NEW YORK, May 20, 2024 (GLOBE NEWSWIRE) -- Pomerantz LLP announces that a class action lawsuit has been filed against Sprout Social, Inc. (“Sprout Social” or the “Company”) (NASDAQ: SPT). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
The class action concerns whether Sprout Social and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
You have until July 12, 2024, to ask the Court to appoint you as Lead Plaintiff for the class if you are a shareholder who purchased or otherwise acquired Sprout Social securities during the Class Period. A copy of the Complaint can be obtained at www.pomerantzlaw.com.
[Click here for information about joining the class action]
On May 2, 2024, Sprout Social announced the Company’s operating results for the first fiscal quarter of 2024, disclosing that the Company had missed its revenue guidance for the quarter. The Company also revised its full year 2024 revenue guidance downward by $20 million. Sprout Social’s Chief Financial Officer (“CFO”) Joe Del Preto (“Del Preto”) said that the Company had “underestimated the magnitude of enterprise seasonality” and had also been “self-inducing sales execution headwinds.” During the earnings call held on the same day, Sprout Social’s incoming Chief Executive Officer (“CEO”) Ryan Barretto (“Barretto”) disclosed that the Company “made several important strategic decisions heading into Q1” which it “thought [it] could manage [] without disruption, but they collectively set us back.”
On this news, Sprout Social’s stock price fell $19.33 per share, or 40.15%, to close at $28.82 per share on May 3, 2024.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com.
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CONTACT:
Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980
