SoundHound AI (NASDAQ:SOUN) Trading Down 3.2% – Should You Sell?

SoundHound AI, Inc. (NASDAQ:SOUN) was down 3.2% during mid-day trading on Tuesday . The company traded as low as $7.43 and last traded at $7.52. Approximately 16,630,906 shares were traded during mid-day trading, a decline of 51% from the average daily volume of 34,011,348 shares. The stock had previously closed at $7.77.

Analyst Ratings Changes

A number of analysts have issued reports on SOUN shares. LADENBURG THALM/SH SH reiterated a “neutral” rating and issued a $7.00 target price on shares of SoundHound AI in a research note on Wednesday. HC Wainwright lifted their target price on shares of SoundHound AI from $7.00 to $8.00 and gave the company a “buy” rating in a research note on Thursday. Northland Securities lifted their target price on shares of SoundHound AI from $5.50 to $6.00 and gave the company a “market perform” rating in a research note on Friday, August 9th. Cantor Fitzgerald upgraded shares of SoundHound AI from a “neutral” rating to an “overweight” rating and lifted their target price for the company from $5.00 to $7.00 in a research note on Friday, August 9th. Finally, Wedbush reiterated an “outperform” rating and issued a $9.00 target price on shares of SoundHound AI in a research note on Thursday, September 26th. Three research analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $7.64.

SoundHound AI Stock Up 5.7 %

The company has a market cap of $2.38 billion, a P/E ratio of -19.22 and a beta of 2.71. The stock’s 50-day moving average price is $5.21 and its 200 day moving average price is $4.93.

SoundHound AI (NASDAQ:SOUN) last released its quarterly earnings results on Tuesday, November 12th. The company reported ($0.06) EPS for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.01. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 73.21%. The company had revenue of $25.10 million for the quarter, compared to analyst estimates of $23.02 million. During the same quarter last year, the firm posted ($0.09) earnings per share. The company’s quarterly revenue was up 88.7% compared to the same quarter last year. Analysts expect that SoundHound AI, Inc. will post -0.36 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CFO Nitesh Sharan sold 39,728 shares of the business’s stock in a transaction on Friday, September 20th. The shares were sold at an average price of $4.88, for a total transaction of $193,872.64. Following the transaction, the chief financial officer now owns 1,560,411 shares of the company’s stock, valued at approximately $7,614,805.68. The trade was a 2.48 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. In related news, CFO Nitesh Sharan sold 39,728 shares of the business’s stock in a transaction on Friday, September 20th. The shares were sold at an average price of $4.88, for a total transaction of $193,872.64. Following the transaction, the chief financial officer now owns 1,560,411 shares of the company’s stock, valued at approximately $7,614,805.68. The trade was a 2.48 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Keyvan Mohajer sold 63,544 shares of the business’s stock in a transaction on Monday, September 23rd. The shares were sold at an average price of $4.92, for a total transaction of $312,636.48. Following the completion of the sale, the chief executive officer now directly owns 2,299,148 shares in the company, valued at $11,311,808.16. This trade represents a 2.69 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 327,275 shares of company stock valued at $1,606,644. 12.28% of the stock is owned by company insiders.

Institutional Investors Weigh In On SoundHound AI

Several institutional investors and hedge funds have recently bought and sold shares of the business. Kings Path Partners LLC acquired a new stake in shares of SoundHound AI in the 2nd quarter valued at $28,000. International Assets Investment Management LLC acquired a new stake in shares of SoundHound AI in the 2nd quarter valued at $31,000. NBC Securities Inc. boosted its stake in shares of SoundHound AI by 97.8% in the 3rd quarter. NBC Securities Inc. now owns 7,720 shares of the company’s stock valued at $35,000 after purchasing an additional 3,818 shares in the last quarter. Amalgamated Bank boosted its stake in shares of SoundHound AI by 108.0% in the 2nd quarter. Amalgamated Bank now owns 9,819 shares of the company’s stock valued at $39,000 after purchasing an additional 5,099 shares in the last quarter. Finally, Signaturefd LLC boosted its stake in shares of SoundHound AI by 27.3% in the 2nd quarter. Signaturefd LLC now owns 10,255 shares of the company’s stock valued at $41,000 after purchasing an additional 2,200 shares in the last quarter. Institutional investors own 19.28% of the company’s stock.

About SoundHound AI

SoundHound AI, Inc develops independent voice artificial intelligence (AI) solutions that enables businesses across automotive, TV, and IoT, and to customer service industries to deliver high-quality conversational experiences to their customers. Its products include Houndify platform that offers a suite of Houndify tools to help brands build conversational voice assistants, such as Application Programming Interfaces (API) for text and voice queries, support for custom commands, extensive library of content domains, inclusive software development kit platforms, collaboration capabilities, diagnostic tools, and built-in analytics; SoundHound Chat AI that integrates with knowledge domains, pulling real-time data like weather, sports, stocks, flight status, and restaurants; and SoundHound Smart Answering is built to offer customer establishments custom AI-powered voice assistant.