SoundHound AI (NASDAQ:SOUN) Trading Up 2.6% – Here’s What Happened

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) rose 2.6% on Thursday . The company traded as high as $10.93 and last traded at $10.90. Approximately 20,413,166 shares were traded during trading, a decline of 27% from the average daily volume of 27,782,861 shares. The stock had previously closed at $10.62.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on SOUN shares. Cantor Fitzgerald raised SoundHound AI from a “neutral” rating to an “overweight” rating and raised their target price for the company from $13.00 to $15.00 in a report on Friday, December 12th. DA Davidson set a $14.00 price target on shares of SoundHound AI in a report on Thursday, January 8th. Zacks Research cut shares of SoundHound AI from a “hold” rating to a “strong sell” rating in a research note on Monday, January 12th. Piper Sandler lowered their target price on shares of SoundHound AI from $15.00 to $11.00 and set a “neutral” rating on the stock in a research report on Monday, January 5th. Finally, HC Wainwright increased their target price on shares of SoundHound AI from $18.00 to $26.00 and gave the company a “buy” rating in a report on Thursday, October 16th. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, two have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, SoundHound AI presently has an average rating of “Moderate Buy” and an average target price of $16.07.

SoundHound AI Stock Performance

The stock has a market capitalization of $4.58 billion, a PE ratio of -12.98 and a beta of 2.65. The company’s fifty day simple moving average is $11.34 and its two-hundred day simple moving average is $13.55.

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 analyst estimates of $40.48 million. During the same period in the prior year, the business earned ($0.04) earnings per share. The company’s quarterly revenue was up 67.6% on a year-over-year basis. Sell-side analysts forecast that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insider Buying and Selling

In other news, SVP Majid Emami sold 42,600 shares of the company’s stock in a transaction on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total value of $480,528.00. Following the sale, the senior vice president directly owned 565,586 shares in the company, valued at $6,379,810.08. This represents a 7.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Keyvan Mohajer sold 144,326 shares of the stock in a transaction on Monday, December 22nd. The shares were sold at an average price of $11.28, for a total value of $1,627,997.28. Following the sale, the chief executive officer directly owned 2,198,287 shares in the company, valued at approximately $24,796,677.36. The trade was a 6.16% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 462,265 shares of company stock valued at $5,216,518. Company insiders own 9.17% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Danske Bank A S purchased a new stake in shares of SoundHound AI in the third quarter valued at $26,000. Investors Research Corp boosted its stake in SoundHound AI by 62.4% in 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 during the last quarter. Financial Consulate Inc. purchased a new stake in SoundHound AI in the 3rd quarter valued at about $32,000. Sound Income Strategies LLC increased its stake in shares of SoundHound AI by 37.3% during the 3rd quarter. Sound Income Strategies LLC now owns 2,116 shares of the company’s stock valued at $34,000 after acquiring an additional 575 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. lifted its holdings in shares of SoundHound AI by 83.1% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock worth $25,000 after acquiring an additional 1,060 shares during the period. 19.28% of the stock is currently 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.