Sprout Social, Inc.
The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Northern District of Illinois on behalf of those who acquired Sprout Social, Inc. (“Sprout Social” or the “Company”) (NASDAQ: SPT) securities during the period of November 2, 2023 through May 2, 2024, inclusive (“the Class Period”). Investors have until July 12, 2024 to apply to the Court to be appointed as lead plaintiff in the lawsuit.''
The lawsuit alleges that throughout the Class Period, Sprout Social made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Sprout Social failed to disclose to investors: (1) the Company's sales and revenue growth were not indicative of the Company's growth as it transitioned to an enterprise sales cycle; (2) that the Company faced integration challenges with its acquisition of Tagger; (3) as a result, the Company was "self inducing sales headwinds;" and (4) as a result, the Company would revise fiscal year 2024 revenue guidance.
The lawsuit alleges that throughout the Class Period, Sprout Social made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Sprout Social failed to disclose to investors: (1) the Company's sales and revenue growth were not indicative of the Company's growth as it transitioned to an enterprise sales cycle; (2) that the Company faced integration challenges with its acquisition of Tagger; (3) as a result, the Company was "self inducing sales headwinds;" and (4) as a result, the Company would revise fiscal year 2024 revenue guidance.