The Goldman Sachs Group Has Lowered Expectations for Sprout Social (NASDAQ:SPT) Stock Price

Sprout Social (NASDAQ:SPT) had its price objective dropped by equities researchers at The Goldman Sachs Group from $13.00 to $8.00 in a research note issued on Monday,Benzinga reports. The brokerage presently has a “neutral” rating on the stock. The Goldman Sachs Group’s price target would suggest a potential upside of 16.79% from the company’s current price.

A number of other analysts have also recently weighed in on the stock. Barclays cut their price objective on shares of Sprout Social from $26.00 to $13.00 and set an “overweight” rating on the stock in a report on Monday, January 12th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Sprout Social in a research report on Thursday, January 22nd. Needham & Company LLC reduced their price target on shares of Sprout Social from $32.00 to $14.00 and set a “buy” rating for the company in a research report on Friday, February 27th. Wall Street Zen downgraded shares of Sprout Social from a “buy” rating to a “hold” rating in a research note on Saturday. Finally, Morgan Stanley dropped their price objective on Sprout Social from $17.00 to $14.00 and set an “equal weight” rating on the stock in a report on Thursday, November 13th. Four research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $13.67.

Sprout Social Stock Performance

NASDAQ:SPT opened at $6.85 on Monday. Sprout Social has a 12 month low of $6.03 and a 12 month high of $27.04. The company has a debt-to-equity ratio of 0.23, a current ratio of 0.89 and a quick ratio of 0.89. The firm has a market capitalization of $405.45 million, a PE ratio of -9.26 and a beta of 0.94. The business’s fifty day moving average price is $8.93 and its 200 day moving average price is $10.99.

Sprout Social (NASDAQ:SPT) last released its quarterly earnings data on Thursday, February 26th. The company reported $0.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.16 by $0.04. Sprout Social had a negative return on equity of 16.51% and a negative net margin of 9.47%.The business had revenue of $120.89 million during the quarter, compared to analysts’ expectations of $118.68 million. Sprout Social has set its FY 2026 guidance at 0.880-0.970 EPS and its Q1 2026 guidance at 0.150-0.160 EPS. On average, sell-side analysts anticipate that Sprout Social will post -0.99 earnings per share for the current fiscal year.

Insider Buying and Selling at Sprout Social

In related news, CEO Ryan Paul Barretto purchased 93,984 shares of the stock in a transaction that occurred on Friday, January 9th. The shares were purchased at an average price of $10.67 per share, with a total value of $1,002,809.28. Following the completion of the acquisition, the chief executive officer directly owned 875,256 shares in the company, valued at $9,338,981.52. This represents a 12.03% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Aaron Edward Frederick Rankin purchased 90,661 shares of the company’s stock in a transaction that occurred on Wednesday, December 17th. The stock was bought at an average price of $11.14 per share, for a total transaction of $1,009,963.54. Following the transaction, the director directly owned 114,969 shares in the company, valued at $1,280,754.66. This trade represents a 372.97% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 10.12% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the stock. First Horizon Advisors Inc. raised its stake in shares of Sprout Social by 78.9% during the second quarter. First Horizon Advisors Inc. now owns 1,531 shares of the company’s stock worth $32,000 after purchasing an additional 675 shares during the last quarter. State of Alaska Department of Revenue purchased a new position in Sprout Social in the 3rd quarter valued at $30,000. Quadrant Capital Group LLC acquired a new position in Sprout Social in the 4th quarter valued at $28,000. Summit Securities Group LLC raised its position in Sprout Social by 399.0% during the 4th quarter. Summit Securities Group LLC now owns 2,520 shares of the company’s stock worth $28,000 after buying an additional 2,015 shares during the last quarter. Finally, Versant Capital Management Inc raised its position in Sprout Social by 2,754.5% during the 3rd quarter. Versant Capital Management Inc now owns 3,511 shares of the company’s stock worth $45,000 after buying an additional 3,388 shares during the last quarter.

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.