SoundHound AI (NASDAQ:SOUN) Shares Up 3.2% – Time to Buy?

SoundHound AI, Inc. (NASDAQ:SOUN) shares were up 3.2% during mid-day trading on Friday . The company traded as high as $6.55 and last traded at $6.41. 31,714,587 shares traded hands during mid-day trading, an increase of 16% from the average daily volume of 27,439,982 shares. The stock had previously closed at $6.21.

Analysts Set New Price Targets

SOUN has been the subject of a number of research reports. LADENBURG THALM/SH SH raised shares of SoundHound AI to a “strong-buy” rating in a research report on Wednesday, May 6th. Weiss Ratings reiterated a “sell (e+)” rating on shares of SoundHound AI in a research report on Monday, June 15th. DA Davidson reissued a “buy” rating and issued a $14.00 target price on shares of SoundHound AI in a research report on Wednesday, April 22nd. Piper Sandler restated a “neutral” rating and set a $9.00 price target (down from $11.00) on shares of SoundHound AI in a research note on Friday, February 27th. Finally, HC Wainwright cut their price target on SoundHound AI from $26.00 to $20.00 and set a “buy” rating on the stock in a research report on Monday, March 2nd. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $14.93.

SoundHound AI Stock Up 3.2%

The stock has a market cap of $2.77 billion, a PE ratio of -13.64 and a beta of 2.56. The stock has a fifty day moving average of $7.93 and a 200-day moving average of $8.59.

SoundHound AI (NASDAQ:SOUN) last posted its quarterly earnings data on Thursday, May 7th. The company reported ($0.06) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.01). The company had revenue of $44.20 million for the quarter, compared to analyst estimates of $42.56 million. SoundHound AI had a negative return on equity of 40.15% and a negative net margin of 91.84%.The firm’s revenue was up 51.7% compared to the same quarter last year. During the same period in the previous year, the business posted ($0.06) earnings per share. Equities research analysts forecast that SoundHound AI, Inc. will post -0.45 earnings per share for the current fiscal year.

Insider Transactions at SoundHound AI

In other news, CTO Timothy Stonehocker sold 18,802 shares of the company’s stock in a transaction on Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $140,262.92. Following the transaction, the chief technology officer directly owned 502,290 shares of the company’s stock, valued at $3,747,083.40. This represents a 3.61% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider James Ming Hom sold 28,843 shares of the firm’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $215,168.78. Following the completion of the sale, the insider owned 743,521 shares of the company’s stock, valued at $5,546,666.66. This trade represents a 3.73% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 268,022 shares of company stock valued at $1,999,444 in the last three months. Insiders own 8.84% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Empowered Funds LLC boosted its stake in shares of SoundHound AI by 19.6% during the 1st quarter. Empowered Funds LLC now owns 13,896 shares of the company’s stock worth $95,000 after acquiring an additional 2,277 shares in the last quarter. NewEdge Advisors LLC increased its stake in SoundHound AI by 62.1% in the 1st quarter. NewEdge Advisors LLC now owns 95,657 shares of the company’s stock valued at $657,000 after purchasing an additional 36,644 shares in the last quarter. Verus Capital Partners LLC acquired a new position in SoundHound AI during the first quarter worth $71,000. Amundi raised its holdings in SoundHound AI by 112.4% during the first quarter. Amundi now owns 24,046 shares of the company’s stock worth $165,000 after purchasing an additional 12,725 shares during the last quarter. Finally, California State Teachers Retirement System grew its holdings in SoundHound AI by 25.0% in the first quarter. California State Teachers Retirement System now owns 440,023 shares of the company’s stock valued at $3,023,000 after purchasing an additional 87,998 shares during the last quarter. 19.28% of the stock is owned by hedge funds and other institutional investors.

SoundHound AI Company Profile

SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services.

The company’s core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities.