Dorsey Asset Management LLC Raises Stake in Sprout Social, Inc. (NASDAQ:SPT)

Dorsey Asset Management LLC lifted its position in shares of Sprout Social, Inc. (NASDAQ:SPT) by 16.7% in the 4th quarter, according to its most recent 13F filing with the SEC. The firm owned 2,306,149 shares of the company’s stock after acquiring an additional 330,155 shares during the quarter. Sprout Social makes up 7.3% of Dorsey Asset Management LLC’s investment portfolio, making the stock its 8th largest position. Dorsey Asset Management LLC owned approximately 4.02% of Sprout Social worth $70,822,000 at the end of the most recent quarter.

Several other large investors also recently added to or reduced their stakes in the company. Crestline Management LP purchased a new stake in Sprout Social during the fourth quarter valued at about $950,000. Cadian Capital Management LP lifted its stake in shares of Sprout Social by 6.1% during the 4th quarter. Cadian Capital Management LP now owns 4,548,323 shares of the company’s stock valued at $139,679,000 after buying an additional 263,267 shares in the last quarter. BNP Paribas Financial Markets bought a new position in Sprout Social in the 4th quarter worth approximately $3,747,000. ArrowMark Colorado Holdings LLC boosted its holdings in Sprout Social by 380.7% in the 4th quarter. ArrowMark Colorado Holdings LLC now owns 1,772,219 shares of the company’s stock worth $54,425,000 after buying an additional 1,403,549 shares during the period. Finally, 3G Capital Partners LP purchased a new position in Sprout Social in the 4th quarter valued at approximately $4,606,000.

Analysts Set New Price Targets

A number of research firms have recently commented on SPT. Scotiabank cut their price target on Sprout Social from $28.00 to $25.00 and set a “sector perform” rating for the company in a report on Thursday, February 27th. Barclays cut their target price on Sprout Social from $34.00 to $26.00 and set an “overweight” rating for the company in a research note on Monday, April 21st. Canaccord Genuity Group decreased their price target on Sprout Social from $40.00 to $35.00 and set a “buy” rating on the stock in a research report on Wednesday, February 26th. Stifel Nicolaus cut their price objective on shares of Sprout Social from $45.00 to $34.00 and set a “buy” rating for the company in a research report on Wednesday, February 26th. Finally, Needham & Company LLC decreased their target price on shares of Sprout Social from $55.00 to $32.00 and set a “buy” rating on the stock in a report on Wednesday, February 26th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and seven have given a buy rating to the company’s stock. Based on data from MarketBeat.com, Sprout Social has a consensus rating of “Hold” and a consensus target price of $32.15.

Insider Activity

In other news, CEO Ryan Paul Barretto sold 16,800 shares of the stock in a transaction that occurred on Friday, April 4th. The stock was sold at an average price of $19.90, for a total transaction of $334,320.00. Following the completion of the sale, the chief executive officer now owns 136,575 shares of the company’s stock, valued at approximately $2,717,842.50. This represents a 10.95 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Karen Walker sold 5,000 shares of Sprout Social stock in a transaction on Monday, April 14th. The stock was sold at an average price of $19.42, for a total transaction of $97,100.00. Following the completion of the transaction, the director now directly owns 25,665 shares in the company, valued at approximately $498,414.30. The trade was a 16.31 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 125,446 shares of company stock valued at $3,115,839. Corporate insiders own 10.12% of the company’s stock.

Sprout Social Trading Down 1.8 %

NASDAQ SPT opened at $20.77 on Wednesday. The stock’s 50-day simple moving average is $22.28 and its two-hundred day simple moving average is $27.98. Sprout Social, Inc. has a twelve month low of $18.52 and a twelve month high of $39.75. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 0.19. The company has a market capitalization of $1.20 billion, a price-to-earnings ratio of -17.31 and a beta of 1.20.

Sprout Social (NASDAQ:SPT) last released its earnings results on Tuesday, February 25th. The company reported ($0.20) earnings per share for the quarter, missing analysts’ consensus estimates of $0.15 by ($0.35). Sprout Social had a negative return on equity of 40.94% and a negative net margin of 17.24%. The firm had revenue of $107.09 million during the quarter, compared to the consensus estimate of $106.74 million. Research analysts forecast that Sprout Social, Inc. will post -0.99 EPS for the current fiscal year.

About Sprout Social

Sprout Social, Inc designs, develops, and operates a web-based social media management platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company provides cloud software for social messaging, data and workflows in a unified system of record, intelligence, and action.