SoundHound AI (NASDAQ:SOUN) Stock Price Down 4.7% – Time to Sell?

SoundHound AI, Inc. (NASDAQ:SOUN) dropped 4.7% on Monday . The company traded as low as $9.80 and last traded at $9.84. Approximately 21,838,645 shares traded hands during mid-day trading, a decline of 20% from the average daily volume of 27,341,064 shares. The stock had previously closed at $10.33.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on SOUN. Weiss Ratings reissued a “sell (d-)” rating on shares of SoundHound AI in a research report on Friday, January 9th. DA Davidson set a $14.00 price target on SoundHound AI in a research note on Thursday, January 8th. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and raised their price objective for the company from $13.00 to $15.00 in a research note on Friday, December 12th. Zacks Research lowered SoundHound AI from a “hold” rating to a “strong sell” rating in a research report on Monday, January 12th. Finally, LADENBURG THALM/SH SH raised shares of SoundHound AI to a “strong-buy” rating in a research report on Thursday, December 18th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, two have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $16.07.

SoundHound AI Stock Down 4.7%

The stock has a 50 day simple moving average of $11.27 and a 200 day simple moving average of $13.54.

SoundHound AI (NASDAQ:SOUN) last released its quarterly earnings data on Thursday, November 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.09) by $0.06. The business had revenue of $42.05 million during the quarter, compared to analyst estimates of $40.48 million. SoundHound AI had a negative return on equity of 93.64% and a negative net margin of 211.16%.The business’s revenue for the quarter was up 67.6% compared to the same quarter last year. During the same quarter in the previous year, the firm posted ($0.04) EPS. Equities research analysts predict that SoundHound AI, Inc. will post -0.38 EPS for the current year.

Insider Buying and Selling

In other news, CEO Keyvan Mohajer sold 144,326 shares of the firm’s stock in a transaction on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total transaction of $1,627,997.28. Following the completion of the sale, the chief executive officer directly owned 2,198,287 shares of the company’s stock, valued at $24,796,677.36. This trade represents a 6.16% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Nitesh Sharan sold 60,780 shares of the business’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 $685,598.40. Following the sale, the chief financial officer directly owned 1,705,148 shares in the company, valued at $19,234,069.44. This trade represents a 3.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 462,265 shares of company stock valued at $5,216,518 in the last three months. Insiders own 9.17% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

Several hedge funds have recently made changes to their positions in the company. Danske Bank A S bought a new stake in shares of SoundHound AI during the 3rd quarter worth $26,000. Investors Research Corp raised its position in SoundHound AI by 62.4% in the third quarter. Investors Research Corp now owns 1,822 shares of the company’s stock worth $29,000 after purchasing an additional 700 shares in the last quarter. Financial Consulate Inc. bought a new stake in shares of SoundHound AI in the 3rd quarter valued at approximately $32,000. Sound Income Strategies LLC lifted its position 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 worth $34,000 after buying an additional 575 shares during the period. Finally, Northwestern Mutual Wealth Management Co. boosted its stake in shares of SoundHound AI by 83.1% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock valued at $25,000 after purchasing an additional 1,060 shares in the last quarter. Hedge funds and other institutional investors own 19.28% of the company’s stock.

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.