SoundHound AI (NASDAQ:SOUN) Shares Down 2.9% – What’s Next?

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) dropped 2.9% on Thursday . The stock traded as low as $6.24 and last traded at $6.31. Approximately 33,951,943 shares traded hands during mid-day trading, an increase of 24% from the average daily volume of 27,477,693 shares. The stock had previously closed at $6.50.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on SOUN. Weiss Ratings reiterated a “sell (e+)” rating on shares of SoundHound AI in a research report on Monday, June 15th. DA Davidson reaffirmed a “buy” rating and issued a $14.00 price target on shares of SoundHound AI in a research note on Wednesday, April 22nd. Finally, LADENBURG THALM/SH SH upgraded shares of SoundHound AI to a “strong-buy” rating in a report on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $14.93.

SoundHound AI Trading Down 2.9%

The company has a market capitalization of $2.73 billion, a price-to-earnings ratio of -13.43 and a beta of 2.62. The firm has a 50-day moving average price of $7.49 and a 200-day moving average price of $8.12.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings data on Thursday, May 7th. The company reported ($0.06) earnings per share for the quarter, missing the consensus estimate of ($0.05) by ($0.01). SoundHound AI had a negative net margin of 91.84% and a negative return on equity of 40.15%. The firm had revenue of $44.20 million during the quarter, compared to analyst estimates of $42.56 million. During the same quarter last year, the company earned ($0.06) EPS. The company’s quarterly revenue was up 51.7% compared to the same quarter last year. Equities research analysts predict that SoundHound AI, Inc. will post -0.45 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 business’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $7.46, for a total value of $140,262.92. Following the sale, the chief technology officer directly owned 502,290 shares in the company, valued at approximately $3,747,083.40. The trade was a 3.61% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, 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 company’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 $943,988.40. Following the completion of the sale, the chief executive officer directly owned 1,947,237 shares of the company’s stock, valued at $14,526,388.02. The trade was a 6.10% 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. Insiders sold 268,022 shares of company stock valued at $1,999,444 in the last quarter. 8.84% of the stock is owned by company insiders.

Institutional Trading of SoundHound AI

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Handelsbanken Fonder AB boosted its holdings in SoundHound AI by 17.4% during the second quarter. Handelsbanken Fonder AB now owns 124,000 shares of the company’s stock worth $802,000 after buying an additional 18,400 shares in the last quarter. Focus Financial Network Inc. grew its position in SoundHound AI by 21.4% in the second quarter. Focus Financial Network Inc. now owns 48,229 shares of the company’s stock worth $312,000 after buying an additional 8,516 shares during the last quarter. IFC & Insurance Marketing Inc. increased its holdings in shares of SoundHound AI by 17.9% in the second quarter. IFC & Insurance Marketing Inc. now owns 42,255 shares of the company’s stock valued at $273,000 after buying an additional 6,427 shares in the last quarter. Hennion & Walsh Asset Management Inc. increased its holdings in shares of SoundHound AI by 19.2% in the second quarter. Hennion & Walsh Asset Management Inc. now owns 118,662 shares of the company’s stock valued at $768,000 after buying an additional 19,133 shares in the last quarter. Finally, Empowered Funds LLC increased its holdings in shares of SoundHound AI by 19.6% in the first quarter. Empowered Funds LLC now owns 13,896 shares of the company’s stock valued at $95,000 after buying an additional 2,277 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.