Sprinklr (CXM) AI Stock Analysis

• Market Cap: $2.22B
• Dividend Yield: N/A
• Average Volume (3M): 1.59M
• Price to Earnings (P/E): 19.8
• Beta (1Y): 1.03
• Revenue Growth: 6.75%
• EPS Growth: 97.06%
• Country: US
• Employees: 3,589
• Sector: Technology
• Sector Strength: 79
• Industry: Software - Application
• EPS (TTM): 0.12
• Shares Outstanding: 142,831,150
• 10 Day Avg. Volume: 2,832,842
• 30 Day Avg. Volume: 1,590,274
• PEG Ratio: 0.90
• Price to Book (P/B): 4.70
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 252.64
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 0.77
• Enterprise Value/Gross Profit: 4.19
• Enterprise Value/Ebitda: 11.67
• 1Y Price Target: $10.10
• Price Target Upside: 27.04% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 12

• Rating: 75 Outperform
• Price Target: $9.00 ▲(13.21%Upside)

Sprinklr's strong financial performance and strategic initiatives are key strengths, supporting an overall positive stock score. Technical indicators suggest mixed sentiment, while valuation appears fair. The earnings call highlighted both opportunities and challenges, with a focus on improving execution and leveraging strategic investments for future growth.

Positive Factors

Financial Performance

Sprinklr’s first quarter was better than expected as subscription revenue grew 4% and beat the midpoint of guidance by 1%.

Market Position

Sprinklr offers sophisticated products with distinctive AI capabilities across four suites: Service, Marketing, Insights, and Social.

Operational Improvement

Sprinklr's Q1 print showed progress on the company's transformation journey with operational improvement coupled with stability in the near-term outlook.

Negative Factors

Churn and Downsells

Downsells and churn were an ongoing challenge during the quarter.

Customer Retention

The number of customers with more than $1M ARR fell for the first time sequentially.

Sales Challenges

Sprinklr saw its business adversely impacted by the uncertainty in the macro, which resulted in longer sales cycles as customers scrutinize enterprise spending.

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 channels, and integrates all stages of the customer journey. Its products include Modern Research that enables its customers to listen, learn from, and act on insights gleaned from modern channels; Modern Care that enables brands to listen to, route, resolve and analyze customer service issues across modern and traditional channels; Modern Marketing and Advertising enables global brands to plan, create, publish, optimize, and analyze their organic/owned marketing content and paid advertising campaigns across modern channels; and Social Engagement and Sales allows customers listen to, triage, engage, and analyze conversations across modern channels. The company also provides professional, managed, training, and consultancy services. Sprinklr, Inc. was founded in 2009 and is headquartered in New York, New York.

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 shows strong financial performance with significant revenue and net income growth, a stable balance sheet, and robust cash flow. The company is well-positioned, although focus on cost management and strategic investments is necessary.

Income Statement

Sprinklr's income statement reveals a strong financial trajectory with consistent revenue growth, highlighted by a significant increase from $324M in 2020 to $796M in 2025. The company has achieved a positive net income of $121M in 2025, demonstrating improved profitability. Gross Profit Margin remains healthy, showcasing operational efficiency. However, the EBIT margin indicates potential for further cost optimization.

Balance Sheet

The balance sheet shows a solid foundation with positive stockholders' equity of $612M and a manageable total debt of $48M in 2025. The Debt-to-Equity ratio is low, indicating low financial leverage, which reduces financial risk. The equity ratio suggests a balanced approach to financing. However, the decline in cash and short-term investments suggests careful liquidity management is needed.

Cash Flow

Sprinklr's cash flow statement indicates robust cash generation with operating cash flow at $77M and free cash flow showing consistent growth to $71M in 2025. The company has improved its free cash flow conversion, reducing reliance on external financing. However, the volatile investing and financing cash flows suggest a focus on strategic investments and capital structure adjustments.

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
	EBIT
23.97M	33.95M	-51.22M	-87.47M	-28.79M
	EBITDA
42.65M	49.41M	-39.17M	-82.84M	-19.89M
	Net Income Common Stockholders
121.61M	51.40M	-55.74M	-111.47M	-41.18M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
483.46M	662.55M	578.63M	532.41M	280.69M
	Total Assets
1.18B	1.22B	1.02B	920.05M	585.89M
	Total Debt
48.70M	33.29M	16.77M	0.00	78.85M
	Net Debt
-96.56M	-130.73M	-171.62M	-321.43M	10.81M
	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: Negative
• Last Price: 7.95
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CXM, the sentiment is Negative. The current price of 7.95 is below the 20-day moving average (MA) of 8.43, above the 50-day MA of 7.94, and below the 200-day MA of 8.21, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 42.03 is Neutral, neither overbought nor oversold. The STOCH value of 17.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CXM.

Sprinklr Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CXM	75 Outperform	$2.22B	19.77	17.50%	―	6.75%	97.06%
GTM	73 Outperform	$3.29B	78.73	2.23%	―	-3.12%	-37.59%
SPT	66 Neutral	$1.24B	―	-36.95%	―	17.79%	16.49%
DSP	65 Neutral	$841.52M	435.88	4.15%	―	30.64%	―
JAMF	63 Neutral	$1.36B	―	-6.48%	―	10.75%	56.37%
Sector *	62 Neutral	$11.97B	10.08	-7.46%	2.96%	7.37%	-8.22%
RNG	52 Neutral	$2.38B	―	16.58%	―	7.78%	70.43%

Sprinklr Corporate Events

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.