchanged, compared to its average volume of 679,800. The business has a fifty day simple moving average of $55.98 and a 200-day simple moving average of $56.80. The firm has a market capitalization of $1.62 billion, a P/E ratio of -23.06 and a beta of 1.09. Sprout Social has a 12-month low of $27.85 and a 12-month high of $68.41. The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.38.

Sprout Social (NASDAQ:SPT) last announced its earnings results on Tuesday, February 20th. The company reported ($0.32) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.30) by ($0.02). Sprout Social had a negative net margin of 19.64% and a negative return on equity of 42.60%. The firm had revenue of $93.58 million during the quarter, compared to analysts’ expectations of $90.76 million. On average, equities research analysts predict that Sprout Social will post -1.17 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of brokerages recently commented on SPT. Robert W. Baird cut Sprout Social from an outperform rating to a neutral rating and lowered their target price for the company from $72.00 to $45.00 in a report on Friday. BTIG Research lowered shares of Sprout Social from a buy rating to a neutral rating in a research note on Friday. The Goldman Sachs Group downgraded shares of Sprout Social from a buy rating to a neutral rating and cut their target price for the stock from $80.00 to $44.00 in a research note on Friday. Morgan Stanley decreased their price target on shares of Sprout Social from $65.00 to $49.00 and set an equal weight rating for the company in a research report on Friday. Finally, KeyCorp lowered Sprout Social from an overweight rating to a sector weight rating in a research report on Friday. Seven investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company’s stock. According to data from MarketBeat.com, Sprout Social has a consensus rating of Moderate Buy and a consensus target price of $57.07.

Insider Buying and Selling at Sprout Social

In related news, President Ryan Paul Barretto sold 5,600 shares of the business’s stock in a transaction that occurred on Monday, February 5th. The stock was sold at an average price of $59.63, for a total transaction of $333,928.00. Following the completion of the sale, the president now owns 209,375 shares in the company, valued at $12,485,031.25. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. In related news, Director Aaron Edward Frederick Rankin sold 44,000 shares of the business’s stock in a transaction on Monday, February 5th. The shares were sold at an average price of $59.60, for a total value of $2,622,400.00. Following the completion of the sale, the director now directly owns 40,888 shares of the company’s stock, valued at $2,436,924.80. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, President Ryan Paul Barretto sold 5,600 shares of the firm’s stock in a transaction dated Monday, February 5th. The stock was sold at an average price of $59.63, for a total value of $333,928.00. Following the transaction, the president now directly owns 209,375 shares in the company, valued at approximately $12,485,031.25. The disclosure for this sale can be found here. Insiders have sold a total of 140,200 shares of company stock worth $8,171,958 over the last ninety days. Corporate insiders own 10.97% of the company’s stock.

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.