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

Sprout Social (NASDAQ:SPT) updated its FY 2026 earnings guidance on Thursday. The company provided EPS guidance of 0.880-0.970 for the period, compared to the consensus EPS estimate of 0.290. The company issued revenue guidance of $490.2 million-$495.2 million, compared to the consensus revenue estimate of $485.5 million. Sprout Social also updated its Q1 2026 guidance to 0.150-0.160 EPS.

Sprout Social Stock Up 5.2%

Shares of SPT stock traded up $0.35 during trading on Thursday, reaching $7.11. The company’s stock had a trading volume of 2,321,120 shares, compared to its average volume of 1,540,690. Sprout Social has a 1-year low of $6.43 and a 1-year high of $29.01. The stock’s 50-day moving average price is $9.30 and its 200 day moving average price is $11.21. The company has a market capitalization of $420.84 million, a price-to-earnings ratio of -8.78 and a beta of 0.90. The company has a debt-to-equity ratio of 0.23, a current ratio of 0.89 and a quick ratio of 0.89.

Sprout Social (NASDAQ:SPT) last released its earnings results on Thursday, February 26th. The company reported $0.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.16 by $0.04. The company had revenue of $120.89 million for the quarter, compared to analyst estimates of $118.68 million. Sprout Social had a negative net margin of 10.59% and a negative return on equity of 18.93%. 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, research analysts anticipate that Sprout Social will post -0.99 EPS for the current year.

Analyst Upgrades and Downgrades

SPT has been the subject of several analyst reports. Jefferies Financial Group lowered their target price on Sprout Social from $15.00 to $12.00 and set a “buy” rating for the company in a research note on Tuesday, February 3rd. Barclays decreased their price objective on Sprout Social from $26.00 to $13.00 and set an “overweight” rating for the company in a research note on Monday, January 12th. Weiss Ratings restated a “sell (e+)” rating on shares of Sprout Social in a research note on Thursday, January 22nd. Canaccord Genuity Group reduced their target price on shares of Sprout Social from $25.00 to $16.00 and set a “buy” rating on the stock in a report on Friday, November 7th. Finally, Morgan Stanley decreased their price target on shares of Sprout Social from $17.00 to $14.00 and set an “equal weight” rating for the company in a research note on Thursday, November 13th. Five equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Sprout Social has a consensus rating of “Hold” and a consensus target price of $20.00.

Insider Buying and Selling

In other news, CEO Ryan Paul Barretto acquired 93,984 shares of the company’s stock in a transaction on Friday, January 9th. The shares were bought 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 owned 875,256 shares in the company, valued at $9,338,981.52. This trade represents a 12.03% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Aaron Edward Frederick Rankin bought 90,661 shares of the business’s stock in a transaction dated Wednesday, December 17th. The shares were purchased 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 of the company’s stock, valued at approximately $1,280,754.66. This represents a 372.97% increase in their position. The disclosure for this purchase is available in the SEC filing. 10.12% of the stock is owned by company insiders.

Institutional Trading of Sprout Social

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. State Street Corp lifted its position in Sprout Social by 8.2% during the 4th quarter. State Street Corp now owns 1,546,142 shares of the company’s stock worth $17,425,000 after acquiring an additional 117,757 shares during the period. Geode Capital Management LLC raised its stake in shares of Sprout Social by 11.0% during the fourth quarter. Geode Capital Management LLC now owns 1,254,451 shares of the company’s stock worth $14,141,000 after purchasing an additional 123,983 shares during the last quarter. First Trust Advisors LP lifted its holdings in shares of Sprout Social by 14.5% during the fourth quarter. First Trust Advisors LP now owns 1,028,538 shares of the company’s stock worth $11,592,000 after purchasing an additional 130,447 shares during the period. Qube Research & Technologies Ltd grew its position in Sprout Social by 61.0% in the 3rd quarter. Qube Research & Technologies Ltd now owns 1,022,426 shares of the company’s stock valued at $13,210,000 after buying an additional 387,541 shares during the last quarter. Finally, Federated Hermes Inc. increased its stake in Sprout Social by 40.0% in the 4th quarter. Federated Hermes Inc. now owns 974,080 shares of the company’s stock valued at $10,978,000 after buying an additional 278,449 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.