Sprout Social, Inc
SPT NASDAQSprout Social looks about 24% undervalued against its cash-flow value. Its growth outlook scores strong; analysts' mean target is about 17% higher.
At a glance
tap a tile to dig inOtto's verdict
the tiles above, in a line each- Value Looks ~24% undervalued against Otto's cash-flow estimate.
- Health 8 of 14 health checks pass.
- Growth Revenue trend ≈ +15%/yr (extended trend, not a forecast).
- Street Analysts lean hold · avg target +17% from here.
- Dividend No dividend — this is a growth-only story.
- Insiders Insiders, last 12 months: 0 buys · 2 sells.
Not investment advice — Otto just crunches numbers.
Price trend
+54.4% over six months · S&P 500 +12.2%
What think
The market's move: +54.4% over the past year
Trading 23% up its 52-week range. Price is the market's live vote — not advice.
Analyst consensus: Hold · 9 analysts
Average 12-month target $9.67 — +16.7% vs today.
Yahoo Finance's analyst aggregate. Sentiment, not advice.
Insiders: 0 buys · 2 sales in recent filings
Open-market trades from SEC Form 4. Sales are often pre-planned (10b5-1); buys tend to say more. Sentiment, not advice.
InvestRight readers: 0 watching
This site's own activity — not a broad measure. Sentiment, not advice.
The snowflake
checks passed on each axis- Value 2/2 checks
- Future 2/3 checks
- Past 1/3 checks
- Health 3/6 checks
- Dividend 0/— checks
What does this show?
Five quick health scores — Value, Future, Past, Health and Dividend — each 0–100%. A bigger, more even shape means a stock that scores well across the board; a spiky one is strong on some axes and weak on others.
Learn more on Investopedia →Fair value
our estimate · not analyst forecast24% below our estimate — you'd be paying less than our numbers say it's worth.
How we got there
A 2-stage discounted-cash-flow on free cash flow: grow it at the capped historical trend for five years, fade to a 2.5% long-run rate, discount everything at 9.0%. It's a transparent estimate from past numbers, not a licensed forecast — treat it as one lens, not truth.
What does this show?
Our estimate of what one share is worth based on the cash the business is expected to generate (a discounted-cash-flow model), next to today's price. Below fair value hints undervalued, above hints expensive — it's an estimate, not a guarantee.
Learn more on Investopedia →Health checks
14 checks run on free data- ⚠ Debt/equity falling over time long-term debt/equity 19.7% vs 0.0%
- ⚠ Earnings grew over the period -20.9M → -43.3M
- ⚠ Earnings trending up latest above earliest
- ⚠ Interest comfortably covered by profit EBIT covers interest -17.4×
- ⚠ Return on equity above 20% ROE -19.7%
- ⚠ Short-term assets cover short-term bills 237.2M vs 256.3M
Show all 14 checks by axis
Value 2/2 passed
- ✓ Trading below our fair-value estimate +24% vs our DCF estimate
- – P/B below industry industry P/B not on the free feed
- – P/E below industry industry P/E not on the free feed
- – P/E below peer average peer P/Es land after the next refresh
- – P/S sane vs its own history needs multi-year P/S (Tier B)
- ✓ More than 20% below fair value +24% margin of safety
Future 2/3 passed
- ⚠ Earnings trending up latest above earliest
- – Growth beats the industry industry growth not on the free feed
- – Earnings growth beats the market
- ✓ Revenue trending up 28.6%/yr over 7yr
- ✓ Return on equity improving ROE -21.3% vs -81.4% 7yr ago
Past 1/3 passed
- ⚠ Earnings grew over the period -20.9M → -43.3M
- – High-quality earnings (few one-offs) one-off detection deferred — needs statement detail
- – Growth accelerating vs its average n/a (loss years)
- ✓ Revenue higher than five years ago 78.8M → 457.5M
- ⚠ Return on equity above 20% ROE -19.7%
Health 3/6 passed
- ⚠ Debt/equity falling over time long-term debt/equity 19.7% vs 0.0%
- ✓ Debt is under 40% of equity debt/equity 22%
- ✓ Debt well covered by cash flow operating cash flow covers 109.0% of debt
- ⚠ Interest comfortably covered by profit EBIT covers interest -17.4×
- ✓ Short-term assets cover long-term debt 237.2M vs 63.4M
- ⚠ Short-term assets cover short-term bills 237.2M vs 256.3M
Dividend 0/— passed
- – Dividend covered by earnings and cash flow pays no dividend
- – Dividend growing over time pays no dividend
- – No dividend cut in recent years pays no dividend
- – Payout ratio under 75% pays no dividend
- – Yield beats the market pays no dividend
- – Yield in the top quartile of payers pays no dividend
What does this show?
