Should You Buy, Sell or Hold This Small Cap Stock-SPT

Acrobull UK Advisory Services Ltd.

October 15

2024

Name	Ticker	Sector/Industry	Market Cap	Risk Factor
Sprout Social, Inc.	SPT-NASDAQ	Technology	$1.624 Billion	High

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. The company provides cloud software for social messaging, data and workflows in a unified system of record, intelligence, and action.

Recent Highlights

Sprout Social Named #1 in 94 Reports in G2’s 2024 Fall Reports, Expanding its Leadership Across Global Markets and Business Segments- Sprout Social (Nasdaq: SPT), an industry leader in cloud-based social media management software, has received 173 leader badges from G2's 2024 Fall Reports, spanning all business segments from small business to mid-market and enterprise, as well as every region, including EMEA, APAC, and the Middle East. The company receives these extra accolades after being voted G2's #1 Best Software Product for 2024.

Sprout Social has retained its top ranking in the Grid® Report for Social Customer Service, Social Media Analytics, Social Media Suites, and Social Media Listening Tools. The company has been recognized in a growing number of G2 studies across Asia-Pacific and other areas, including the Enterprise Asia Regional Grid® Report for Social Media Suites, cementing its position as a global leader in social media management.

Second Quarter 2024 Financial Highlights

Revenue totaled $99.4 million, up 25% from the second quarter of 2023.
As of June 30, 2024, the total remaining performance obligations (RPO) were $295.1 million, a 43% increase over the previous year.
As of June 30, 2024, there were $212.5 million in remaining performance obligations (cRPO), a 38% increase over the previous year.

Non-GAAP net income per share was $0.09 for 56.7 million weighted-average shares of common stock, up from $0.07 for 55.5 million weighted-average shares in Q2 2023.

Stock Observation- The company has been Recognized by G2’s 2024 Summer Reports as a leader across 200 categories, adding to its recognition as the #1 Best Software Product and Launched a series of AI-powered product enhancements alongside 20 new capabilities across its platform as part of a new quarterly product showcase. The RSI level for the stock is at 47 showing close to oversold conditions.

Risk Involved- Financial performance of the company may have an impact on the company stock performance.

Considering all the factors and financials of the company Acrobull UK maintains Buy Rating for the stock.

Disclaimer- Though our research is fundamentally and technically based on Acrobull UK only provides general advice on the stocks and it is imperative for the investors to do the risk assessment for themselves before investing as Acrobull UK would not be liable for any loss or profit arising out through the investment made by the investors on our recommendations.

It is also advisable for the investors to consult with Financial Advisor, Broker or to seek any legal assistance as the research conducted by Acrobull UK is factually based and recommendations are given in accordance with that, but it is imperative to understand that Acrobull UK does not guarantee returns.

Acrobull UK Recommendation Based on Evaluation

Current Market Price	$28.45 USD
Acrobull Recommendation	Buy Long Term
Target Price	$32.71 USD
RSI Level	14 Day RSI 47
Total Shares Outstanding	50.42 Million
Shares held by Insiders Risk Factor	1.72% High