Back to top

Image: Bigstock

Sprinklr (CXM) Soars 6.6%: Is Further Upside Left in the Stock?

Read MoreHide Full Article

Sprinklr (CXM - Free Report) shares soared 6.6% in the last trading session to close at $7.61. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 2.3% gain over the past four weeks.

The stock price has increased as the company continues to add several customers and expand existing ones such as Ford, UBS, T-Mobile, Planet Fitness and Grupo Bimbo. It is also improving customer experience by using AI-powered listening, publishing, engagement, marketing and customer service across all social channels.

This customer experience software developer is expected to post quarterly earnings of $0.08 per share in its upcoming report, which represents a year-over-year change of -27.3%. Revenues are expected to be $196.55 million, up 5.5% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Sprinklr, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on CXM going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Sprinklr is a member of the Zacks Technology Services industry. One other stock in the same industry, Symbotic Inc. (SYM - Free Report) , finished the last trading session 8% higher at $31.63. SYM has returned 25.3% over the past month.

For SYMBOTIC INC, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.03. This represents a change of +137.5% from what the company reported a year ago. SYMBOTIC INC currently has a Zacks Rank of #4 (Sell).


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Sprinklr, Inc. (CXM) - free report >>

Symbotic Inc. (SYM) - free report >>

Published in