From Yahoo Finance: 2025-04-01 14:30:00

In a recent article, we listed the 10 Best Debt-Free IT Stocks to Buy Under $10, including Sprinklr Inc. (NYSE:CXM). Despite the negative connotation of debt, companies accumulate it for various reasons, such as cost-effectiveness and tax deductions. However, debt poses significant risks, especially in volatile markets like small-cap stocks face.

Bridgewater Associates founder Ray Dalio warned about a growing supply-demand imbalance in the U.S. debt market, urging a reduction in the fiscal deficit to prevent possible risks like debt restructuring. Corporate bankruptcies in the U.S. are surging due to increased interest rates, making it more expensive for companies to manage their debt effectively.

With rising bankruptcies and challenging macroeconomic conditions, investing in financially stable companies like Sprinklr Inc. (CXM) becomes crucial. Sprinklr provides customer experience management solutions using AI-powered technology to enhance customer engagement and marketing efforts. The company aims to improve profitability and meet industry benchmarks while streamlining operations and reducing expenses.

Sprinklr Inc. (CXM) reported revenue growth in FY 2025, with plans for further growth in FY 2026. Despite a decline in earnings, the company remains debt-free with a healthy cash balance. Ranked 7th on the list of best debt-free IT stocks under $10, CXM shows potential for growth, but investors may find better opportunities in AI stocks for higher returns in a shorter time frame.

Read more: Is Sprinklr Inc. (CXM) the Best Debt-Free IT Stock to Buy Under $10?