Allegations Against Sprout Social

Recently, a class action lawsuit was filed against the company. The filed complaint alleges that defendants made false statements and/or concealed that: (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) the Company faced integration challenges with its acquisition of Tagger, a leading influencer marketing and social intelligence platform; (3) as a result, the Company was “self inducing sales headwinds;” (4) as a result, the Company would revise fiscal year 2024 revenue guidance; and (5) as a result of the foregoing, defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

What are derivative lawsuits and what can I do as a current long-term shareholder of Sprout Social? Click Here

If you are interested in pursuing this matter, please review and sign the engagement letter below or contact James Baker at jimb@johnsonfistel.com or (619) 814-4471.