Sprinklr (CXM) AI Stock Analysis

• Market Cap: $2.34B
• Dividend Yield: N/A
• Average Volume (3M): 3.01M
• Price to Earnings (P/E): 22.4
• Beta (1Y): 1.00
• Revenue Growth: 6.75%
• EPS Growth: 97.06%
• Country: US
• Employees: 3,589
• Sector: Technology
• Sector Strength: 90
• Industry: Software - Application
• EPS (TTM): 0.12
• Shares Outstanding: 142,831,150
• 10 Day Avg. Volume: 2,032,673
• 30 Day Avg. Volume: 3,011,042
• PEG Ratio: -1.97
• Price to Book (P/B): 3.50
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.85
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 0.68
• Enterprise Value/Gross Profit: 3.77
• Enterprise Value/Ebitda: 11.67
• 1Y Price Target: $10.33
• Price Target Upside: 12.16% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 12

• Rating: 78 Outperform
• Price Target: $9.50 ▲(3.15%Upside)

Sprinklr's overall stock score of 78 reflects strong financial performance and strategic initiatives that promise long-term growth, bolstered by robust cash flow and a stock buyback program. However, challenges remain in the form of slower revenue growth and customer churn, necessitating ongoing operational improvements.

Positive Factors

Financial Performance

Sprinklr's operating margin was significantly better than expected, reaching 18% and exceeding prior guidance.

Market Potential

Sprinklr addresses a substantial market opportunity with a total addressable market over $60 billion.

Revenue Growth

Subscription revenue growth beat guidance by approximately 1% and was projected to continue outpacing expectations in the next quarter.

Negative Factors

Customer Retention Challenges

Downsells and churn were ongoing challenges, with a decrease in the number of customers having over $1 million in annual recurring revenue.

Expansion Challenges

Net dollar expansion rates declined, reflecting the impact of elevated churn and downsell over the past year.

Market Uncertainty

The macro environment is described as unpredictable and choppy, impacting business operations and sales cycles.

Sprinklr Business Overview & Revenue Model

Company Description

Sprinklr (CXM) is a leading enterprise software company specializing in customer experience management solutions. It operates in the technology sector and provides a unified platform that helps businesses manage customer interactions across various digital channels. Its core products include social media management, customer care, marketing, and research tools, enabling companies to enhance their brand presence and improve customer satisfaction.

How the Company Makes Money

Sprinklr generates revenue primarily through a subscription-based model, licensing its software solutions to businesses worldwide. Key revenue streams include software-as-a-service (SaaS) subscriptions, professional services such as consulting and implementation, and customer support services. The company also benefits from strategic partnerships with major technology platforms and social media networks, which enhance its service offerings and expand its market reach. Additionally, Sprinklr's focus on enterprise clients ensures a steady revenue stream through long-term contracts and recurring subscription fees.

Sprinklr Financial Statement Overview

Summary

Sprinklr exhibits strong financial performance with notable revenue growth and profitability improvements. The income statement shows a significant increase in revenue and a positive net profit margin. The balance sheet reflects financial stability with low leverage, while cash flow statements reveal strong cash generation and management. However, operational efficiency could be enhanced to improve EBIT margins.

Income Statement

Sprinklr's income statement reflects strong revenue growth, with a 63.7% increase from 2021 to TTM (Trailing-Twelve-Months). The gross profit margin is robust at 71.0% in TTM, indicating efficient cost management. Net income has also improved significantly, turning positive in recent periods, with a net profit margin of 13.6% in TTM. However, the EBIT margin remains relatively low at 2.0% due to operational expenses, suggesting room for efficiency improvements.

Balance Sheet

The balance sheet shows a solid equity position with an equity ratio of 53.8% in TTM, reflecting financial stability. The debt-to-equity ratio is low at 0.08, indicating minimal leverage risk. Return on equity has improved significantly, reaching 17.1% in TTM. However, total assets have grown slower than equity, suggesting a need for more asset utilization efficiency.

