SoundHound AI (NASDAQ:SOUN) Shares Down 2.7% – What’s Next?

SoundHound AI, Inc. (NASDAQ:SOUN)’s share price was down 2.7% during mid-day trading on Friday . The stock traded as low as $6.35 and last traded at $6.45. Approximately 13,127,267 shares changed hands during mid-day trading, a decline of 62% from the average daily volume of 34,486,320 shares. The stock had previously closed at $6.63.

Analyst Ratings Changes

Several research firms recently weighed in on SOUN. 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 report on Friday, August 9th. Barclays restated a “neutral” rating and set a $7.00 price objective on shares of SoundHound AI in a research note on Wednesday. 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. Wedbush reiterated an “outperform” rating and set a $9.00 target price on shares of SoundHound AI in a report on Thursday, September 26th. Finally, DA Davidson reaffirmed a “buy” rating and issued a $9.50 price objective on shares of SoundHound AI in a research report on Monday, September 30th. Three investment analysts have rated the stock with a hold rating and four have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $7.64.

SoundHound AI Stock Down 4.4 %

The firm has a fifty day simple moving average of $5.26 and a 200-day simple moving average of $4.94. The company has a market capitalization of $2.27 billion, a PE ratio of -17.92 and a beta of 2.71. The company has a debt-to-equity ratio of 0.13, a quick ratio of 8.77 and a current ratio of 2.58.

SoundHound AI (NASDAQ:SOUN) last released its quarterly earnings results on Tuesday, November 12th. The company reported ($0.06) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.01. The business had revenue of $25.10 million during the quarter, compared to the consensus estimate of $23.02 million. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 55.58%. The business’s quarterly revenue was up 88.7% compared to the same quarter last year. During the same quarter last year, the company earned ($0.09) earnings per share. Equities research analysts anticipate that SoundHound AI, Inc. will post -0.36 EPS for the current fiscal year.

Insider Activity

In other SoundHound AI news, Director Lawrence Marcus sold 50,000 shares of the company’s stock in a transaction that occurred on Tuesday, August 20th. The stock was sold at an average price of $5.02, for a total transaction of $251,000.00. Following the sale, the director now owns 74,038 shares in the company, valued at $371,670.76. This represents a 40.31 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CTO Timothy Stonehocker sold 20,337 shares of the stock in a transaction that occurred on Friday, September 20th. The stock was sold at an average price of $4.88, for a total value of $99,244.56. Following the transaction, the chief technology officer now directly owns 1,039,194 shares in the company, valued at approximately $5,071,266.72. This represents a 1.92 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 327,275 shares of company stock worth $1,606,644. 12.28% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Vanguard Group Inc. boosted its stake in SoundHound AI by 16.1% in the first quarter. Vanguard Group Inc. now owns 16,070,453 shares of the company’s stock valued at $94,655,000 after acquiring an additional 2,226,471 shares during the period. Charles Schwab Investment Management Inc. grew its stake in SoundHound AI by 7.9% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 2,582,206 shares of the company’s stock worth $12,033,000 after buying an additional 189,109 shares during the last quarter. Baupost Group LLC MA acquired a new stake in SoundHound AI in the first quarter worth $6,659,000. Bank of New York Mellon Corp lifted its stake in SoundHound AI by 92.7% in the second quarter. Bank of New York Mellon Corp now owns 997,543 shares of the company’s stock valued at $3,940,000 after buying an additional 479,912 shares during the last quarter. Finally, Carnegie Investment Counsel acquired a new position in shares of SoundHound AI during the third quarter valued at $4,193,000. 19.28% of the stock is owned by institutional investors and hedge funds.

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.