Sprout Social Analysts Cut Their Forecasts After Q2 Earnings

Core Insights - Sprout Social, Inc. reported better-than-expected second-quarter financial results, with earnings of 18 cents per share, surpassing the analyst consensus estimate of 15 cents per share, and quarterly sales of $111.110 million, exceeding the estimate of $110.920 million [1][2] - The company issued third-quarter sales guidance above estimates and raised its FY25 sales guidance above estimates [1] - CEO Ryan Barretto highlighted a 12% revenue growth and emphasized the commitment to strengthening enterprise presence through customer adoption and strategic partnerships [2] Financial Performance - Quarterly earnings: 18 cents per share, beating the consensus estimate of 15 cents per share [1] - Quarterly sales: $111.110 million, exceeding the consensus estimate of $110.920 million [1] - Revenue growth: 12% year-over-year [2] Analyst Ratings and Price Targets - Oppenheimer analyst Brian Schwartz maintained an Outperform rating but lowered the price target from $32 to $23 [8] - Goldman Sachs analyst Chris Merwin maintained a Neutral rating and lowered the price target from $24 to $21 [8] Strategic Initiatives - The company is focused on increasing customer adoption, expanding within existing accounts, and scaling growth through strategic partnerships [2] - Recent acquisition of NewsWhip is seen as a key investment to position the company as a leading social media management platform [2]