SoundHound AI (NASDAQ:SOUN) Trading Down 6.5% After Insider Selling

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) dropped 6.5% on Thursday following insider selling activity. The company traded as low as $6.06 and last traded at $6.06. Approximately 16,010,978 shares traded hands during trading, a decline of 41% from the average daily volume of 27,240,650 shares. The stock had previously closed at $6.48.

Specifically, SVP Majid Emami sold 31,019 shares of the firm’s stock in a transaction on Friday, March 20th. The stock was sold at an average price of $6.79, for a total value of $210,619.01. Following the transaction, the senior vice president owned 501,826 shares in the company, valued at approximately $3,407,398.54. This trade represents a 5.82% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider James Ming Hom sold 31,019 shares of the company’s stock in a transaction dated Friday, March 20th. The stock was sold at an average price of $6.79, for a total transaction of $210,619.01. Following the sale, the insider directly owned 772,364 shares of the company’s stock, valued at $5,244,351.56. This represents a 3.86% decrease in their position. The SEC filing for this sale provides additional information. In other SoundHound AI news, CEO Keyvan Mohajer sold 124,510 shares of the stock in a transaction dated Friday, March 20th. The shares were sold at an average price of $6.79, for a total transaction of $845,422.90. Following the sale, the chief executive officer directly owned 2,073,777 shares in the company, valued at $14,080,945.83. This represents a 5.66% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website.

Analyst Upgrades and Downgrades

SOUN has been the subject of several analyst reports. Cantor Fitzgerald upgraded shares of SoundHound AI from a “neutral” rating to an “overweight” rating and boosted their target price for the company from $13.00 to $15.00 in a research report on Friday, December 12th. HC Wainwright reduced their price target on shares of SoundHound AI from $26.00 to $20.00 and set a “buy” rating on the stock in a research report on Monday, March 2nd. DA Davidson set a $14.00 price objective on shares of SoundHound AI in a research note on Thursday, January 8th. LADENBURG THALM/SH SH upgraded shares of SoundHound AI to a “strong-buy” rating in a research report on Thursday, December 18th. Finally, Zacks Research upgraded shares of SoundHound AI from a “strong sell” rating to a “hold” rating in a research report on Monday, February 9th. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $14.93.

Key SoundHound AI News

Here are the key news stories impacting SoundHound AI this week:

• Positive Sentiment: SoundHound was named a leader in The Aragon Research Globe for Agent Platforms 2026 — independent recognition of its omnichannel agent platform and conversational AI that supports the company’s product/market credibility. Aragon Research Globe — Press Release
• Positive Sentiment: Feature/analyst pieces continue to flag SoundHound as a multi‑year upside story in voice‑powered, agentic AI — a tailwind for patient investors if the company executes on enterprise deployments. Fool: 3 Stocks That Could Turn $10,000 Into $100,000 by 2030
• Positive Sentiment: Analyst consensus remains well above the current share price (consensus target ~$14.93), signaling institutional expectations of upside longer term. Consensus Target Price Report
• Neutral Sentiment: Short‑interest updates published this week appear to show zero shares / NaN changes — likely a data/reporting artifact; does not provide a clear short‑pressure signal for today.
• Negative Sentiment: Coordinated material insider selling on Mar. 20: multiple senior executives (CEO, CFO, COO, CTO, SVP and others) sold large blocks around ~$6.79 — heavy insider supply often spooks investors and can be the primary driver of near‑term declines. Example SEC filing for the CEO sale: CEO Insider Sale SEC Filing
• Negative Sentiment: Negative media commentary: Jim Cramer labeled SoundHound a “continual money loser” on Mad Money — high‑profile skepticism can amplify selling pressure among retail and momentum traders. Jim Cramer on SoundHound AI
• Negative Sentiment: Sector/headline risk: a market roundup noted that advances from competitors (e.g., Anthropic adding device control to Claude) sparked a pullback across some AI assistant names, increasing perceived competitive pressure and short‑term selling. Yahoo Markets: AI assistant news triggers sell‑off

SoundHound AI Price Performance

The business’s fifty day moving average price is $8.39 and its 200 day moving average price is $12.17. The stock has a market cap of $2.56 billion, a P/E ratio of -121.18 and a beta of 2.65.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings results on Thursday, February 26th. The company reported ($0.02) earnings per share (EPS) for the quarter, meeting the consensus estimate of ($0.02). The company had revenue of $55.06 million for the quarter, compared to analyst estimates of $53.88 million. SoundHound AI had a negative net margin of 8.71% and a negative return on equity of 3.63%. The firm’s revenue was up 59.4% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.05) EPS. On average, analysts predict that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Institutional Trading of SoundHound AI

A number of hedge funds have recently added to or reduced their stakes in SOUN. Northwestern Mutual Wealth Management Co. increased its holdings in shares of SoundHound AI by 83.1% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock worth $25,000 after buying an additional 1,060 shares in the last quarter. Dogwood Wealth Management LLC boosted its holdings in shares of SoundHound AI by 152.1% during the 4th quarter. Dogwood Wealth Management LLC now owns 2,559 shares of the company’s stock valued at $26,000 after acquiring an additional 1,544 shares in the last quarter. Danske Bank A S acquired a new stake in shares of SoundHound AI during the 3rd quarter valued at $26,000. Advisors Asset Management Inc. grew its position in SoundHound AI by 68.4% during the 2nd quarter. Advisors Asset Management Inc. now owns 2,519 shares of the company’s stock worth $27,000 after acquiring an additional 1,023 shares during the last quarter. Finally, SHP Wealth Management bought a new stake in SoundHound AI during the 4th quarter worth $27,000. Institutional investors and hedge funds own 19.28% of the company’s stock.

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.