SoundHound AI (NASDAQ:SOUN) Earns “Buy” Rating from DA Davidson

SoundHound AI (NASDAQ:SOUN)‘s stock had its “buy” rating reissued by analysts at DA Davidson in a research note issued to investors on Tuesday,Benzinga reports. They presently have a $17.00 target price on the stock. DA Davidson’s target price indicates a potential upside of 46.68% from the stock’s current price.

A number of other analysts have also weighed in on SOUN. Oppenheimer began coverage on shares of SoundHound AI in a research note on Thursday, September 11th. They issued a “market perform” rating for the company. Piper Sandler upped their price target on shares of SoundHound AI from $12.00 to $15.00 and gave the stock a “neutral” rating in a research report on Friday, November 7th. Wedbush reiterated an “outperform” rating and set a $16.00 price objective on shares of SoundHound AI in a research note on Thursday, September 11th. LADENBURG THALM/SH SH raised shares of SoundHound AI from a “neutral” rating to a “buy” rating and boosted their price objective for the stock from $9.00 to $16.00 in a research note on Monday, August 11th. Finally, Wall Street Zen lowered SoundHound AI from a “hold” rating to a “sell” rating in a report on Saturday, August 9th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, SoundHound AI currently has a consensus rating of “Moderate Buy” and an average price target of $17.42.

SoundHound AI Stock Up 1.4%

NASDAQ:SOUN traded up $0.16 during midday trading on Tuesday, hitting $11.59. The stock had a trading volume of 26,772,936 shares, compared to its average volume of 45,594,535. The stock has a 50-day moving average of $16.56 and a 200 day moving average of $13.16. The company has a market capitalization of $4.73 billion, a price-to-earnings ratio of -13.86 and a beta of 2.60. SoundHound AI has a one year low of $6.04 and a one year high of $24.98.

SoundHound AI (NASDAQ:SOUN) last issued its earnings results on Thursday, November 6th. The company reported ($0.03) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.09) by $0.06. SoundHound AI had a negative return on equity of 93.64% and a negative net margin of 211.16%.The business had revenue of $42.05 million during the quarter, compared to analyst estimates of $40.48 million. During the same period in the previous year, the company posted ($0.04) EPS. SoundHound AI’s revenue was up 67.6% on a year-over-year basis. SoundHound AI has set its FY 2025 guidance at EPS. On average, sell-side analysts anticipate that SoundHound AI will post -0.38 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, COO Michael Zagorsek sold 69,837 shares of the firm’s stock in a transaction that occurred on Monday, September 22nd. The shares were sold at an average price of $16.00, for a total transaction of $1,117,392.00. Following the sale, the chief operating officer owned 1,860,790 shares of the company’s stock, valued at $29,772,640. This trade represents a 3.62% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Majid Emami sold 41,167 shares of SoundHound AI stock in a transaction dated Wednesday, October 8th. The shares were sold at an average price of $20.00, for a total transaction of $823,340.00. Following the completion of the sale, the vice president owned 608,186 shares in the company, valued at approximately $12,163,720. This trade represents a 6.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 787,260 shares of company stock worth $13,973,056. Corporate insiders own 9.17% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. NewEdge Advisors LLC increased its holdings in shares of SoundHound AI by 52.4% in the 3rd quarter. NewEdge Advisors LLC now owns 65,756 shares of the company’s stock valued at $1,057,000 after acquiring an additional 22,620 shares during the period. Caxton Associates LLP grew its position in SoundHound AI by 1,042.8% during the 3rd quarter. Caxton Associates LLP now owns 127,757 shares of the company’s stock worth $2,054,000 after purchasing an additional 116,578 shares during the last quarter. XTX Topco Ltd increased its stake in SoundHound AI by 146.3% in the third quarter. XTX Topco Ltd now owns 45,280 shares of the company’s stock valued at $728,000 after purchasing an additional 26,894 shares during the period. Sona Asset Management US LLC acquired a new position in SoundHound AI in the third quarter valued at $627,000. Finally, Prosperity Wealth Management Inc. raised its holdings in shares of SoundHound AI by 6.4% in the third quarter. Prosperity Wealth Management Inc. now owns 23,624 shares of the company’s stock valued at $380,000 after buying an additional 1,424 shares during the last quarter. Institutional investors and hedge funds own 19.28% of the company’s stock.

About SoundHound AI

SoundHound AI, Inc develops independent voice artificial intelligence (AI) solutions that enables businesses across automotive, TV, and IoT, and to customer service industries to deliver high-quality conversational experiences to their customers. Its products include Houndify platform that offers a suite of Houndify tools to help brands build conversational voice assistants, such as Application Programming Interfaces (API) for text and voice queries, support for custom commands, extensive library of content domains, inclusive software development kit platforms, collaboration capabilities, diagnostic tools, and built-in analytics; SoundHound Chat AI that integrates with knowledge domains, pulling real-time data like weather, sports, stocks, flight status, and restaurants; and SoundHound Smart Answering is built to offer customer establishments custom AI-powered voice assistant.