SoundHound AI (NASDAQ:SOUN) Raised to Sell at Wall Street Zen

SoundHound AI (NASDAQ:SOUN) was upgraded by equities research analysts at Wall Street Zen from a “strong sell” rating to a “sell” rating in a note issued to investors on Saturday, Wall Street Zen reports.

Several other research firms have also recently commented on SOUN. Piper Sandler reduced their target price on shares of SoundHound AI from $7.00 to $6.00 and set a “neutral” rating for the company in a research note on Tuesday, September 22nd. DA Davidson cut their price target 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. Yorkville Ives began coverage on shares of SoundHound AI in a research report on Monday, October 5th. They issued an “in-line” rating and a $6.50 price objective for the company. Finally, Weiss Ratings upgraded SoundHound AI from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Thursday, October 15th. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, SoundHound AI presently has an average rating of “Moderate Buy” and an average price target of $11.50.

SoundHound AI Stock Performance

Shares of SOUN opened at $4.43 on Friday. SoundHound AI has a fifty-two week low of $4.35 and a fifty-two week high of $19.09. The firm has a 50-day simple moving average of $6.06 and a 200-day simple moving average of $6.89. The company has a market capitalization of $1.97 billion, a price-to-earnings ratio of -11.66 and a beta of 2.73.

SoundHound AI (NASDAQ:SOUN) last issued its quarterly earnings results on Wednesday, August 5th. The company reported ($0.02) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.13) by $0.11. SoundHound AI had a negative return on equity of 30.22% and a negative net margin of 67.45%. The firm had revenue of $61.90 million for the quarter, compared to analysts’ expectations of $52.38 million. During the same quarter in the previous year, the firm posted ($0.19) EPS. The firm’s revenue for the quarter was up 45.0% on a year-over-year basis. Equities research analysts forecast that SoundHound AI will post -0.40 EPS for the current year.

Insiders Place Their Bets

In related news, SVP Majid Emami sold 38,730 shares of the firm’s stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $6.33, for a total transaction of $245,160.90. Following the transaction, the senior vice president owned 834,253 shares in the company, valued at $5,280,821.49. This trade represents a 4.44% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider James Hom sold 38,730 shares of the company’s stock in a transaction on Tuesday, September 15th. The shares were sold at an average price of $6.33, for a total value of $245,160.90. Following the transaction, the insider directly owned 1,105,555 shares in the company, valued at $6,998,163.15. The trade was a 3.38% 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. Over the last ninety days, insiders have sold 288,758 shares of company stock valued at $1,828,598. 8.84% of the stock is owned by company insiders.

Institutional Trading of SoundHound AI

Large investors have recently added to or reduced their stakes in the company. Financial Management Professionals Inc. bought a new position in shares of SoundHound AI in the third quarter valued at about $30,000. Trueblood Wealth Management LLC boosted its position in SoundHound AI by 43.4% in the 3rd quarter. Trueblood Wealth Management LLC now owns 59,082 shares of the company’s stock valued at $356,000 after buying an additional 17,882 shares during the last quarter. Sterling Capital Management LLC raised its position in shares of SoundHound AI by 883.1% during the third quarter. Sterling Capital Management LLC now owns 13,812 shares of the company’s stock worth $83,000 after acquiring an additional 12,407 shares during the last quarter. SBI Securities Co. Ltd. boosted its holdings in SoundHound AI by 14.5% in the third quarter. SBI Securities Co. Ltd. now owns 108,959 shares of the company’s stock valued at $656,000 after acquiring an additional 13,815 shares during the last quarter. Finally, Element Pointe Advisors LLC bought a new stake in SoundHound AI during the 3rd quarter worth about $66,000. 19.28% of the stock is owned by institutional investors.

About SoundHound AI

SoundHound AI, Inc develops voice artificial intelligence and conversational intelligence technologies. Its platform is designed to enable people to interact with devices, applications and services using natural language, with capabilities including speech recognition, language understanding and conversational response generation.

The company’s offerings include the Houndify platform, which businesses can use to create branded voice assistants and conversational interfaces. SoundHound AI also provides voice-enabled solutions for industries such as automotive, restaurants and customer service, allowing users to access information, control functions, place orders and engage with businesses through voice interactions.