Sprout Social (NASDAQ:SPT) Stock Gets Downgrade from Zacks Research

Posted by Brenda Bartman on Oct 14th, 2026

Sprout Social (NASDAQ:SPT – Get Free Report) was downgraded by equities researchers at Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued to investors on Monday, Zacks reports.

Other research analysts have also recently issued reports about the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Sprout Social in a report on Friday, July 17th. Barclays boosted their price target on Sprout Social from $9.00 to $12.00 and gave the company an “overweight” rating in a research note on Tuesday, August 11th. KeyCorp increased their price target on Sprout Social from $6.00 to $7.00 and gave the stock an “underweight” rating in a research report on Friday, August 7th. Morgan Stanley increased their price target on Sprout Social from $10.00 to $11.00 and gave the stock an “equal weight” rating in a research report on Thursday, August 13th. Finally, Wall Street Zen upgraded Sprout Social from a “buy” rating to a “strong-buy” rating in a research note on Saturday, August 15th. Three investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, Sprout Social currently has a consensus rating of “Hold” and an average price target of $10.43.

View Our Latest Stock Analysis on SPT

Sprout Social Price Performance

NASDAQ:SPT opened at $11.20 on Monday. Sprout Social has a 52 week low of $4.92 and a 52 week high of $12.06. The firm has a market cap of $678.61 million, a price-to-earnings ratio of -22.40 and a beta of 1.01. The firm’s 50-day simple moving average is $10.39 and its 200 day simple moving average is $8.16. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.03 and a current ratio of 1.03.

Sprout Social (NASDAQ:SPT – Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The company reported $0.26 earnings per share for the quarter, topping the consensus estimate of $0.16 by $0.10. The business had revenue of $123.85 million during the quarter, compared to analysts’ expectations of $122.19 million. Sprout Social had a negative net margin of 6.13% and a negative return on equity of 8.80%. Sprout Social has set its FY 2026 guidance at 1.110-1.150 EPS and its Q3 2026 guidance at 0.290-0.300 EPS. As a group, sell-side analysts predict that Sprout Social will post -0.02 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Justyn Howard sold 40,000 shares of the firm’s stock in a transaction on Friday, October 9th. The stock was sold at an average price of $11.02, for a total transaction of $440,800.00. Following the sale, the insider owned 7,417 shares of the company’s stock, valued at $81,735.34. This trade represents a 84.36% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 51,612 shares of company stock valued at $573,757 in the last quarter. Company insiders own 9.60% of the company’s stock.

Hedge Funds Weigh In On Sprout Social

Several large investors have recently bought and sold shares of the company. Sequoia Financial Advisors LLC bought a new stake in shares of Sprout Social during the second quarter worth about $192,000. WINTON GROUP Ltd increased its stake in shares of Sprout Social by 15.4% in the second quarter. WINTON GROUP Ltd now owns 27,000 shares of the company’s stock valued at $204,000 after buying an additional 3,600 shares during the period. Integrated Wealth Concepts LLC bought a new position in Sprout Social in the 2nd quarter valued at approximately $84,000. Squarepoint Ops LLC bought a new position in Sprout Social in the 2nd quarter valued at approximately $457,000. Finally, Proficio Capital Partners LLC bought a new position in Sprout Social in the 2nd quarter valued at approximately $119,000.

Sprout Social Company Profile

(Get Free Report)

Sprout Social, Inc (NASDAQ:SPT) provides a cloud-based social media management and analytics platform for businesses, agencies and organizations. Its software helps customers manage their social media presence, coordinate workflows and use social data to support marketing, customer care, communications and business decision-making.

The company’s platform includes tools for publishing and scheduling content, monitoring and responding to messages, analyzing social media performance, and conducting social listening.