SoundHound AI (NASDAQ:SOUN) Stock Price Down 1.1% – Should You Sell?

SoundHound AI, Inc. (NASDAQ:SOUN) shares were down 1.1% during trading on Wednesday . The company traded as low as $10.97 and last traded at $10.99. Approximately 21,486,440 shares changed hands during trading, a decline of 51% from the average daily volume of 43,920,266 shares. The stock had previously closed at $11.11.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on SOUN. Piper Sandler increased their price objective on SoundHound AI from $12.00 to $15.00 and gave the stock a “neutral” rating in a research report on Friday, November 7th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of SoundHound AI in a report on Tuesday, October 14th. Wedbush reiterated an “outperform” rating and set a $16.00 price target on shares of SoundHound AI in a research report on Thursday, September 11th. Cantor Fitzgerald upgraded shares of SoundHound AI from a “neutral” rating to an “overweight” rating and upped their price objective for the stock from $13.00 to $15.00 in a research report on Friday, December 12th. Finally, HC Wainwright raised their target price on shares of SoundHound AI from $18.00 to $26.00 and gave the company a “buy” rating in a research note on Thursday, October 16th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $17.07.

SoundHound AI Trading Down 1.1%

The stock has a fifty day moving average of $14.75 and a two-hundred day moving average of $13.41. The company has a market capitalization of $4.62 billion, a PE ratio of -13.08 and a beta of 2.63.

SoundHound AI (NASDAQ:SOUN) last issued its quarterly earnings results on Thursday, November 6th. The company reported ($0.03) EPS for the quarter, beating analysts’ consensus estimates of ($0.09) by $0.06. The business had revenue of $42.05 million for 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% on a year-over-year basis. During the same period last year, the business earned ($0.04) earnings per share. Equities analysts forecast that SoundHound AI, Inc. will post -0.38 EPS for the current year.

Insider Activity at SoundHound AI

In other news, COO Michael Zagorsek sold 69,837 shares of the firm’s stock in a transaction dated Monday, September 22nd. The stock was sold at an average price of $16.00, for a total transaction of $1,117,392.00. Following the transaction, the chief operating officer directly owned 1,860,790 shares of the company’s stock, valued at approximately $29,772,640. This trade represents a 3.62% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Nitesh Sharan sold 126,596 shares of the business’s stock in a transaction dated Monday, September 22nd. The shares were sold at an average price of $16.58, for a total value of $2,098,961.68. Following the completion of the sale, the chief financial officer directly owned 1,796,304 shares of the company’s stock, valued at approximately $29,782,720.32. This trade represents a 6.58% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 787,260 shares of company stock worth $13,973,056 in the last 90 days. Corporate insiders own 9.17% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in SOUN. Vanguard Group Inc. lifted its holdings in SoundHound AI by 16.4% in the third quarter. Vanguard Group Inc. now owns 43,457,569 shares of the company’s stock worth $698,798,000 after buying an additional 6,132,648 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in SoundHound AI by 84.2% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 4,973,728 shares of the company’s stock valued at $40,390,000 after acquiring an additional 2,274,105 shares during the period. Jump Financial LLC bought a new stake in SoundHound AI during the third quarter worth about $21,679,000. HRT Financial LP purchased a new stake in SoundHound AI in the second quarter worth about $11,914,000. Finally, Goldman Sachs Group Inc. grew its holdings in SoundHound AI by 69.8% in the first quarter. Goldman Sachs Group Inc. now owns 2,639,689 shares of the company’s stock worth $21,434,000 after purchasing an additional 1,085,473 shares during the period. 19.28% of the stock is owned by hedge funds and other institutional investors.

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.