SoundHound AI (NASDAQ:SOUN) Trading Up 3% – Time to Buy?

SoundHound AI, Inc. (NASDAQ:SOUN) rose 3% during trading on Thursday . The stock traded as high as $7.39 and last traded at $7.22. Approximately 28,120,899 shares changed hands during mid-day trading, a decline of 2% from the average daily volume of 28,689,791 shares. The stock had previously closed at $7.01.

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on SOUN shares. Wall Street Zen raised SoundHound AI from a “strong sell” rating to a “sell” rating in a report on Saturday, August 15th. DA Davidson decreased their price objective on SoundHound AI from $12.00 to $10.00 and set a “buy” rating for the company in a report on Thursday, August 6th. Piper Sandler lowered their target price on SoundHound AI from $8.00 to $7.00 and set a “neutral” rating on the stock in a research report on Thursday, August 6th. LADENBURG THALM/SH SH raised SoundHound AI to a “strong-buy” rating in a research note on Wednesday, May 6th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of SoundHound AI in a research report on Monday, June 15th. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, SoundHound AI currently has a consensus rating of “Moderate Buy” and a consensus target price of $13.60.

SoundHound AI Trading Up 3.0%

The company has a market capitalization of $3.21 billion, a P/E ratio of -19.00 and a beta of 2.64. The business’s 50-day simple moving average is $6.71 and its 200 day simple moving average is $7.39.

SoundHound AI (NASDAQ:SOUN) last posted its quarterly earnings data on Wednesday, August 5th. The company reported ($0.02) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.13) by $0.11. SoundHound AI had a negative net margin of 67.45% and a negative return on equity of 30.22%. The business had revenue of $61.90 million during the quarter, compared to analysts’ expectations of $52.38 million. During the same period last year, the firm posted ($0.19) earnings per share. The business’s revenue was up 45.0% on a year-over-year basis. As a group, sell-side analysts predict that SoundHound AI, Inc. will post -0.33 EPS for the current fiscal year.

Insider Transactions at SoundHound AI

In other SoundHound AI news, CTO Timothy Stonehocker sold 18,802 shares of the stock in a transaction on Monday, June 15th. The stock was sold at an average price of $7.46, for a total transaction of $140,262.92. Following the completion of the transaction, the chief technology officer directly owned 502,290 shares of the company’s stock, valued at approximately $3,747,083.40. This trade represents a 3.61% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Keyvan Mohajer sold 126,540 shares of the stock in a transaction on Monday, June 15th. The shares were sold at an average price of $7.46, for a total value of $943,988.40. Following the transaction, the chief executive officer directly owned 1,947,237 shares of the company’s stock, valued at approximately $14,526,388.02. The trade was a 6.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 268,022 shares of company stock valued at $1,999,444 over the last three months. 8.84% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Royal Bank of Canada lifted its holdings in SoundHound AI by 71.3% in the 1st quarter. Royal Bank of Canada now owns 160,299 shares of the company’s stock valued at $1,301,000 after acquiring an additional 66,714 shares during the last quarter. Integrated Wealth Concepts LLC grew its stake in shares of SoundHound AI by 8.9% in the 1st quarter. Integrated Wealth Concepts LLC now owns 14,676 shares of the company’s stock worth $119,000 after purchasing an additional 1,201 shares during the last quarter. NewEdge Advisors LLC grew its stake in shares of SoundHound AI by 12.9% in the 1st quarter. NewEdge Advisors LLC now owns 41,030 shares of the company’s stock worth $333,000 after purchasing an additional 4,692 shares during the last quarter. Goldman Sachs Group Inc. raised its holdings in shares of SoundHound AI by 69.8% in the 1st quarter. Goldman Sachs Group Inc. now owns 2,639,689 shares of the company’s stock worth $21,434,000 after purchasing an additional 1,085,473 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in shares of SoundHound AI by 10.1% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 692,170 shares of the company’s stock worth $5,620,000 after purchasing an additional 63,398 shares in the last quarter. 19.28% of the stock is owned by institutional investors and hedge funds.

About SoundHound AI

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.