Cash Flow

Cash flow analysis reveals healthy operating cash flow, with a strong operating cash flow to net income ratio of 1.09 in TTM, indicating good cash profitability. Free cash flow has improved significantly, with a positive growth rate of 44.0% from the previous year. The company has maintained a positive free cash flow to net income ratio, demonstrating effective cash management.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	796.39M	732.36M	618.19M	492.39M	386.93M
Gross Profit	574.32M	552.96M	454.46M	344.84M	264.85M
EBITDA	42.65M	49.41M	-39.17M	-82.84M	-19.89M
Net Income	121.61M	51.40M	-55.74M	-111.47M	-41.18M
Balance Sheet
Total Assets	1.18B	1.22B	1.02B	920.05M	585.89M
Cash, Cash Equivalents and Short-Term Investments	483.46M	662.55M	578.63M	532.41M	280.69M
Total Debt	48.70M	33.29M	16.77M	0.00	78.85M
Total Liabilities	572.14M	543.41M	475.66M	404.20M	403.16M
Stockholders Equity	612.06M	679.70M	549.33M	515.85M	182.73M
Cash Flow
Free Cash Flow	71.79M	51.14M	10.21M	-45.33M	827.00K
Operating Cash Flow	77.59M	71.47M	26.66M	-32.92M	7.31M
Investing Cash Flow	154.13M	-110.57M	-193.49M	-15.65M	-219.46M
Financing Cash Flow	-248.16M	24.09M	34.97M	303.13M	269.78M

Sprinklr Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.21
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CXM, the sentiment is Positive. The current price of 9.21 is above the 20-day moving average (MA) of 8.84, above the 50-day MA of 8.56, and above the 200-day MA of 8.32, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 62.55 is Neutral, neither overbought nor oversold. The STOCH value of 92.86 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CXM.

Sprinklr Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CXM	78 Outperform	$2.34B	22.45	17.50%	―	6.75%	97.06%
GTM	74 Outperform	$3.61B	91.44	2.23%	―	-3.12%	-37.59%
DSP	69 Neutral	$884.69M	485.05	4.15%	―	30.64%	―
SPT	64 Neutral	$1.11B	―	-36.95%	―	17.79%	16.49%
JAMF	59 Neutral	$1.07B	―	-6.48%	―	10.75%	56.37%
RNG	51 Neutral	$2.46B	―	16.58%	―	7.78%	70.43%
Sector *	50 Neutral	C$3.05B	2.51	-63.57%	2.26%	4.49%	-6.15%

Sprinklr Corporate Events

Sprinklr Announces Departure of Chief Customer Officer

On June 24, 2025, Sprinklr, Inc. announced that its Chief Customer Officer, Scott Harvey, will leave the company on July 7, 2025. During his transition period, he will continue to receive his current salary and benefits, and upon departure, he will receive severance benefits. The company reiterated its financial guidance for the second quarter and full fiscal year 2026, as previously announced on June 4, 2025.

The most recent analyst rating on (CXM) stock is a Sell with a $7.00 price target. To see the full list of analyst forecasts on Sprinklr stock, see the CXM Stock Forecast page.

Sprinklr Elects New Directors at Annual Meeting

On June 12, 2025, Sprinklr held its annual stockholders meeting virtually, where three key proposals were voted on. Jan R. Hauser, Kevin Haverty, and Ragy Thomas were elected as Class I directors until 2028, the executive compensation was approved on an advisory basis, and KPMG LLP was ratified as the independent public accounting firm for the fiscal year ending January 31, 2026.

The most recent analyst rating on (CXM) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Sprinklr stock, see the CXM Stock Forecast page.

Sprinklr Announces $150 Million Stock Repurchase Program

On June 2, 2025, Sprinklr‘s Board of Directors approved a $150 million stock repurchase program, reflecting the company’s strong financial position and commitment to enhancing shareholder value. The program, set to conclude by June 30, 2026, will be executed through various market transactions, adhering to federal securities laws. Sprinklr also reported its first quarter fiscal 2026 results, highlighting a 5% year-over-year revenue increase to $205.5 million and a record free cash flow of $80.7 million. Despite a GAAP operating loss, the company showed improved non-GAAP financial metrics, indicating progress in its strategic transformation to better serve customers and prepare for future growth.

The most recent analyst rating on (CXM) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Sprinklr stock, see the CXM Stock Forecast page.