SoundHound AI (NASDAQ:SOUN) Stock Price Up 1% – Here’s What Happened

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) were up 1% during trading on Wednesday. The stock traded as high as $4.02 and last traded at $3.91. Approximately 19,066,462 shares traded hands during mid-day trading, a decline of 27% from the average daily volume of 26,211,299 shares. The stock had previously closed at $3.87.

Latest SoundHound AI News

Investors following SOUN have been watching these news items:

• Positive Sentiment: SoundHound is targeting $120 million in annual cost savings following its LivePerson acquisition and aims to achieve positive adjusted EBITDA in the second half of 2027. Progress toward those targets could strengthen the case for improved profitability. SoundHound’s $120M Annual Cost Cuts: A Path to Profitability?
• Positive Sentiment: The company has launched a platform for enterprises to build custom AI agents, raised its 2026 revenue guidance, and issued an optimistic 2027 outlook. These developments may support expectations for future growth. Should You Buy SoundHound AI Stock After Its 83% Plunge? The Answer Might Surprise You.
• Negative Sentiment: Recent selling pressure followed a third-quarter revenue result that fell short of analyst expectations. Commentary also highlights weak sequential revenue growth and lower gross margins, raising concerns about the pace and quality of growth. Why SoundHound AI stock is down today

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Cantor Fitzgerald cut their target price on shares of SoundHound AI from $15.00 to $10.00 and set an “overweight” rating for the company in a research note on Friday, November 6th. Weiss Ratings raised shares of SoundHound AI from a “sell (e+)” rating to a “sell (d-)” rating in a report on Thursday, October 15th. Yorkville Ives started coverage on SoundHound AI in a report on Monday, October 5th. They issued an “in-line” rating and a $6.50 target price on the stock. Oppenheimer reiterated a “market perform” rating on shares of SoundHound AI in a research report on Friday, November 6th. Finally, Piper Sandler cut their price target on SoundHound AI from $7.00 to $6.00 and set a “neutral” rating for the company in a report on Tuesday, September 22nd. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $9.50.

SoundHound AI Price Performance

The firm has a market cap of $1.74 billion, a P/E ratio of -18.67 and a beta of 2.89. The company’s 50-day simple moving average is $5.37 and its 200 day simple moving average is $6.96.

SoundHound AI (NASDAQ:SOUN) last posted its earnings results on Thursday, November 5th. The company reported ($0.05) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.12) by $0.07. The firm had revenue of $62.43 million for the quarter, compared to the consensus estimate of $61.71 million. SoundHound AI had a negative net margin of 33.17% and a negative return on equity of 15.72%. The business’s quarterly revenue was up 48.5% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.03) EPS. Analysts anticipate that SoundHound AI, Inc. will post -0.39 EPS for the current fiscal year.

Insider Buying and Selling

In other SoundHound AI news, CEO Keyvan Mohajer sold 137,290 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $6.33, for a total transaction of $869,045.70. Following the sale, the chief executive officer directly owned 3,684,947 shares of the company’s stock, valued at $23,325,714.51. The trade was a 3.59% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 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 that occurred 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 sale, the insider owned 1,105,555 shares in the company, valued at approximately $6,998,163.15. This trade represents 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. In the last three months, insiders have sold 288,758 shares of company stock worth $1,828,598. Insiders own 8.84% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Swiss National Bank increased its position in SoundHound AI by 3.7% during the first quarter. Swiss National Bank now owns 767,100 shares of the company’s stock valued at $5,270,000 after acquiring an additional 27,300 shares during the last quarter. Calamos Advisors LLC purchased a new stake in shares of SoundHound AI in the third quarter valued at $4,195,000. California State Teachers Retirement System lifted its holdings in shares of SoundHound AI by 25.0% in the 1st quarter. California State Teachers Retirement System now owns 440,023 shares of the company’s stock worth $3,023,000 after acquiring an additional 87,998 shares during the last quarter. AXQ Capital LP lifted its holdings in shares of SoundHound AI by 395.6% in the 2nd quarter. AXQ Capital LP now owns 254,744 shares of the company’s stock worth $1,648,000 after acquiring an additional 203,345 shares during the last quarter. Finally, Themes Management Co LLC boosted its stake in shares of SoundHound AI by 86.5% during the 1st quarter. Themes Management Co LLC now owns 191,444 shares of the company’s stock worth $1,315,000 after purchasing an additional 88,820 shares during the period. 19.28% of the stock is owned by hedge funds and other institutional investors.

About SoundHound AI

SoundHound AI develops voice and conversational artificial intelligence technology for businesses. Its platform is designed to let people interact with products and services using natural speech, without relying solely on preset commands or menus. The company offers voice assistants and conversational tools for industries including automotive, restaurants, and consumer electronics. Its products include Houndify, a platform for building voice-enabled applications, and SoundHound Chat AI, which combines conversational voice technology with generative AI.