Pass/fail rules on the company's finances — debt levels, profitability, cash cover and so on. More greens means a sturdier balance sheet; an n/a just means we didn't have that data point.
Learn more on Investopedia →Past performance
10-yr history from SEC EDGAR filingsRevenue
Earnings
Free cash flow
dashed line = what it'd look like growing at our ~9% market-average benchmark, for comparison
What does this show?
How revenue, earnings and free cash flow have grown over the years. Bars rising left-to-right show a growing business; the dashed line is a market-average pace for comparison.
Learn more on Investopedia →Future
trend, not analyst forecastRevenue · extended at 15.0%/yr
Dashed bars just extend the historical trend (capped at ±15%/yr) — the same growth our DCF uses. It's arithmetic on the past, not an analyst forecast; real futures bend.
What does this show?
Solid bars are history; dashed bars simply extend the past growth trend a few years forward — capped so it stays sane. It's a trend line, not an analyst forecast.
Learn more on Investopedia →Dividend
from cash actually paid, not promisesSprout doesn't pay a dividend — Otto leaves this axis blank rather than guessing.
What does this show?
The share of profit paid back to shareholders as cash. Yield is that cash as a % of the price; the payout gauge shows how much of earnings is paid out (over ~75% can be hard to sustain).
Learn more on Investopedia →Ownership & insiders
from SEC Form 4 filings0 open-market buys · 2 sales in the last 10 saved filings
- Tax-withhold Barretto Ryan Paul · CEO 2,190 sh · $17,498 2026-07-01
- Award Barretto Ryan Paul · CEO 2,415 sh · $15,499 2026-06-30
- Other Howard Justyn Russell · Executive Chair 40,000 sh 2026-06-11
- Sell Howard Justyn Russell · Executive Chair 40,000 sh · $279,680 2026-06-11
- Sell Howard Justyn Russell · Executive Chair 11,641 sh · $90,171 2026-06-02
- Tax-withhold Barretto Ryan Paul · CEO 13,323 sh · $110,448 2026-06-01
- Award Walker Karen · Director 26,470 sh 2026-05-20
- Award Brown Gregory Scott · Director 13,779 sh 2026-05-20
- Award Collins Steven A · Director 26,470 sh 2026-05-20
- Award Stanley William Thomas · Director 26,470 sh 2026-05-20
Insiders must report within two business days. Sales are often pre-planned (10b5-1) rather than a signal — buys tend to say more.
What does this show?
Buys and sells by the company's own directors and officers, from their SEC filings. Insiders sell for many reasons, but clusters of open-market buying can signal confidence.
Learn more on Investopedia →Spot a missing competitor? Sign in to add it — it'll show for everyone.
What does this show?
A few peers in the same business, each with its own mini snowflake, so you can see how this company stacks up rather than judging it in isolation. Anyone signed in can add a missing competitor — it shows for everyone, marked as user-added.
Learn more on Investopedia →In the news
- HealthStream, Inc. (HSTM) Hits Fresh High: Is There Still Room to Run?
- Sprout Social, Workday, and Manhattan Associates Shares Are Soaring, What You Need To Know
- Sprout Social (SPT) Surges 14.0%: Is This an Indication of Further Gains?
- 3 Software Stocks Walking a Fine Line
- Sprout Social, Intuit, and PagerDuty Shares Skyrocket, What You Need To Know
- Sprout Social, ZoomInfo, and Upland Software Shares Plummet, What You Need To Know
- 1 Cash-Heavy Stock Worth Your Attention and 2 We Question
- Winners And Losers Of Q1: Sprout Social (NASDAQ:SPT) Vs The Rest Of The Sales And Marketing Software Stocks
My notes
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Otto explains what's on this page — not investment advice.