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Sprout Social (NASDAQ:SPT) Stock Price Down 7.6% on Analyst Downgrade

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Sprout Social, Inc. (NASDAQ:SPT)’s stock price traded down 7.6% on Thursday after Barclays lowered their price target on the stock from $162.00 to $92.00. The company traded as low as $68.44 and last traded at $68.91. 5,724 shares changed hands during mid-day trading, a decline of 99% from the average session volume of 556,215 shares. The stock had previously closed at $74.57.

A number of other equities research analysts have also commented on the company. BTIG Research raised their price objective on Sprout Social from $110.00 to $150.00 and gave the stock a “buy” rating in a research report on Monday, September 20th. William Blair restated a “buy” rating on shares of Sprout Social in a research report on Thursday, September 23rd. Needham & Company LLC raised their price objective on Sprout Social from $110.00 to $160.00 and gave the stock a “buy” rating in a research report on Thursday, September 23rd. Morgan Stanley decreased their price objective on Sprout Social from $146.00 to $110.00 and set an “equal weight” rating for the company in a research report on Thursday, December 16th. Finally, lifted their price target on Sprout Social from $100.00 to $155.00 and gave the company a “buy” rating in a report on Thursday, September 23rd. Two investment analysts have rated the stock with a hold rating and nine have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus price target of $126.80.

In related news, CMO Jamie Cannon Gilpin sold 1,278 shares of the firm’s stock in a transaction that occurred on Tuesday, October 19th. The stock was sold at an average price of $131.62, for a total value of $168,210.36. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CTO Aaron Edward Frederick Rankin sold 32,000 shares of the firm’s stock in a transaction that occurred on Wednesday, October 20th. The shares were sold at an average price of $126.89, for a total value of $4,060,480.00. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 160,613 shares of company stock valued at $18,088,836. 14.86% of the stock is owned by corporate insiders.

Several hedge funds have recently modified their holdings of SPT. Clearbridge Investments LLC raised its stake in shares of Sprout Social by 303.4% in the 2nd quarter. Clearbridge Investments LLC now owns 1,216,621 shares of the company’s stock valued at $108,790,000 after acquiring an additional 915,010 shares in the last quarter. BlackRock Inc. increased its position in Sprout Social by 28.2% in the 2nd quarter. BlackRock Inc. now owns 3,426,187 shares of the company’s stock worth $306,369,000 after buying an additional 753,840 shares during the period. Invesco Ltd. increased its position in Sprout Social by 73.5% in the 3rd quarter. Invesco Ltd. now owns 1,676,198 shares of the company’s stock worth $204,412,000 after buying an additional 710,280 shares during the period. Macquarie Group Ltd. increased its position in Sprout Social by 84.5% in the 2nd quarter. Macquarie Group Ltd. now owns 1,073,378 shares of the company’s stock worth $95,981,000 after buying an additional 491,704 shares during the period. Finally, Jennison Associates LLC bought a new position in Sprout Social in the 2nd quarter worth approximately $29,406,000. 76.30% of the stock is currently owned by institutional investors and hedge funds.

The company has a 50-day simple moving average of $100.58 and a 200 day simple moving average of $108.07. The company has a market capitalization of $3.62 billion, a P/E ratio of -145.98 and a beta of 0.98.

Sprout Social (NASDAQ:SPT) last issued its quarterly earnings results on Tuesday, November 2nd. The company reported ($0.03) EPS for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.16) by $0.13. The business had revenue of $49.09 million during the quarter, compared to the consensus estimate of $47.37 million. During the same period in the prior year, the firm earned ($0.13) earnings per share. On average, analysts predict that Sprout Social, Inc. will post -0.52 earnings per share for the current year.

About Sprout Social (NASDAQ:SPT)

Sprout Social, Inc designs, develops, and operates a web-based social media management tool in Americas, EMEA, and the Asia Pacific. The company offers cloud software that brings together social messaging, data, and workflows in a unified system of record, intelligence, and action. It provides various integrated tools in a range of functions comprising social engagement/response, publishing, reporting and analytics, social listening and business intelligence, reputation management, employee advocacy, and automation and workflows.

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