Sprout Social (NASDAQ:SPT) Shares Down 6% – Here's Why

Sprout Social, Inc. (NASDAQ:SPT ) was down 6% during mid-day trading on Tuesday . The stock traded as low as $10.71 and last traded at $10.68. Approximately 262,383 shares traded hands during mid-day trading, a decline of 82% from the average daily volume of 1,487,569 shares. The stock had previously closed at $11.36. A number of equities research analysts recently weighed in on the stock. Morgan Stanley boosted their price target on shares of Sprout Social from $10.00 to $11.00 and gave the stock an 'equal weight' rating in a research note on Thursday, August 13th. Zacks Research raised shares of Sprout Social from a 'hold' rating to a 'strong-buy' rating in a report on Monday, August 10th. KeyCorp increased their price target on Sprout Social from $6.00 to $7.00 and gave the company an 'underweight' rating in a research note on Friday, August 7th. Wall Street Zen upgraded Sprout Social from a 'buy' rating to a 'strong-buy' rating in a research report on Saturday, August 15th. Finally, Barclays lifted their price objective on Sprout Social from $9.00 to $12.00 and gave the stock an 'overweight' rating in a research note on Tuesday, August 11th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of 'Hold' and an average price target of $10.43. Get Our Latest Stock Report on Sprout Social Sprout Social (NASDAQ:SPT ) last posted its earnings results 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. Sprout Social had a negative net margin of 6.13% and a negative return on equity of 8.80%. The company had revenue of $123.85 million for the quarter, compared to analyst estimates of $122.19 million. 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. On average, analysts forecast that Sprout Social, Inc. will post -0.02 EPS for the current year. In other Sprout Social news, insider Justyn Howard sold 40,000 shares of the stock in a transaction dated Friday, July 10th. The stock was sold at an average price of $8.28, for a total value of $331,200.00. Following the completion of the sale, the insider directly owned 7,417 shares in the company, valued at $61,412.76. This represents a 84.36% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 51,612 shares of company stock valued at $464,157 over the last ninety days. 9.60% of the stock is currently owned by insiders. A number of large investors have recently bought and sold shares of the business. Vanguard Group Inc. lifted its holdings in shares of Sprout Social by 4.2% in the fourth quarter. Vanguard Group Inc. now owns 6,822,928 shares of the company's stock valued at $76,894,000 after purchasing an additional 274,527 shares in the last quarter. Pale Fire Capital SE bought a new position in shares of Sprout Social during the first quarter worth about $1,960,000. Arrowstreet Capital Limited Partnership raised its position in Sprout Social by 46.9% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 442,496 shares of the company's stock valued at $2,522,000 after buying an additional 141,258 shares during the last quarter. Nano Cap New Millennium Growth Fund L P acquired a new stake in Sprout Social in the 4th quarter valued at approximately $2,564,000. Finally, Brighton Jones LLC lifted its stake in Sprout Social by 391.7% in the 4th quarter. Brighton Jones LLC now owns 35,985 shares of the company's stock valued at $1,105,000 after acquiring an additional 28,667 shares in the last quarter. 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.