Sprout Social (NASDAQ:SPT) Shares Break Above 50-Day Moving Average – Should You Sell?

Shares of Sprout Social, Inc. (NASDAQ:SPT) passed above its 50 day moving average during trading on Monday. The stock has a 50 day moving average of $11.09 and traded as high as $11.23. Sprout Social shares last traded at $11.12, with a volume of 863,588 shares traded.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on SPT shares. Weiss Ratings reissued a “sell (e+)” rating on shares of Sprout Social in a research note on Thursday, October 15th. Morgan Stanley lifted their price objective on shares of Sprout Social from $10.00 to $11.00 and gave the company an “equal weight” rating in a research note on Thursday, August 13th. Zacks Research downgraded shares of Sprout Social from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 12th. Needham & Company LLC reiterated a “buy” rating and set a $14.00 target price on shares of Sprout Social in a research report on Wednesday, November 4th. Finally, Wall Street Zen raised shares of Sprout Social from a “buy” rating to a “strong-buy” rating in a research note on Saturday, August 15th. Four equities 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’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $12.17.

Sprout Social Trading Up 2.4%

The company has a debt-to-equity ratio of 0.16, a current ratio of 0.91 and a quick ratio of 0.91. The firm has a fifty day simple moving average of $11.08 and a 200-day simple moving average of $8.32. The firm has a market cap of $691.33 million, a P/E ratio of -25.36, a price-to-earnings-growth ratio of 1.15 and a beta of 0.95.

Sprout Social (NASDAQ:SPT) last released its quarterly earnings data on Tuesday, November 3rd. The company reported $0.45 EPS for the quarter, beating the consensus estimate of $0.29 by $0.16. Sprout Social had a positive return on equity of 1.11% and a negative net margin of 5.42%. The firm had revenue of $125.15 million during the quarter, compared to the consensus estimate of $123.83 million. On average, equities research analysts expect that Sprout Social, Inc. will post 0.33 earnings per share for the current year.

Insider Buying and Selling at Sprout Social

In other news, insider Justyn Howard sold 40,000 shares of the business’s stock in a transaction dated Friday, October 9th. The shares were sold at an average price of $11.02, for a total transaction of $440,800.00. Following the completion of the sale, the insider directly owned 7,417 shares of the company’s stock, valued at $81,735.34. The trade was a 84.36% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 51,612 shares of company stock valued at $573,757 over the last 90 days. 9.60% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Sprout Social

Hedge funds have recently added to or reduced their stakes in the stock. Signaturefd LLC raised its stake in shares of Sprout Social by 33.8% in the third quarter. Signaturefd LLC now owns 3,510 shares of the company’s stock worth $34,000 after purchasing an additional 886 shares during the last quarter. Parallel Advisors LLC lifted its holdings in shares of Sprout Social by 341.9% in the third quarter. Parallel Advisors LLC now owns 4,406 shares of the company’s stock valued at $43,000 after purchasing an additional 3,409 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. purchased a new position in shares of Sprout Social during the third quarter valued at approximately $59,000. GAMMA Investing LLC boosted its position in shares of Sprout Social by 115.8% during the second quarter. GAMMA Investing LLC now owns 6,368 shares of the company’s stock valued at $48,000 after buying an additional 3,417 shares during the last quarter. Finally, Essential Partners LLC grew its holdings in Sprout Social by 724.9% during the first quarter. Essential Partners LLC now owns 6,550 shares of the company’s stock worth $37,000 after buying an additional 5,756 shares in the last quarter.

About Sprout Social

Sprout Social, Inc. provides cloud-based software that helps organizations manage their social media presence. Its platform supports activities such as publishing and scheduling content, engaging with audiences, monitoring social conversations, and analyzing social media performance. The company’s tools also include social listening, customer care, and employee advocacy capabilities. Sprout Social serves businesses and agencies across a range of industries, helping teams coordinate social media work and gather insights from interactions across social networks.