William Blair analyst Arjun Bhatia has maintained their neutral stance on SPT stock, giving a Hold rating yesterday.
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Arjun Bhatia has given his Hold rating due to a combination of factors impacting Sprout Social’s current market position. The company has shown improvements in operational areas within its control, which could potentially lead to growth as market challenges subside. However, despite these internal advancements, the broader selling environment for social media management remains difficult, and the timing of a market recovery is uncertain.
Sprout Social’s stock is trading at a lower valuation compared to its growth peers, with shares priced at a discount relative to revenue and free cash flow estimates for 2026. While the company has made strides in stabilizing its business and enhancing execution, external factors largely influence its future performance. Given these uncertainties, Arjun Bhatia maintains a cautious outlook, resulting in a Hold rating for the stock.
In another report released yesterday, Cantor Fitzgerald also initiated coverage with a Hold rating on the stock with a $24.00 price target.