SoundHound AI (NASDAQ:SOUN) Shares Down 1.9% – Here’s What Happened

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) fell 1.9% on Thursday . The company traded as low as $6.52 and last traded at $6.55. Approximately 18,255,768 shares changed hands during mid-day trading, a decline of 33% from the average daily volume of 27,284,254 shares. The stock had previously closed at $6.68.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of SoundHound AI in a research note on Monday, June 15th. LADENBURG THALM/SH SH upgraded shares of SoundHound AI to a “strong-buy” rating in a research note on Wednesday, May 6th. Finally, DA Davidson reaffirmed a “buy” rating and set a $14.00 price target on shares of SoundHound AI in a research note on Wednesday, April 22nd. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, SoundHound AI currently has an average rating of “Moderate Buy” and an average target price of $14.93.

SoundHound AI Stock Up 0.2%

The stock’s 50 day moving average is $7.75 and its two-hundred day moving average is $8.38. The company has a market capitalization of $2.84 billion, a PE ratio of -13.96 and a beta of 2.62.

SoundHound AI (NASDAQ:SOUN) last posted its earnings results on Thursday, May 7th. The company reported ($0.06) EPS for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.01). SoundHound AI had a negative net margin of 91.84% and a negative return on equity of 40.15%. The business had revenue of $44.20 million for the quarter, compared to analysts’ expectations of $42.56 million. During the same period last year, the business posted ($0.06) EPS. The company’s revenue for the quarter was up 51.7% on a year-over-year basis. On average, sell-side analysts predict that SoundHound AI, Inc. will post -0.45 EPS for the current fiscal year.

Insider Activity at SoundHound AI

In other SoundHound AI news, insider James Ming Hom sold 28,843 shares of SoundHound AI stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $215,168.78. Following the completion of the sale, the insider directly owned 743,521 shares in the company, valued at approximately $5,546,666.66. The trade was a 3.73% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CTO Timothy Stonehocker sold 18,802 shares of SoundHound AI stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $140,262.92. Following the transaction, the chief technology officer directly owned 502,290 shares of the company’s stock, valued at approximately $3,747,083.40. This trade represents a 3.61% 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. Insiders have sold a total of 268,022 shares of company stock worth $1,999,444 in the last quarter. 8.84% of the stock is owned by insiders.

Institutional Investors Weigh In On SoundHound AI

Several institutional investors and hedge funds have recently added to or reduced their stakes in SOUN. Danske Bank A S acquired a new position in SoundHound AI during the third quarter worth about $26,000. Northwestern Mutual Wealth Management Co. lifted its stake in SoundHound AI by 83.1% in the 2nd 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. 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 worth $26,000 after purchasing an additional 1,544 shares during the last quarter. SHP Wealth Management acquired a new stake in shares of SoundHound AI in the fourth quarter valued at approximately $27,000. Finally, Parallel Advisors LLC increased its holdings in shares of SoundHound AI by 42.8% in the third quarter. Parallel Advisors LLC now owns 3,204 shares of the company’s stock valued at $52,000 after purchasing an additional 960 shares during the last quarter. 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.