SoundHound AI (NASDAQ:SOUN) Stock Price Down 2.7% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN) dropped 2.7% on Monday . The company traded as low as $10.29 and last traded at $10.41. Approximately 20,408,017 shares traded hands during trading, a decline of 53% from the average daily volume of 43,207,410 shares. The stock had previously closed at $10.70.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the company. Cantor Fitzgerald raised SoundHound AI from a “neutral” rating to an “overweight” rating and lifted their target price for the stock from $13.00 to $15.00 in a report on Friday, December 12th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of SoundHound AI in a research note on Tuesday, October 14th. Oppenheimer assumed coverage on shares of SoundHound AI in a research note on Thursday, September 11th. They set a “market perform” rating for the company. Wedbush restated an “outperform” rating and set a $16.00 target price on shares of SoundHound AI in a report on Thursday, September 11th. Finally, Piper Sandler upped their price target on SoundHound AI from $12.00 to $15.00 and gave the company a “neutral” rating in a report on Friday, November 7th. Two investment analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, SoundHound AI currently has a consensus rating of “Moderate Buy” and a consensus target price of $17.07.

SoundHound AI Trading Down 2.7%

The company’s 50-day moving average is $13.38 and its 200 day moving average is $13.46. The firm has a market cap of $4.37 billion, a PE ratio of -12.39 and a beta of 2.63.

SoundHound AI (NASDAQ:SOUN) last announced its earnings results on Thursday, November 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.09) by $0.06. The company had revenue of $42.05 million for the quarter, compared to the consensus estimate of $40.48 million. SoundHound AI had a negative net margin of 211.16% and a negative return on equity of 93.64%. The company’s revenue was up 67.6% on a year-over-year basis. During the same period in the previous year, the business earned ($0.04) EPS. On average, research analysts predict that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insiders Place Their Bets

In other SoundHound AI news, CEO Keyvan Mohajer sold 118,654 shares of SoundHound AI stock in a transaction dated Wednesday, October 8th. The stock was 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 of the company’s stock, valued at $46,852,260. The trade was a 4.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, VP Majid Emami sold 41,167 shares of the stock in a transaction that occurred on Wednesday, October 8th. The stock was sold at an average price of $20.00, for a total transaction of $823,340.00. Following the completion of the sale, the vice president directly owned 608,186 shares of the company’s stock, valued at $12,163,720. This trade represents a 6.34% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 292,064 shares of company stock valued at $5,904,921 over the last ninety days. Corporate insiders own 9.17% of the company’s stock.

Hedge Funds Weigh In On SoundHound AI

Several institutional investors and hedge funds have recently modified their holdings of SOUN. Vanguard Group Inc. raised its holdings in shares of SoundHound AI by 16.4% during the third quarter. Vanguard Group Inc. now owns 43,457,569 shares of the company’s stock worth $698,798,000 after acquiring an additional 6,132,648 shares in the last quarter. Geode Capital Management LLC increased its position in SoundHound AI by 8.3% in the 2nd quarter. Geode Capital Management LLC now owns 8,830,144 shares of the company’s stock worth $94,759,000 after purchasing an additional 679,436 shares during the last quarter. State Street Corp raised its stake in shares of SoundHound AI by 9.1% during the 2nd quarter. State Street Corp now owns 8,476,348 shares of the company’s stock worth $90,951,000 after purchasing an additional 708,369 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of SoundHound AI by 13.4% during the 3rd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 5,697,346 shares of the company’s stock valued at $91,604,000 after buying an additional 672,714 shares during the last quarter. Finally, Northern Trust Corp lifted its holdings in shares of SoundHound AI by 1.2% during the 3rd quarter. Northern Trust Corp now owns 3,181,651 shares of the company’s stock valued at $51,161,000 after buying an additional 38,966 shares during the last quarter. 19.28% of the stock is currently owned by hedge funds and other institutional investors.

About SoundHound AI

SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services.

The company’s core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities.