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Sprout Social ( (SPT) ) has provided an update.
Sprout Social on May 7, 2026 reported first-quarter 2026 revenue of $121.5 million, up 11% year over year, with non-GAAP operating income rising to $14.1 million and non-GAAP net income to $13.6 million, alongside robust free cash flow and a growing base of larger enterprise customers contributing at least $30,000 in annual recurring revenue. The company’s board simultaneously authorized its first share repurchase program of up to $50 million in Class A common stock, signaling confidence in Sprout Social’s financial position and capital allocation strategy as it targets improved margins and maintains double-digit growth.
Sprout ended the quarter with total remaining performance obligations of $395.3 million and cash and cash equivalents of $111.6 million, while customers contributing at least $30,000 in ARR grew 12% to 3,875 and those above $50,000 in ARR rose 18% to 2,085. Management reaffirmed a path to a roughly 15% non-GAAP operating margin by the fourth quarter of 2026 and reiterated its Rule of 40 target by late 2027, underlining continued focus on profitability balanced with sustained revenue expansion in the social media software market.
The most recent analyst rating on (SPT) stock is a Buy with a $8.00 price target. To see the full list of analyst forecasts on Sprout Social stock, see the SPT Stock Forecast page.
Spark’s Take on SPT Stock
According to Spark, TipRanks’ AI Analyst, SPT is a Neutral.
The score is primarily supported by improving fundamentals (strong gross margins, rising cash generation, low leverage) and a constructive earnings outlook with expanding non-GAAP profitability. It is held back by clearly bearish technicals (below major moving averages with negative MACD) and the valuation/profitability overhang implied by a negative P/E and the absence of a dividend.
To see Spark’s full report on SPT stock, click here.
More about Sprout Social
Sprout Social, Inc. is a global provider of cloud-based social media management and analytics software, operating across all major social networks and digital platforms. The Chicago-based company serves tens of thousands of brands with tools for publishing, engagement, customer care, influencer marketing, advocacy and AI-powered business intelligence, and is listed on Nasdaq under the ticker SPT.
Average Trading Volume: 1,657,378
Technical Sentiment Signal: Sell
Current Market Cap: $382.7M
For a thorough assessment of SPT stock, go to TipRanks’ Stock Analysis page.