SoundHound AI (NASDAQ:SOUN) Shares Down 6.1% – Time to Sell?

SoundHound AI, Inc. (NASDAQ:SOUN)’s stock price was down 6.1% during trading on Monday . The company traded as low as $11.27 and last traded at $11.43. Approximately 29,222,591 shares were traded during mid-day trading, a decline of 36% from the average daily volume of 45,684,438 shares. The stock had previously closed at $12.17.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on the stock. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of SoundHound AI in a research report on Tuesday, October 14th. HC Wainwright raised their price target on shares of SoundHound AI from $18.00 to $26.00 and gave the company a “buy” rating in a report on Thursday, October 16th. Northland Capmk upgraded shares of SoundHound AI from a “hold” rating to a “strong-buy” rating in a report on Friday, August 8th. LADENBURG THALM/SH SH upgraded SoundHound AI from a “neutral” rating to a “buy” rating and raised their target price for the company from $9.00 to $16.00 in a report on Monday, August 11th. Finally, Oppenheimer started coverage on SoundHound AI in a research report on Thursday, September 11th. They issued a “market perform” rating for the company. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $17.42.

SoundHound AI Stock Performance

The firm has a market capitalization of $4.66 billion, a price-to-earnings ratio of -13.61 and a beta of 2.60. The business’s 50 day moving average is $16.64 and its 200-day moving average is $13.14.

SoundHound AI (NASDAQ:SOUN) last released its quarterly earnings results on Thursday, November 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.09) by $0.06. The company had revenue of $42.05 million during the quarter, compared to analysts’ expectations of $40.48 million. SoundHound AI had a negative net margin of 211.16% and a negative return on equity of 93.64%. The business’s quarterly revenue was up 67.6% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.04) earnings per share. SoundHound AI has set its FY 2025 guidance at EPS. Equities research analysts forecast that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insider Transactions at SoundHound AI

In other news, CEO Keyvan Mohajer sold 118,654 shares of the business’s stock in a transaction dated Wednesday, October 8th. The shares were sold at an average price of $20.00, for a total transaction of $2,373,080.00. Following the transaction, the chief executive officer owned 2,342,613 shares in the company, valued at approximately $46,852,260. The trade was a 4.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CTO Timothy Stonehocker sold 70,524 shares of the company’s stock in a transaction dated Wednesday, October 8th. The shares were sold at an average price of $20.00, for a total transaction of $1,410,480.00. Following the completion of the sale, the chief technology officer directly owned 606,525 shares in the company, valued at approximately $12,130,500. The trade was a 10.42% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 787,260 shares of company stock worth $13,973,056. Insiders own 9.17% of the company’s stock.

Hedge Funds Weigh In On SoundHound AI

Several hedge funds and other institutional investors have recently modified their holdings of SOUN. Bank of New York Mellon Corp boosted its stake in SoundHound AI by 5.6% in the 1st quarter. Bank of New York Mellon Corp now owns 919,854 shares of the company’s stock valued at $7,469,000 after buying an additional 49,011 shares in the last quarter. Xponance Inc. boosted its stake in shares of SoundHound AI by 11.1% in the 1st quarter. Xponance Inc. now owns 24,584 shares of the company’s stock valued at $200,000 after purchasing an additional 2,451 shares in the last quarter. Arizona State Retirement System grew its holdings in shares of SoundHound AI by 2.2% in the 1st quarter. Arizona State Retirement System now owns 96,590 shares of the company’s stock worth $784,000 after purchasing an additional 2,039 shares during the last quarter. CWM LLC increased its position in shares of SoundHound AI by 60.6% during the 1st quarter. CWM LLC now owns 21,458 shares of the company’s stock worth $174,000 after purchasing an additional 8,098 shares in the last quarter. Finally, Sigma Planning Corp increased its position in shares of SoundHound AI by 15.1% during the 1st quarter. Sigma Planning Corp now owns 31,548 shares of the company’s stock worth $256,000 after purchasing an additional 4,150 shares in the last quarter. Institutional investors own 19.28% of the company’s stock.

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.