SoundHound AI (NASDAQ:SOUN) Stock Price Down 2.7% Following Insider Selling

SoundHound AI, Inc. (NASDAQ:SOUN) shares traded down 2.7% on Monday after an insider sold shares in the company. The stock traded as low as $10.29 and last traded at $10.41. 20,408,017 shares were traded during mid-day trading, a decline of 53% from the average session volume of 43,207,410 shares. The stock had previously closed at $10.70.

Specifically, CTO Timothy Stonehocker sold 31,329 shares of the company’s stock in a transaction dated Monday, December 22nd. The stock was sold at an average price of $11.28, for a total transaction of $353,391.12. Following the completion of the sale, the chief technology officer owned 575,976 shares in the company, valued at approximately $6,497,009.28. This represents a 5.16% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, COO Michael Zagorsek sold 73,406 shares of the business’s stock in a transaction that occurred on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total value of $828,019.68. Following the completion of the sale, the chief operating officer owned 1,787,459 shares of the company’s stock, valued at approximately $20,162,537.52. This trade represents a 3.94% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In other SoundHound AI news, CFO Nitesh Sharan sold 60,780 shares of the company’s stock in a transaction that occurred on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total transaction of $685,598.40. Following the completion of the sale, the chief financial officer owned 1,705,148 shares of the company’s stock, valued at $19,234,069.44. This represents a 3.44% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website.

Analysts Set New Price Targets

A number of analysts have recently weighed in on SOUN shares. HC Wainwright boosted their price objective on shares of SoundHound AI from $18.00 to $26.00 and gave the stock a “buy” rating in a research note on Thursday, October 16th. Cantor Fitzgerald upgraded shares of SoundHound AI from a “neutral” rating to an “overweight” rating and lifted their target price for the stock from $13.00 to $15.00 in a report on Friday, December 12th. Wedbush restated an “outperform” rating and set a $16.00 price target on shares of SoundHound AI in a report on Thursday, September 11th. Piper Sandler lifted their price objective on SoundHound AI from $12.00 to $15.00 and gave the stock a “neutral” rating in a research note on Friday, November 7th. Finally, Oppenheimer assumed coverage on SoundHound AI in a research report on Thursday, September 11th. They set a “market perform” rating for the company. Two analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $17.07.

SoundHound AI Stock Down 0.7%

The stock’s 50-day moving average price is $13.04 and its 200 day moving average price is $13.48. The firm has a market cap of $4.19 billion, a price-to-earnings ratio of -11.87 and a beta of 2.63.

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

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Danske Bank A S bought a new stake in SoundHound AI in the 3rd quarter valued at $26,000. Investors Research Corp boosted its position in shares of SoundHound AI by 62.4% during the 3rd quarter. Investors Research Corp now owns 1,822 shares of the company’s stock valued at $29,000 after acquiring an additional 700 shares in the last quarter. Financial Consulate Inc. bought a new stake in SoundHound AI in the third quarter valued at about $32,000. Sound Income Strategies LLC increased its stake in SoundHound AI by 37.3% in the third 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 period. Finally, Northwestern Mutual Wealth Management Co. raised its position in SoundHound AI by 83.1% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock worth $25,000 after purchasing an additional 1,060 shares in the last quarter. 19.28% of the stock is owned by institutional investors.

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.