Download PDF

1. Company Snapshot

1.a. Company Description

Sprinklr, Inc.provides enterprise cloud software products worldwide.The company offers Unified Customer Experience Management platform, a purpose-built to analyze unstructured customer experience data, built to scale across future and modern channels, and integrates all stages of the customer journey.


Its products include Modern Research that enables its customers to listen, learn from, and act on insights gleaned from modern channels; Modern Care that enables brands to listen to, route, resolve and analyze customer service issues across modern and traditional channels; Modern Marketing and Advertising enables global brands to plan, create, publish, optimize, and analyze their organic/owned marketing content and paid advertising campaigns across modern channels; and Social Engagement and Sales allows customers listen to, triage, engage, and analyze conversations across modern channels.The company also provides professional, managed, training, and consultancy services.Sprinklr, Inc.


was founded in 2009 and is headquartered in New York, New York.

Show Full description

1.b. Last Insights on CXM

Sprinklr's recent performance has been negatively impacted by a stagnant backlog and low expected growth. The company's large customer count is declining, and subscription revenue growth is slowing, signaling customer defections. Additionally, Sprinklr's guidance for just 1% revenue growth and shrinking margins is a major concern. The company's recent AI-native customer experience innovation release, while potentially promising, may not be enough to offset these challenges. Furthermore, Sprinklr's high beta and risk profile make it vulnerable to market fluctuations.

1.c. Company Highlights

2. Sprinklr's AI Surge Fuels Margins, 2027 Forecast Steady

Sprinklr posted Q4 revenue of $220.6 million, up 9% YoY, with subscription sales at $193.4 million, a 6% lift. Non‑GAAP operating income rose to $37.7 million, marking a 17% margin. EPS hit $0.13 versus a $0.10 estimate, and the CFO noted, “Our AI‑native platform continues to accelerate growth.” Valuation metrics reflect the premium: a P/E of 58.37 and EV/EBITDA of 17.78.

Publication Date: Apr -12

📋 Highlights
  • Q4 Revenue Growth: Total revenue rose 9% YoY to $220.6M, with subscription revenue up 6% to $193.4M.
  • Non-GAAP Operating Margin: Maintained 17% margin ($37.7M) in Q4, aligned with FY27 guidance (17% margin for $144-146M income).
  • AI-Driven ARR Growth: ARR from generative AI-native Service SKUs surged 50% YoY, funded by existing customer budgets.
  • Customer Expansion: 141 $1M+ customers with 103% net dollar retention, averaging $3M per client despite sequential declines.
  • Buyback & Free Cash Flow: $200M share repurchase program authorized and $150M free cash flow projected for FY27.

Q4 Highlights

Revenue grew 9% YoY, driven by a 6% subscription increase and a 103% net dollar expansion rate. The company added 141 customers over $1 million, with the cohort averaging $3 million each.

FY 2027 Outlook

Sprinklr projects FY revenue of $869–871 million, a modest 1% rise, and subscription sales of $778–780 million, up 3%. Non‑GAAP operating income is forecast at $144–146 million, sustaining a 17% margin.

AI‑Driven Growth

Generative AI‑native SKUs grew 50% YoY in ARR, funded from existing customer budgets. The firm is investing in AI talent and R&D to deepen AI integration across marketing, insights, and contact center solutions.

Customer Expansion

Sprinklr focuses on its top 900 customers, which generate ~90% of revenue. Renewal rates hit a one‑year high, with net dollar expansion remaining above 100% as upsell momentum continues.

Geographic Footprint

Americas contribute 50–55% of sales, Europe 35%, and Asia‑APJI 10%. The Middle East shows a healthy pipeline but is not yet a major revenue driver.

Margin Discipline

The company balances investment and returns, maintaining flat margin expansion guidance for FY27 while targeting long‑term innovation and technical debt reduction.

Headcount Strategy

Headcount has plateaued over the past two years, with a flat or slightly declining workforce. Sprinklr continues to monitor staffing to align with growth initiatives.

Services & Ecosystem

Services growth is expected to decelerate to pre‑growth levels. The firm is building an ecosystem with partners while keeping services as a value add rather than the core business.

Analyst Consensus

Analysts project a 1.9% revenue growth for FY27. EPS beat expectations, and the firm’s valuation multiples suggest a premium for its AI‑centric trajectory and strong renewal pipeline.

3. NewsRoom

Card image cap

Sprinklr Unveils Next Wave of AI‑Native Customer Experience Innovation with Spring '26 (26.4) Release

Apr -07

Source: businesswire.com

Card image cap

Head-To-Head Comparison: SPX Technologies (NYSE:SPXC) and Sprinklr (NYSE:CXM)

Apr -07

Source: defenseworld.net

Card image cap

Reviewing Cricut (NASDAQ:CRCT) and Sprinklr (NYSE:CXM)

Apr -05

Source: defenseworld.net

Card image cap

Sprinklr and CreatorIQ Announce Strategic Partnership to Unify Creator, Organic, and Paid Social Media

Mar -31

Source: businesswire.com

Card image cap

Sprinklr, Inc. (NYSE:CXM) Given Average Rating of “Hold” by Brokerages

Mar -22

Source: defenseworld.net

Card image cap

Sprinklr: Flat Backlog And Low Expected Growth Are Major Red Flags (Rating Downgrade)

Mar -13

Source: seekingalpha.com

Card image cap

Sprinklr Named a Leader in the 2026 Gartner® Magic Quadrant™ for Voice of the Customer Platforms

Mar -13

Source: businesswire.com

Card image cap

Sprinklr, Inc. (CXM) Q4 2026 Earnings Call Transcript

Mar -11

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (15.10%)

6. Segments

Subscription

Expected Growth: 15.1%

Growing demand for social media management platforms, increasing adoption of cloud-based solutions, and rising need for content creation and analytics tools drive the growth of Sprinklr's subscription-based model.

Professional Services

Expected Growth: 15.1%

Growing demand for social media management platforms, increasing adoption of digital transformation strategies, and the need for customized solutions to maximize ROI drive the growth of Professional Services from Sprinklr, Inc.

7. Detailed Products

Modern Sales & Engagement

A unified platform for sales, customer service, and marketing teams to engage with customers across multiple channels

Modern Marketing & Advertising

A comprehensive platform for marketing teams to plan, execute, and measure omnichannel marketing campaigns

Modern Care

A customer service platform that enables brands to provide seamless, omnichannel support to customers

Social Media Management

A platform for managing social media presence, content, and engagement across multiple channels

Content Marketing

A platform for creating, managing, and distributing content across multiple channels

Influencer Marketing

A platform for discovering, collaborating, and measuring influencer partnerships

Customer Experience Management

A platform for managing customer feedback, sentiment, and experience across multiple channels

8. Sprinklr, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Sprinklr's platform is highly customizable, making it difficult for substitutes to emerge. However, the social media management industry is highly competitive, and new entrants could potentially disrupt the market.

Bargaining Power Of Customers

Sprinklr's customers are typically large enterprises with complex social media management needs. While they may have some bargaining power, Sprinklr's platform is highly specialized, limiting their ability to negotiate prices.

Bargaining Power Of Suppliers

Sprinklr's suppliers are primarily technology providers, and the company has a diversified supply chain. This limits the bargaining power of individual suppliers.

Threat Of New Entrants

The social media management industry is highly competitive, and new entrants could potentially disrupt the market. However, Sprinklr's established customer base and high barriers to entry mitigate this threat.

Intensity Of Rivalry

The social media management industry is highly competitive, with many established players. Sprinklr competes with companies like Hootsuite, Buffer, and Sprout Social, among others.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 4.67%
Debt Cost 3.95%
Equity Weight 95.33%
Equity Cost 8.28%
WACC 8.08%
Leverage 4.90%

11. Quality Control: Sprinklr, Inc. passed 7 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
JFrog

A-Score: 5.0/10

Value: 4.2

Growth: 7.0

Quality: 5.2

Yield: 0.0

Momentum: 10.0

Volatility: 3.3

1-Year Total Return ->

View Full Report
Stock-Card
Sprinklr

A-Score: 4.8/10

Value: 3.8

Growth: 8.7

Quality: 7.9

Yield: 0.0

Momentum: 3.5

Volatility: 5.0

1-Year Total Return ->

View Full Report
Stock-Card
CleanSpark

A-Score: 4.1/10

Value: 7.0

Growth: 5.1

Quality: 8.2

Yield: 0.0

Momentum: 3.5

Volatility: 0.7

1-Year Total Return ->

View Full Report
Stock-Card
PowerSchool

A-Score: 3.9/10

Value: 3.6

Growth: 7.3

Quality: 3.3

Yield: 0.0

Momentum: 6.0

Volatility: 3.0

1-Year Total Return ->

View Full Report
Stock-Card
nCino

A-Score: 3.5/10

Value: 3.1

Growth: 7.4

Quality: 5.4

Yield: 0.0

Momentum: 0.5

Volatility: 4.7

1-Year Total Return ->

View Full Report
Stock-Card
Envestnet

A-Score: 3.3/10

Value: 3.5

Growth: 3.6

Quality: 3.6

Yield: 0.0

Momentum: 6.0

Volatility: 3.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

5.06$

Current Price

5.07$

Potential

-0.00%

Expected Cash-Flows