SoundHound AI (NASDAQ:SOUN) Trading 4.2% Higher – Time to Buy?

SoundHound AI, Inc. (NASDAQ:SOUN) rose 4.2% during trading on Tuesday . The stock traded as high as $6.46 and last traded at $6.45. Approximately 10,070,668 shares traded hands during trading, a decline of 71% from the average daily volume of 34,474,207 shares. The stock had previously closed at $6.19.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on SOUN shares. DA Davidson restated a “buy” rating and issued a $9.50 target price on shares of SoundHound AI in a report on Monday, September 30th. Northland Securities lifted their price target on SoundHound AI from $5.50 to $6.00 and gave the stock a “market perform” rating in a report on Friday, August 9th. Wedbush reissued an “outperform” rating and set a $9.00 target price on shares of SoundHound AI in a research report on Thursday, September 26th. HC Wainwright boosted their price objective on SoundHound AI from $7.00 to $8.00 and gave the company a “buy” rating in a research note on Thursday, November 14th. Finally, Barclays reaffirmed a “neutral” rating and set a $7.00 target price on shares of SoundHound AI in a report on Wednesday, November 13th. Three research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to MarketBeat, SoundHound AI currently has a consensus rating of “Moderate Buy” and a consensus target price of $7.64.

SoundHound AI Stock Up 4.2 %

The stock has a market capitalization of $2.31 billion, a PE ratio of -18.42 and a beta of 2.71. The stock’s 50-day moving average price is $5.33 and its two-hundred day moving average price is $4.97. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.58 and a current ratio of 2.58.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings results on Tuesday, November 12th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.01. The firm had revenue of $25.10 million for the quarter, compared to the consensus estimate of $23.02 million. SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. The company’s quarterly revenue was up 88.7% on a year-over-year basis. During the same period in the prior year, the company posted ($0.09) earnings per share. As a group, analysts expect that SoundHound AI, Inc. will post -0.37 EPS for the current fiscal year.

Insider Transactions at SoundHound AI

In other news, CEO Keyvan Mohajer sold 90,641 shares of the firm’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 $442,328.08. Following the sale, the chief executive officer now directly owns 2,362,692 shares in the company, valued at $11,529,936.96. This trade represents a 3.69 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CTO Timothy Stonehocker sold 20,337 shares of the firm’s stock in a transaction that occurred on Friday, September 20th. The shares were sold at an average price of $4.88, for a total value of $99,244.56. Following the transaction, the chief technology officer now owns 1,039,194 shares of the company’s stock, valued at $5,071,266.72. This represents a 1.92 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 277,275 shares of company stock worth $1,355,644 in the last quarter. Company insiders own 12.28% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

Large investors have recently added to or reduced their stakes in the stock. Geode Capital Management LLC boosted its holdings in shares of SoundHound AI by 9.1% in the third quarter. Geode Capital Management LLC now owns 7,193,599 shares of the company’s stock valued at $33,529,000 after purchasing an additional 602,311 shares during the period. MML Investors Services LLC purchased a new stake in SoundHound AI during the 3rd quarter valued at about $86,000. State Street Corp increased its holdings in SoundHound AI by 0.6% in the 3rd quarter. State Street Corp now owns 7,197,414 shares of the company’s stock worth $33,540,000 after buying an additional 42,869 shares during the period. Stifel Financial Corp lifted its position in SoundHound AI by 122.4% during the third quarter. Stifel Financial Corp now owns 148,970 shares of the company’s stock valued at $694,000 after purchasing an additional 81,990 shares during the period. Finally, Point72 DIFC Ltd purchased a new stake in shares of SoundHound AI in the third quarter worth about $148,000. 19.28% of the stock is owned by hedge funds and other institutional investors.

SoundHound AI Company Profile

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.