Professional
Added to YB: 2025-12-01
Pitch date: 2025-12-01
SPT [bullish]
Sprout Social, Inc.
-40.32%
current return
Author Info
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Company Info
Sprout Social, Inc. designs, develops, and operates a web-based social media management platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.
Market Cap
$384.2M
Pitch Price
$10.02
Price Target
N/A
Dividend
N/A
EV/EBITDA
-13.79
P/E
-8.73
EV/Sales
0.75
Sector
Software
Category
growth
(NAS:SPT) Sprout Social: Mispriced, Misunderstood, and Moving Upmarket
SPT: Top-tier marketing SaaS mispriced on AI/seat-based fears. Social is mission-critical utility as attention shifts to TikTok/IG/YouTube. Evolving from mid-market to enterprise nervous system: $50K+ ARR customers +20% YoY, <10% gross churn, multi-year deals. NewsWhip acquisition closes listening gap vs Hootsuite; Salesforce partnership drives co-sell; Trellis AI layer launching. Sprinklr/Khoros retreating opens share capture. SMB churn (<15% ARR) fading; enterprise now ~50% revenue. Margins expanding 2%/yr toward 20% opmargin. DCF shows ~65% upside.
Read full article (5 min)