SPROUT SOCIAL INC - CLASS A (SPT) Stock Fundamental Analysis
NASDAQ:SPT - Nasdaq - US85209W1099 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to SPT. SPT was compared to 284 industry peers in the Software industry. SPT has a bad profitability rating. Also its financial health evaluation is rather negative. SPT is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
SPT had positive earnings in the past year.
SPT had a positive operating cash flow in the past year.
SPT had negative earnings in each of the past 5 years.
Of the past 5 years SPT 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -14.04%, SPT is doing worse than 65.14% of the companies in the same industry.
SPT has a Return On Equity of -34.01%. This is in the lower half of the industry: SPT underperforms 62.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.04% | ||
| ROE | -34.01% | ||
| ROIC | N/A |
ROA(3y)-16.1%
ROA(5y)-14.47%
ROE(3y)-39.51%
ROE(5y)-31.83%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Gross Margin value of 77.56%, SPT is doing good in the industry, outperforming 74.65% of the companies in the same industry.
SPT's Gross Margin has been stable in the last couple of years.
The Profit Margin and Operating Margin are not available for SPT so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 77.56% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.04%
GM growth 5Y1.29%
2. Health
2.1 Basic Checks
SPT does not have a ROIC to compare to the WACC, probably because it is not profitable.
SPT has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, SPT has more shares outstanding
Compared to 1 year ago, SPT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.16 indicates that SPT is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of SPT (2.16) is comparable to the rest of the industry.
SPT has a debt to FCF ratio of 0.67. This is a very positive value and a sign of high solvency as it would only need 0.67 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 0.67, SPT is doing good in the industry, outperforming 77.11% of the companies in the same industry.
A Debt/Equity ratio of 0.11 indicates that SPT is not too dependend on debt financing.
SPT's Debt to Equity ratio of 0.11 is in line compared to the rest of the industry. SPT outperforms 51.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.67 | ||
| Altman-Z | 2.16 |
ROIC/WACCN/A
WACC8.87%
2.3 Liquidity
A Current Ratio of 0.97 indicates that SPT may have some problems paying its short term obligations.
SPT's Current ratio of 0.97 is on the low side compared to the rest of the industry. SPT is outperformed by 76.06% of its industry peers.
A Quick Ratio of 0.97 indicates that SPT may have some problems paying its short term obligations.
SPT has a Quick ratio of 0.97. This is in the lower half of the industry: SPT underperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 250.00% over the past year.
The Revenue has grown by 17.79% in the past year. This is quite good.
SPT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.64% yearly.
EPS 1Y (TTM)250%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%120%
Revenue 1Y (TTM)17.79%
Revenue growth 3Y29.27%
Revenue growth 5Y31.64%
Sales Q2Q%12.92%
3.2 Future
SPT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.79% yearly.
The Revenue is expected to grow by 13.32% on average over the next years. This is quite good.
EPS Next Y44.74%
EPS Next 2Y31.54%
EPS Next 3Y30.8%
EPS Next 5Y25.79%
Revenue Next Year11.3%
Revenue Next 2Y11.6%
Revenue Next 3Y12.4%
Revenue Next 5Y13.32%
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 32.30, the valuation of SPT can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of SPT indicates a somewhat cheap valuation: SPT is cheaper than 68.31% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.92. SPT is around the same levels.
SPT is valuated rather expensively with a Price/Forward Earnings ratio of 23.06.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SPT indicates a somewhat cheap valuation: SPT is cheaper than 71.13% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.49, SPT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.3 | ||
| Fwd PE | 23.06 |
4.2 Price Multiples
67.96% of the companies in the same industry are more expensive than SPT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.4 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SPT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as SPT's earnings are expected to grow with 30.80% in the coming years.
PEG (NY)0.72
PEG (5Y)N/A
EPS Next 2Y31.54%
EPS Next 3Y30.8%
5. Dividend
5.1 Amount
No dividends for SPT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.35
+0.03 (+0.15%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners101.23%
Inst Owner Change1.14%
Ins Owners1.61%
Ins Owner Change1.99%
Market Cap1.18B
Analysts74.44
Price Target28.72 (41.13%)
Short Float %6.27%
Short Ratio4.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)34.8%
Min EPS beat(2)24.46%
Max EPS beat(2)45.14%
EPS beat(4)4
Avg EPS beat(4)22.68%
Min EPS beat(4)7.71%
Max EPS beat(4)45.14%
EPS beat(8)8
Avg EPS beat(8)365.98%
EPS beat(12)12
Avg EPS beat(12)348.49%
EPS beat(16)16
Avg EPS beat(16)275.06%
Revenue beat(2)1
Avg Revenue beat(2)-0.18%
Min Revenue beat(2)-0.69%
Max Revenue beat(2)0.32%
Revenue beat(4)1
Avg Revenue beat(4)-0.25%
Min Revenue beat(4)-0.69%
Max Revenue beat(4)0.32%
Revenue beat(8)3
Avg Revenue beat(8)-0.01%
Revenue beat(12)4
Avg Revenue beat(12)-0.14%
Revenue beat(16)8
Avg Revenue beat(16)0.51%
PT rev (1m)-6.87%
PT rev (3m)-12.86%
EPS NQ rev (1m)0.52%
EPS NQ rev (3m)7.14%
EPS NY rev (1m)0.91%
EPS NY rev (3m)6.69%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)0.34%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.3 | ||
| Fwd PE | 23.06 | ||
| P/S | 2.83 | ||
| P/FCF | 39.4 | ||
| P/OCF | 35.6 | ||
| P/B | 6.75 | ||
| P/tB | 35.48 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.63
EY3.1%
EPS(NY)0.88
Fwd EY4.34%
FCF(TTM)0.52
FCFY2.54%
OCF(TTM)0.57
OCFY2.81%
SpS7.19
BVpS3.01
TBVpS0.57
PEG (NY)0.72
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.04% | ||
| ROE | -34.01% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 77.56% | ||
| FCFM | 7.18% |
ROA(3y)-16.1%
ROA(5y)-14.47%
ROE(3y)-39.51%
ROE(5y)-31.83%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.04%
GM growth 5Y1.29%
F-Score6
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.67 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 27.17% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.97 | ||
| Altman-Z | 2.16 |
F-Score6
WACC8.87%
ROIC/WACCN/A
Cap/Depr(3y)32.24%
Cap/Depr(5y)42.96%
Cap/Sales(3y)0.69%
Cap/Sales(5y)1.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)250%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%120%
EPS Next Y44.74%
EPS Next 2Y31.54%
EPS Next 3Y30.8%
EPS Next 5Y25.79%
Revenue 1Y (TTM)17.79%
Revenue growth 3Y29.27%
Revenue growth 5Y31.64%
Sales Q2Q%12.92%
Revenue Next Year11.3%
Revenue Next 2Y11.6%
Revenue Next 3Y12.4%
Revenue Next 5Y13.32%
EBIT growth 1Y17.5%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year79.99%
EBIT Next 3Y45.28%
EBIT Next 5Y38.91%
FCF growth 1Y157.68%
FCF growth 3Y18.94%
FCF growth 5YN/A
OCF growth 1Y145.47%
OCF growth 3Y21.1%
OCF growth 5YN/A