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Sprout Social (Sprout Social) PS Ratio : 5.15 (As of Jun. 01, 2024)


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What is Sprout Social PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Sprout Social's share price is $32.68. Sprout Social's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2024 was $6.35. Hence, Sprout Social's PS Ratio for today is 5.15.

The historical rank and industry rank for Sprout Social's PS Ratio or its related term are showing as below:

SPT' s PS Ratio Range Over the Past 10 Years
Min: 4.45   Med: 13.57   Max: 48.89
Current: 5.15

During the past 7 years, Sprout Social's highest PS Ratio was 48.89. The lowest was 4.45. And the median was 13.57.

SPT's PS Ratio is ranked worse than
75.12% of 2749 companies
in the Software industry
Industry Median: 2.24 vs SPT: 5.15

Sprout Social's Revenue per Sharefor the three months ended in Mar. 2024 was $1.72. Its Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2024 was $6.35.

During the past 12 months, the average Revenue per Share Growth Rate of Sprout Social was 28.30% per year. During the past 3 years, the average Revenue per Share Growth Rate was 32.30% per year. During the past 5 years, the average Revenue per Share Growth Rate was 16.50% per year.

During the past 7 years, Sprout Social's highest 3-Year average Revenue per Share Growth Rate was 32.50% per year. The lowest was -5.90% per year. And the median was 26.80% per year.

Back to Basics: PS Ratio


Sprout Social PS Ratio Historical Data

The historical data trend for Sprout Social's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Sprout Social PS Ratio Chart

Sprout Social Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Get a 7-Day Free Trial 2.88 17.55 25.96 12.15 10.25

Sprout Social Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.30 8.79 8.93 10.25 9.41

Competitive Comparison of Sprout Social's PS Ratio

For the Software - Application subindustry, Sprout Social's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Sprout Social's PS Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Sprout Social's PS Ratio distribution charts can be found below:

* The bar in red indicates where Sprout Social's PS Ratio falls into.



Sprout Social PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Sprout Social's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=32.68/6.346
=5.15

Sprout Social's Share Price of today is $32.68.
Sprout Social's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $6.35.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Sprout Social  (NAS:SPT) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Sprout Social PS Ratio Related Terms

Thank you for viewing the detailed overview of Sprout Social's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Sprout Social (Sprout Social) Business Description

Traded in Other Exchanges
Address
131 South Dearborn Street, Suite 700, Chicago, IL, USA, 60603
Sprout Social Inc develops a cloud software that brings together social messaging, data and workflows in a unified system of record, intelligence, and action. The firm generates majority revenue from software subscriptions.
Executives
Justyn Russell Howard director, 10 percent owner, officer: Chairman and CEO C/O SPROUT SOCIAL, INC., 131 SOUTH DEARBORN STREET, SUITE 700, CHICAGO IL 60603
Ryan Paul Barretto officer: President C/O SPROUT SOCIAL, INC., 131 SOUTH DEARBORN AVENUE, SUITE 700, CHICAGO IL 60603
Rankin Aaron Edward Frederick director, 10 percent owner, officer: Chief Technology Officer C/O SPROUT SOCIAL, INC., 131 SOUTH DEARBORN STREET, SUITE 700, CHICAGO IL 60603
Preto Joseph Del officer: CFO and Treasurer 600 WEST CHICAGO AVENUE, SUITE 850, CHICAGO IL 60610
Karen Walker director 170 WEST TASMAN DRIVE, SAN JOSE CA 95134
Raina Moskowitz director 117 ADAMS STREET, C/O ETSY,INC., BROOKLYN NY 11201
William Thomas Stanley director 131 S DEARBORN ST, STE 700, CHICAGO IL 60603
Steven A Collins director 20 N. MERIDIAN STREET, SUITE 200, INDIANAPOLIS IN 46204
Jamie Cannon Gilpin officer: Chief Marketing Officer C/O SPROUT SOCIAL, INC., 131 SOUTH DEARBORN STREET, SUITE 700, CHICAGO IL 60603
Goldman Sachs Group Inc 10 percent owner 200 WEST STREET, NEW YORK NY 10282
Jason Kreuziger director C/O SPROUT SOCIAL, INC., 131 SOUTH DEARBORN STREET, SUITE 700, CHICAGO IL 60603
Gs Fund Holdings, L.l.c. 10 percent owner 200 WEST STREET, NEW YORK NY 10282
New Enterprise Associates 13 Lp 10 percent owner 1119 ST PAUL STREET, BALTIMORE MD 21202
Mbd Advisors, L.l.c. 10 percent owner 200 WEST STREET, NEW YORK NY 10282
Bridge Street Opportunity Advisors, L.l.c. 10 percent owner 200 WEST STREET, NEW YORK NY 10282