Sprinklr, Inc. (NYSE:CXM) has reported a recent sale of shares by one of its top executives. Scott Jacob, the company's General Counsel and Corporate Secretary, has sold a total of $29,072 worth of Class A Common Stock, according to the latest filings.
The transactions, which occurred on September 16 and 17, involved the sale of shares at prices ranging from $7.83 to $7.84. On the first day, Jacob sold 2,963 shares at an average price of $7.83, and on the following day, he sold 749 shares at an average price of $7.84. These sales were executed to cover statutory tax withholding obligations related to the vesting of restricted stock units, as mandated by the company's equity incentive plans.
Following these transactions, Jacob still holds a substantial number of shares in the company, with his ownership standing at 354,441 shares of Class A Common Stock after the sales.
Investors often monitor insider sales as they can provide insights into an executive's view of the company's current valuation and future prospects. However, it should be noted that sales to cover tax obligations are quite common and may not necessarily reflect a change in an executive's confidence in the company.
The sales were reported in compliance with SEC regulations, and full details of the transactions, including the exact number of shares sold at each price point within the provided ranges, are available upon request from the issuer, any security holder of the issuer, or the SEC staff.
Sprinklr, based in New York, is a provider of customer experience management software. The company's shares are publicly traded on the New York Stock Exchange under the ticker symbol CXM.
In other recent news, Sprinklr Inc. reported an 11% year-over-year increase in total revenue to $197.2 million for the second quarter of fiscal year 2025, with subscription revenue growing by 9% to reach $177.9 million. However, the company's operating margins and per-share earnings fell short of projections, with the operating margin reported at 8% and the per-share earnings at $0.06. Analyst firms, KeyBanc and Rosenblatt, have revised their price targets for Sprinklr, with KeyBanc reducing it to $12 and Rosenblatt to $10.50, while both maintained positive ratings on the company's shares.
These adjustments followed Sprinklr's recent earnings report which revealed a shortfall in subscription revenue against consensus estimates and a reduced full-year expectation. Despite these challenges, Sprinklr continues to attract new customers, including UBS, Ford (NYSE:F), T-Mobile, Grupo Bimbo, and Planet Fitness (NYSE:PLNT), demonstrating the company's focus on refining its execution and go-to-market strategy. For the third quarter, Sprinklr projects total revenue to be between $196 million and $197 million, with subscription revenue estimated at $177.5 million to $178.5 million. These are recent developments that reflect Sprinklr's commitment to growth and value delivery in a demanding market environment.
InvestingPro Insights
As Sprinklr, Inc. (NYSE:CXM) navigates the complexities of the market, recent data from InvestingPro provides a multifaceted view of the company's financial health and market performance. Notably, the company's market capitalization stands at approximately $1.98 billion, reflecting its current valuation within the industry. With a P/E ratio of 41.91, Sprinklr trades at a premium compared to some of its peers, which is further emphasized by an adjusted P/E ratio of 39.13 for the last twelve months as of Q2 2025. This could signal investor confidence in the company's future earnings potential or a market that is willing to pay more for its current earnings.
Despite recent insider sales, Sprinklr's financial position appears robust, with a gross profit margin of 74.22% over the last twelve months as of Q2 2025, suggesting the company is efficient in its operations and maintains a strong control over costs. However, the stock has experienced a significant decline over the last six months, with a price total return of -39.69%, potentially indicating market adjustments or investor reactions to broader industry trends.
InvestingPro Tips highlight that management has been aggressively buying back shares, which could be a sign of confidence in the company's value and a potential catalyst for future stock price appreciation. Additionally, Sprinklr holds more cash than debt on its balance sheet, providing financial flexibility and stability. For investors seeking further insights, InvestingPro offers additional tips on Sprinklr, which can be accessed for more comprehensive analysis and investment considerations.
These snapshots of Sprinklr's financial metrics and strategic maneuvers are critical for investors to understand the company's current standing and future outlook. For those looking to delve deeper, there are 11 additional InvestingPro Tips available, offering a richer perspective on Sprinklr's market position and investment potential.
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