Sprout Social (NASDAQ:SPT) Hits New 1-Year Low – Time to Sell?

Sprout Social, Inc. (NASDAQ:SPT)’s share price hit a new 52-week low during trading on Tuesday . The stock traded as low as $10.75 and last traded at $10.83, with a volume of 2010 shares traded. The stock had previously closed at $10.96.

Analysts Set New Price Targets

Several research analysts recently weighed in on the company. Canaccord Genuity Group dropped their price target on Sprout Social from $30.00 to $25.00 and set a “buy” rating on the stock in a research report on Thursday, August 7th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Sprout Social in a report on Wednesday, October 8th. The Goldman Sachs Group reduced 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. Oppenheimer lowered their price objective on shares of Sprout Social from $32.00 to $23.00 and set an “outperform” rating on the stock in a research report on Thursday, August 7th. Finally, Zacks Research lowered shares of Sprout Social from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, August 13th. Six research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Sprout Social currently has an average rating of “Hold” and an average target price of $27.36.

Sprout Social Trading Up 1.2%

The company has a 50 day moving average of $13.93 and a 200 day moving average of $18.26. The firm has a market cap of $659.26 million, a P/E ratio of -11.80 and a beta of 0.84. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.00 and a current ratio of 1.00.

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

Insider Buying and Selling

In other Sprout Social news, insider Justyn Russell Howard sold 20,000 shares of the stock in a transaction on Tuesday, October 7th. The shares were sold at an average price of $11.81, for a total transaction of $236,200.00. Following the transaction, the insider directly owned 7,417 shares of the company’s stock, valued at $87,594.77. This represents a 72.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Insiders have sold 50,566 shares of company stock worth $695,181 over the last 90 days. Corporate insiders own 10.12% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Cubist Systematic Strategies LLC lifted its holdings in Sprout Social by 739.6% in the 2nd quarter. Cubist Systematic Strategies LLC now owns 714,089 shares of the company’s stock worth $14,932,000 after purchasing an additional 629,033 shares during the last quarter. Nuveen LLC bought a new position in shares of Sprout Social in the first quarter valued at approximately $13,131,000. Norges Bank acquired a new stake in shares of Sprout Social in the second quarter worth $10,694,000. Canada Pension Plan Investment Board boosted its holdings in shares of Sprout Social by 20,382.0% during the 2nd quarter. Canada Pension Plan Investment Board now owns 471,087 shares of the company’s stock worth $9,850,000 after buying an additional 468,787 shares during the period. Finally, Federated Hermes Inc. boosted its holdings in shares of Sprout Social by 182.3% during the 2nd quarter. Federated Hermes Inc. now owns 687,234 shares of the company’s stock worth $14,370,000 after buying an additional 443,774 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.