📊 SPT Key Takeaways
Is Sprout Social, Inc. (SPT) a Good Investment?
Sprout Social demonstrates improving fundamental trajectory with 12.7% revenue growth, excellent 77% gross margins, and strong positive free cash flow of $24.1M despite current operating losses. The company exhibits improving profitability metrics (EPS up 32.1% YoY) and maintains a fortress balance sheet with $111.6M cash and conservative 0.19x leverage, positioning it favorably for near-term profitability.
Sprout Social, Inc. Key Strengths (SPT)
- Strong gross margin of 77% indicates excellent unit economics for SaaS business
- Positive free cash flow of $24.1M (19.8% FCF margin) demonstrates operational efficiency despite accounting losses
- Solid revenue growth of 12.7% YoY combined with improving profitability trend (EPS up 32.1%)
- Conservative balance sheet with $111.6M cash, low debt-to-equity of 0.19x, and long-term debt of only $40.0M
- EPS improvement shows clear trajectory toward profitability
SPT Stock Risks: Sprout Social, Inc. Investment Risks
- Company is currently unprofitable with negative operating income (-$5.8M) and net income (-$6.3M)
- Current ratio of 0.95x indicates working capital pressure with current liabilities exceeding current assets
- Negative return metrics (ROE -2.9%, ROA -1.2%) reflect ongoing losses
- Operating margin of -4.8% shows continued investment burn, with cash runway dependent on FCF sustainability
Key Metrics to Watch
- Operating margin progression toward breakeven and profitability
- Free cash flow sustainability and margin expansion
- Current ratio improvement above 1.0x to demonstrate working capital normalization
- Revenue growth maintenance and gross margin stability
- Path to positive operating and net income
Sprout Social, Inc. (SPT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
SPT Profit Margin, ROE & Profitability Analysis
SPT vs Technology Sector: How Sprout Social, Inc. Compares
How Sprout Social, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Sprout Social, Inc. Stock Overvalued? SPT Valuation Analysis 2026
Based on fundamental analysis, Sprout Social, Inc. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Sprout Social, Inc. Balance Sheet: SPT Debt, Cash & Liquidity
SPT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Sprout Social, Inc.'s revenue has grown significantly by 144% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.19 indicates the company is currently unprofitable.
SPT Revenue Growth, EPS Growth & YoY Performance
SPT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $109.3M | -$6.3M | $-0.11 |
| Q3 2025 | $102.6M | -$9.4M | $-0.16 |
| Q2 2025 | $99.4M | -$12.0M | $-0.21 |
| Q1 2025 | $96.8M | -$11.2M | $-0.19 |
| Q3 2024 | $85.5M | -$17.1M | $-0.30 |
| Q2 2024 | $79.3M | -$13.1M | $-0.24 |
| Q1 2024 | $75.2M | -$10.3M | $-0.19 |
| Q3 2023 | $65.3M | -$13.9M | $-0.25 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Sprout Social, Inc. Dividends, Buybacks & Capital Allocation
SPT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Sprout Social, Inc. (CIK: 0001517375)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| May 21, 2026 | 4 | xslF345X06/wk-form4_1779394106.xml | View → |
| May 21, 2026 | 4 | xslF345X06/wk-form4_1779394022.xml | View → |
| May 21, 2026 | 4 | xslF345X06/wk-form4_1779393902.xml | View → |
| May 21, 2026 | 4 | xslF345X06/wk-form4_1779393837.xml | View → |
| May 21, 2026 | 4 | xslF345X06/wk-form4_1779393761.xml | View → |
❓ Frequently Asked Questions about SPT
What is the AI rating for SPT?
Sprout Social, Inc. (SPT) has an AI grade of A with 68% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SPT's key strengths?
Claude: Strong gross margin of 77% indicates excellent unit economics for SaaS business. Positive free cash flow of $24.1M (19.8% FCF margin) demonstrates operational efficiency despite accounting losses.
What are the risks of investing in SPT?
Claude: Company is currently unprofitable with negative operating income (-$5.8M) and net income (-$6.3M). Current ratio of 0.95x indicates working capital pressure with current liabilities exceeding current assets.
What is SPT's revenue and growth?
Sprout Social, Inc. reported revenue of $121.5M.
Does SPT pay dividends?
Sprout Social, Inc. does not currently pay dividends.
Where can I find SPT SEC filings?
Official SEC filings for Sprout Social, Inc. (CIK: 0001517375) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SPT's EPS?
Sprout Social, Inc. has a diluted EPS of $-0.11.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is SPT's fundamental grade?
Based on our AI fundamental analysis in June 2026, Sprout Social, Inc. has a A grade with 68% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is SPT stock overvalued or undervalued?
Valuation metrics for SPT: ROE of -2.9% (sector avg: 22%), net margin of -5.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is SPT's AI grade for 2026?
Our dual AI analysis gives Sprout Social, Inc. a combined A grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SPT's free cash flow?
Sprout Social, Inc.'s operating cash flow is $25.2M, with capital expenditures of $1.1M. FCF margin is 19.8%.
How does SPT compare to other Technology stocks?
Vs Technology sector averages: Net margin -5.2% (avg: 18%), ROE -2.9% (avg: 22%), current ratio 0.95 (avg: 2.5).