SoundHound AI (NASDAQ:SOUN) Stock Falls 2% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN)’s share price traded down 2% during trading on Thursday. The company traded as low as $5.45 and last traded at $5.52. 16,843,196 shares were traded during trading, a decline of 38% from the average session volume of 27,332,260 shares. The stock had previously closed at $5.63.

Wall Street Analyst Weigh In

Several analysts recently commented on SOUN shares. Weiss Ratings reiterated a “sell (e+)” rating on shares of SoundHound AI in a research report on Friday, September 11th. DA Davidson dropped their target price on shares of SoundHound AI from $12.00 to $10.00 and set a “buy” rating for the company in a report on Thursday, August 6th. Wall Street Zen downgraded shares of SoundHound AI from a “sell” rating to a “strong sell” rating in a research note on Saturday, September 26th. Finally, Piper Sandler cut their price objective on shares of SoundHound AI from $7.00 to $6.00 and set a “neutral” rating for the company in a report on Tuesday, September 22nd. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, SoundHound AI presently has a consensus rating of “Moderate Buy” and an average target price of $12.75.

SoundHound AI Trading Down 2.0%

The company has a fifty day moving average of $6.58 and a 200-day moving average of $7.03. The stock has a market cap of $2.45 billion, a PE ratio of -14.53 and a beta of 2.73.

SoundHound AI (NASDAQ:SOUN) last released its earnings results on Wednesday, August 5th. The company reported ($0.02) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.13) by $0.11. The company had revenue of $61.90 million for the quarter, compared to analyst estimates of $52.38 million. SoundHound AI had a negative net margin of 67.45% and a negative return on equity of 30.22%. The firm’s quarterly revenue was up 45.0% on a year-over-year basis. During the same period in the prior year, the business earned ($0.19) EPS. As a group, research analysts anticipate that SoundHound AI, Inc. will post -0.32 earnings per share for the current fiscal year.

Insider Buying and Selling at SoundHound AI

In other SoundHound AI news, CEO Keyvan Mohajer sold 137,290 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $6.33, for a total transaction of $869,045.70. Following the transaction, the chief executive officer owned 3,684,947 shares in the company, valued at approximately $23,325,714.51. The trade was a 3.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Michael Zagorsek sold 71,113 shares of SoundHound AI stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $6.33, for a total value of $450,145.29. Following the completion of the sale, the chief operating officer owned 2,600,231 shares in the company, valued at approximately $16,459,462.23. This trade represents a 2.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders have sold 288,758 shares of company stock valued at $1,828,598. Company insiders own 8.84% of the company’s stock.

Hedge Funds Weigh In On SoundHound AI

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. SG Americas Securities LLC purchased a new position in SoundHound AI during the 1st quarter worth approximately $1,606,000. AXQ Capital LP lifted its holdings in shares of SoundHound AI by 395.6% in the second quarter. AXQ Capital LP now owns 254,744 shares of the company’s stock valued at $1,648,000 after purchasing an additional 203,345 shares in the last quarter. Corient Private Wealth LP lifted its holdings in shares of SoundHound AI by 777.2% in the second quarter. Corient Private Wealth LP now owns 176,764 shares of the company’s stock valued at $1,144,000 after purchasing an additional 156,612 shares in the last quarter. Themes Management Co LLC boosted its position in shares of SoundHound AI by 86.5% in the first quarter. Themes Management Co LLC now owns 191,444 shares of the company’s stock worth $1,315,000 after buying an additional 88,820 shares during the period. Finally, California State Teachers Retirement System boosted its position in shares of SoundHound AI by 25.0% in the first quarter. California State Teachers Retirement System now owns 440,023 shares of the company’s stock worth $3,023,000 after buying an additional 87,998 shares during the period. 19.28% of the stock is owned by institutional investors and hedge funds.

SoundHound AI Company Profile

SoundHound AI, Inc develops voice artificial intelligence technologies that enable people to interact with products and services using natural language. Its platform is designed to understand conversational speech, answer questions, and support voice-enabled experiences across automotive, restaurant, consumer electronics and other industries.

The company’s offerings include the Houndify voice AI platform, which businesses can use to build customized voice assistants, and SoundHound Chat AI, a conversational assistant designed to provide responses and complete tasks through voice interaction.