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Sprinklr, Inc. (CXM)
NYSE:CXM

Sprinklr (CXM) AI Stock Analysis

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CXM

Sprinklr

(NYSE:CXM)

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Neutral 67 (OpenAI - 5.2)
Rating:67Neutral
Price Target:
$6.00
▲(0.00% Upside)
Action:DowngradedDate:03/11/26
The score is driven primarily by improving fundamentals—stronger free cash flow, positive profitability, and a modestly levered balance sheet. Offsetting that, technicals are weak with the stock below key moving averages, and valuation is demanding with a very high P/E. Guidance and buyback support the outlook, but renewals and cost/implementation pressures remain notable risks.
Positive Factors
Free Cash Flow Strength
Sprinklr’s material expansion in operating and free cash flow, and the swing from prior negative cash flow to durable positive FCF, improves financial flexibility. Durable FCF supports R&D, larger deals, buybacks, and cushions execution risks while enabling reinvestment.
Negative Factors
Renewal Pressure / Customer Cohort Shrinkage
Prolonged renewal headwinds and a shrinking $1M+ customer cohort signal structural retention and account-health issues. Loss of large accounts reduces recurring revenue predictability and upsell runway, forcing more sales/service investments to maintain growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Free Cash Flow Strength
Sprinklr’s material expansion in operating and free cash flow, and the swing from prior negative cash flow to durable positive FCF, improves financial flexibility. Durable FCF supports R&D, larger deals, buybacks, and cushions execution risks while enabling reinvestment.
Read all positive factors

Sprinklr (CXM) vs. SPDR S&P 500 ETF (SPY)

Sprinklr Business Overview & Revenue Model

Company Description
Sprinklr, Inc. provides enterprise cloud software products worldwide. The company offers Unified Customer Experience Management platform, a purpose-built to analyze unstructured customer experience data, built to scale across future and modern cha...
How the Company Makes Money
Sprinklr primarily makes money by selling subscriptions to its cloud software platform (software-as-a-service). Customers typically pay recurring fees for access to Sprinklr’s CXM capabilities, with pricing generally influenced by factors such as ...

Sprinklr Key Performance Indicators (KPIs)

Any
Any
Revenue by Segment
Revenue by Segment
Shows how much revenue each business segment generates, highlighting areas of strength and potential growth within the company’s diverse operations.
Chart InsightsSprinklr's Professional Services revenue has rebounded strongly in recent quarters, reaching new highs, while Subscription revenue growth has slowed. The earnings call highlights a 5% year-over-year increase in subscription revenue, but ongoing challenges with renewals persist. Strategic initiatives like Project Bearhug are improving customer engagement, potentially stabilizing future subscription growth. Despite high data and hosting costs, the company's focus on AI and R&D investments aims to drive long-term growth. Investors should watch for the impact of these initiatives on renewal rates and overall revenue stability.
Data provided by:The Fly

Sprinklr Earnings Call Summary

Earnings Call Date:Dec 03, 2025
(Q3-2026)
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% Change Since: |
Next Earnings Date:Jun 10, 2026
Earnings Call Sentiment Neutral
The earnings call presents a mixed picture with strong revenue growth and successful customer initiatives, but also ongoing challenges in subscription renewals and service implementations. While the company is making strategic investments and transformations, the impact of these changes is still unfolding.
Positive Updates
Revenue Growth
Third quarter total revenue grew 9% year over year to $219.1 million, and subscription revenue grew 5% year over year to $190.3 million.
Negative Updates
Subscription Revenue Challenges
While subscription revenue was up 5% year over year, there has been downward pressure from renewals for more than two years.
Read all updates
Q3-2026 Updates
Negative
Revenue Growth
Third quarter total revenue grew 9% year over year to $219.1 million, and subscription revenue grew 5% year over year to $190.3 million.
Read all positive updates
Company Guidance
In the recent financial results call for the third quarter of fiscal year 2026, Sprinklr provided detailed guidance for the upcoming fourth quarter and the full fiscal year. The company reported a total revenue of $219.1 million for Q3, reflecting a 9% year-over-year growth, with subscription revenue rising by 5% to $190.3 million. The non-GAAP operating income stood at $33.5 million, resulting in a 15% non-GAAP operating margin for the quarter. Sprinklr is projecting Q4 revenue to be between $216.5 million and $217.5 million, indicating a 7% growth year over year, and expects subscription revenue to be in the range of $191 million to $192 million, a 5% increase. For the entire fiscal year, the company has raised its guidance, anticipating total revenue between $853 million and $854 million, marking a 7% growth, and subscription revenue in the range of $754 million to $755 million, reflecting a 5% increase. The guidance also highlights a focus on improving renewal rates, with strategic initiatives like Project Bearhug aimed at enhancing engagement with top customers. Additionally, Sprinklr is investing in AI and R&D to drive future growth, with a commitment to sustaining innovation and optimizing operational efficiency.

Sprinklr Financial Statement Overview

Summary
Strong turnaround signals: revenue has scaled, TTM profitability is positive, and free cash flow has expanded meaningfully. Balance sheet leverage remains modest. Key risks are recent margin softening and variability in reported earnings versus underlying operating performance.
Income Statement
74
Positive
Balance Sheet
79
Positive
Cash Flow
83
Very Positive
BreakdownJan 2026Jan 2025Jan 2024Jan 2023Jan 2022
Income Statement
Total Revenue857.20M796.39M732.36M618.19M492.39M
Gross Profit577.78M574.62M552.96M454.46M344.84M
EBITDA78.16M32.89M44.41M-44.60M-82.84M
Net Income22.91M121.61M51.40M-55.74M-111.47M
Balance Sheet
Total Assets1.21B1.18B1.22B1.02B920.05M
Cash, Cash Equivalents and Short-Term Investments502.51M483.46M662.55M578.63M532.41M
Total Debt46.73M48.70M33.29M16.77M0.00
Total Liabilities612.42M572.14M543.41M475.66M404.20M
Stockholders Equity592.64M612.06M679.70M549.33M515.85M
Cash Flow
Free Cash Flow157.81M71.79M51.14M10.21M-45.33M
Operating Cash Flow159.19M77.59M71.47M26.66M-32.92M
Investing Cash Flow-12.47M154.13M-110.57M-193.49M-15.65M
Financing Cash Flow-131.85M-248.16M24.09M34.97M303.13M

Sprinklr Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price6.00
Price Trends
50DMA
6.01
Negative
100DMA
6.79
Negative
200DMA
7.51
Negative
Market Momentum
MACD
-0.02
Negative
RSI
51.42
Neutral
STOCH
31.90
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CXM, the sentiment is Neutral. The current price of 6 is above the 20-day moving average (MA) of 5.88, below the 50-day MA of 6.01, and below the 200-day MA of 7.51, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 51.42 is Neutral, neither overbought nor oversold. The STOCH value of 31.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CXM.

Sprinklr Risk Analysis

Sprinklr disclosed 44 risk factors in its most recent earnings report. Sprinklr reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Sprinklr Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
$1.48B69.873.93%6.48%168.94%
67
Neutral
$2.33B27.1160.60%28.97%-4.18%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
59
Neutral
$342.34M-22.88%13.09%32.34%
57
Neutral
$432.29M-0.19-106.91%-7.43%61.36%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CXM
Sprinklr
5.96
-2.80
-31.96%
SPT
Sprout Social
5.74
-17.77
-75.58%
GRND
Grindr
12.59
-5.31
-29.66%
BMBL
Bumble
3.33
-1.19
-26.33%

Sprinklr Corporate Events

Business Operations and StrategyStock BuybackFinancial Disclosures
Sprinklr Posts Q4 Results With Improving Profitability, Modest Growth
Positive
Mar 11, 2026
On March 11, 2026, Sprinklr reported fourth-quarter and full-year fiscal 2026 results, highlighting moderate top-line growth and improving profitability, supported by $220.6 million in Q4 revenue, up 9% year-on-year, and non-GAAP operating margin ...
Executive/Board Changes
Sprinklr Announces Planned Departure of Chief Marketing Officer
Neutral
Jan 20, 2026
On January 20, 2026, Sprinklr, Inc. announced that its Chief Marketing Officer, Arun Pattabhiraman, will leave the company effective March 16, 2026, under a planned transition period and separation arrangement. During the transition, Pattabhiraman...
Business Operations and StrategyExecutive/Board Changes
Sprinklr Strengthens Leadership With New Chief Accounting Officer
Positive
Dec 18, 2025
On December 12, 2025, Sprinklr’s board appointed Michele M. Meyers as Chief Accounting Officer and principal accounting officer, effective January 5, 2026, while Anthony Coletta continues as Chief Financial Officer and principal financial of...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Mar 11, 2026