Sprout Social (NASDAQ:SPT) Hits New 52-Week Low – Time to Sell?

Sprout Social, Inc. (NASDAQ:SPT)’s share price reached a new 52-week low during trading on Tuesday . The stock traded as low as $12.13 and last traded at $12.26, with a volume of 1648121 shares changing hands. The stock had previously closed at $12.49.

Analyst Upgrades and Downgrades

SPT has been the subject of several recent analyst reports. Zacks Research cut Sprout Social from a “strong-buy” rating to a “hold” rating in a report on Wednesday, August 13th. The Goldman Sachs Group dropped their price target on shares of Sprout Social from $24.00 to $21.00 and set a “neutral” rating for the company in a research report on Thursday, August 7th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Sprout Social in a research note on Saturday, September 27th. Canaccord Genuity Group lowered their price objective on shares of Sprout Social from $30.00 to $25.00 and set a “buy” rating for the company in a research note on Thursday, August 7th. Finally, Oppenheimer cut their target price on Sprout Social from $32.00 to $23.00 and set an “outperform” rating on the stock in a research report on Thursday, August 7th. Six investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $27.36.

Sprout Social Price Performance

The company’s fifty day moving average is $14.74 and its two-hundred day moving average is $18.81. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.00 and a current ratio of 1.00. The firm has a market cap of $721.01 million, a price-to-earnings ratio of -12.91 and a beta of 0.84.

Sprout Social (NASDAQ:SPT) last released its quarterly earnings data on Wednesday, August 6th. The company reported $0.18 EPS for the quarter, beating the consensus estimate of $0.15 by $0.03. The company had revenue of $111.78 million for the quarter, compared to analyst estimates of $110.93 million. Sprout Social had a negative return on equity of 25.95% and a negative net margin of 12.70%.The firm’s revenue was up 12.5% compared to the same quarter last year. During the same period last year, the company posted $0.09 earnings per share. Equities research analysts forecast that Sprout Social, Inc. will post -0.99 EPS for the current year.

Insider Activity

In related news, Director Karen Walker sold 5,000 shares of the business’s stock in a transaction that occurred on Monday, July 14th. The stock was sold at an average price of $19.05, for a total transaction of $95,250.00. Following the transaction, the director directly owned 28,963 shares of the company’s stock, valued at approximately $551,745.15. The trade was a 14.72% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, insider Justyn Russell Howard sold 20,000 shares of the stock in a transaction that occurred on Friday, September 5th. The shares were sold at an average price of $14.94, for a total transaction of $298,800.00. Following the completion of the sale, the insider directly owned 7,417 shares of the company’s stock, valued at $110,809.98. This trade represents a 72.95% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 35,566 shares of company stock worth $554,231. Company insiders own 10.12% of the company’s stock.

Hedge Funds Weigh In On Sprout Social

A number of institutional investors have recently added to or reduced their stakes in SPT. Quarry LP lifted its stake in Sprout Social by 85.2% during the first quarter. Quarry LP now owns 1,463 shares of the company’s stock worth $32,000 after purchasing an additional 673 shares during the last quarter. First Horizon Advisors Inc. raised its holdings 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 period. PNC Financial Services Group Inc. raised its holdings in shares of Sprout Social by 8.7% during the first quarter. PNC Financial Services Group Inc. now owns 9,367 shares of the company’s stock worth $206,000 after purchasing an additional 747 shares during the period. Rhumbline Advisers raised its stake in Sprout Social by 1.6% during the second quarter. Rhumbline Advisers now owns 78,240 shares of the company’s stock worth $1,636,000 after acquiring an additional 1,264 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in Sprout Social by 2.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 53,127 shares of the company’s stock valued at $1,168,000 after acquiring an additional 1,265 shares during the period.

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.