These Analysts Cut Their Forecasts On Sprout Social After Q4 Earnings

Sprout Social +1.07%

Sprout Social

SPT

5.66

+1.07%

Sprout Social Inc (NASDAQ:SPT) on Thursday reported upbeat earnings for the fourth quarter.

The company posted quarterly earnings of 20 cents per share which beat the analyst consensus estimate of 16 cents per share. The company reported quarterly sales of $120.887 million which beat the analyst consensus estimate of $118.767 million.

Sprout Social said it sees FY2026 adjusted EPS of 88 cents to 97 cents, versus market estimates of 90 cents. The company projects sales of $490.200 million to $495.200 million, versus expectations of $506.572 million.

“Our team delivered strong results in the fourth quarter, highlighted by 15% total RPO growth and strong non-GAAP profitability,” said Ryan Barretto, CEO of Sprout Social. “We are announcing a new operating goal of reaching 30% on a non-GAAP basis against a Rule of 40 framework by fourth quarter 2027 as well as making continued investments to expand our reach deeper into the $30K+ customer segment, which has been a solid success for Sprout Social.”

Sprout Social shares fell 7.8% to $6.55 in pre-market trading.

These analysts made changes to their price targets on Sprout Social following earnings announcement.

  • Needham analyst Scott Berg maintained Sprout Social with a Buy and lowered the price target from $32 to $14.
  • Canaccord Genuity analyst David Hynes downgraded the stock from Buy to Hold and lowered the price target from $16 to $9.

Considering buying CL stock? Here’s what analysts think:

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