SoundHound AI (NASDAQ:SOUN) Shares Up 1% – Still a Buy?

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) traded up 1% on Tuesday . The stock traded as high as $10.00 and last traded at $9.94. 22,622,325 shares traded hands during trading, a decline of 16% from the average session volume of 27,081,977 shares. The stock had previously closed at $9.84.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on SOUN shares. DA Davidson set a $14.00 price target on SoundHound AI in a research report on Thursday, January 8th. Weiss Ratings reissued a “sell (d-)” rating on shares of SoundHound AI in a research note on Friday, January 9th. Cantor Fitzgerald upgraded shares of SoundHound AI from a “neutral” rating to an “overweight” rating and raised their target price for the stock from $13.00 to $15.00 in a report on Friday, December 12th. Piper Sandler cut their price target on shares of SoundHound AI from $15.00 to $11.00 and set a “neutral” rating on the stock in a research note on Monday, January 5th. Finally, LADENBURG THALM/SH SH upgraded shares of SoundHound AI to a “strong-buy” rating in a report on Thursday, December 18th. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, two have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, SoundHound AI currently has a consensus rating of “Moderate Buy” and an average target price of $16.07.

SoundHound AI Stock Performance

The company has a market capitalization of $4.18 billion, a P/E ratio of -11.83 and a beta of 2.65. The stock’s fifty day moving average price is $11.24 and its 200-day moving average price is $13.52.

SoundHound AI (NASDAQ:SOUN) last posted its earnings results on Thursday, November 6th. The company reported ($0.03) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.06. The business had revenue of $42.05 million for 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 firm’s revenue was up 67.6% compared to the same quarter last year. During the same period in the previous year, the firm earned ($0.04) EPS. On average, research analysts predict that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insiders Place Their Bets

In other SoundHound AI news, COO Michael Zagorsek sold 73,406 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 $828,019.68. Following the transaction, the chief operating officer directly owned 1,787,459 shares of the company’s stock, valued at $20,162,537.52. This represents a 3.94% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CTO Timothy Stonehocker sold 29,676 shares of the stock in a transaction on Friday, January 9th. The stock was sold at an average price of $12.00, for a total value of $356,112.00. Following the transaction, the chief technology officer owned 544,179 shares in the company, valued at $6,530,148. The trade was a 5.17% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 462,265 shares of company stock worth $5,216,518 over the last three months. 9.17% of the stock is currently owned by corporate insiders.

Institutional Trading of SoundHound AI

A number of institutional investors have recently bought and sold shares of 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 purchasing an additional 1,060 shares during the period. Danske Bank A S acquired a new stake in SoundHound AI during the third quarter worth approximately $26,000. Advisors Asset Management Inc. increased its stake 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 period. Investors Research Corp raised its holdings in SoundHound AI by 62.4% in 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. Finally, Financial Consulate Inc. bought a new stake in shares of SoundHound AI during the 3rd quarter valued at $32,000. Institutional investors 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.