SoundHound AI (NASDAQ:SOUN) Shares Down 1% – Time to Sell?

SoundHound AI, Inc. (NASDAQ:SOUN)’s share price was down 1% on Wednesday . The stock traded as low as $11.78 and last traded at $11.82. Approximately 19,777,458 shares were traded during trading, a decline of 56% from the average daily volume of 45,282,531 shares. The stock had previously closed at $11.94.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on the stock. Northland Securities upgraded shares of SoundHound AI from a “market perform” rating to an “outperform” rating and set a $14.50 target price for the company in a research note on Friday, August 8th. Wedbush reaffirmed an “outperform” rating and issued a $16.00 price objective on shares of SoundHound AI in a research report on Thursday, September 11th. LADENBURG THALM/SH SH raised SoundHound AI from a “neutral” rating to a “buy” rating and boosted their target price for the stock from $9.00 to $16.00 in a report on Monday, August 11th. Northland Capmk raised SoundHound AI from a “hold” rating to a “strong-buy” rating in a report on Friday, August 8th. Finally, HC Wainwright lifted their price objective on shares of SoundHound AI from $18.00 to $26.00 and gave the stock a “buy” rating in a research report on Thursday, October 16th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, SoundHound AI presently has an average rating of “Moderate Buy” and a consensus price target of $17.42.

SoundHound AI Stock Up 2.2%

The stock has a fifty day moving average price of $16.08 and a two-hundred day moving average price of $13.24. The company has a market cap of $5.07 billion, a price-to-earnings ratio of -14.37 and a beta of 2.60.

SoundHound AI (NASDAQ:SOUN) last released its quarterly earnings results on Thursday, November 6th. The company reported ($0.03) EPS for the quarter, beating the consensus estimate of ($0.09) by $0.06. SoundHound AI had a negative net margin of 211.16% and a negative return on equity of 93.64%. The business had revenue of $42.05 million for the quarter, compared to the consensus estimate of $40.48 million. During the same period in the prior year, the company posted ($0.04) earnings per share. SoundHound AI’s revenue was up 67.6% compared to the same quarter last year. SoundHound AI has set its FY 2025 guidance at EPS. Analysts predict that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, VP Majid Emami sold 41,167 shares of the stock in a transaction that occurred on Wednesday, October 8th. The stock was sold at an average price of $20.00, for a total transaction of $823,340.00. Following the sale, the vice president owned 608,186 shares of the company’s stock, valued at $12,163,720. This represents a 6.34% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Keyvan Mohajer sold 118,654 shares of SoundHound AI stock in a transaction on Wednesday, October 8th. The shares were sold at an average price of $20.00, for a total value of $2,373,080.00. Following the completion of the transaction, the chief executive officer directly owned 2,342,613 shares of the company’s stock, valued at $46,852,260. This represents a 4.82% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 787,260 shares of company stock valued at $13,973,056 in the last quarter. Company insiders own 9.17% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

A number of large investors have recently bought and sold shares of the company. Northwestern Mutual Wealth Management Co. raised its position in shares of SoundHound AI by 83.1% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock valued at $25,000 after buying an additional 1,060 shares in the last quarter. Danske Bank A S acquired a new stake in shares of SoundHound AI in the 3rd quarter valued at $26,000. Advisors Asset Management Inc. increased its stake in shares of SoundHound AI by 68.4% in the 2nd quarter. Advisors Asset Management Inc. now owns 2,519 shares of the company’s stock valued at $27,000 after purchasing an additional 1,023 shares during the last quarter. Investors Research Corp raised its holdings in shares of SoundHound AI by 62.4% during the 3rd quarter. Investors Research Corp now owns 1,822 shares of the company’s stock worth $29,000 after buying an additional 700 shares in the last quarter. Finally, AlphaQuest LLC acquired a new position in shares of SoundHound AI during the 1st quarter worth $32,000. 19.28% of the stock is currently owned by institutional investors and hedge funds.

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.