SoundHound AI (NASDAQ:SOUN) Trading Down 7.4% – What’s Next?

SoundHound AI, Inc. (NASDAQ:SOUN) fell 7.4% during mid-day trading on Tuesday . The company traded as low as $9.98 and last traded at $9.94. 17,150,639 shares traded hands during trading, a decline of 57% from the average session volume of 39,580,592 shares. The stock had previously closed at $10.73.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on SOUN shares. DA Davidson reduced their price target on shares of SoundHound AI from $13.00 to $10.00 and set a “buy” rating for the company in a research note on Monday, April 14th. HC Wainwright cut their target price on shares of SoundHound AI from $26.00 to $18.00 and set a “buy” rating for the company in a research report on Monday, May 12th. Wedbush decreased their target price on shares of SoundHound AI from $22.00 to $15.00 and set an “outperform” rating for the company in a research note on Friday, May 9th. Finally, Piper Sandler started coverage on SoundHound AI in a research note on Tuesday, May 27th. They issued an “overweight” rating and a $12.00 price target on the stock. Four equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. According to MarketBeat, SoundHound AI has an average rating of “Moderate Buy” and an average price target of $10.50.

SoundHound AI Trading Down 4.5%

The company’s 50 day moving average price is $9.82 and its two-hundred day moving average price is $11.79. The firm has a market cap of $4.12 billion, a PE ratio of -18.73 and a beta of 2.64.

SoundHound AI (NASDAQ:SOUN) last announced its earnings results on Thursday, May 8th. The company reported ($0.06) EPS for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.03. SoundHound AI had a negative return on equity of 68.55% and a negative net margin of 184.34%. The company had revenue of $29.13 million for the quarter, compared to analysts’ expectations of $30.38 million. During the same period last year, the firm earned ($0.07) EPS. SoundHound AI’s revenue for the quarter was up 151.2% compared to the same quarter last year. Equities research analysts expect that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insider Activity at SoundHound AI

In other SoundHound AI news, insider James Ming Hom sold 79,530 shares of the company’s stock in a transaction that occurred on Friday, June 20th. The shares were sold at an average price of $9.36, for a total value of $744,400.80. Following the completion of the transaction, the insider directly owned 637,560 shares in the company, valued at $5,967,561.60. This represents a 11.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, COO Michael Zagorsek sold 117,180 shares of the stock in a transaction on Friday, June 20th. The stock was sold at an average price of $9.36, for a total transaction of $1,096,804.80. Following the completion of the sale, the chief operating officer directly owned 1,346,455 shares of the company’s stock, valued at approximately $12,602,818.80. This trade represents a 8.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 961,289 shares of company stock worth $9,247,847 in the last quarter. 9.17% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Vanguard Group Inc. increased its stake in SoundHound AI by 9.5% in the 1st quarter. Vanguard Group Inc. now owns 35,059,943 shares of the company’s stock worth $284,687,000 after buying an additional 3,028,281 shares in the last quarter. Geode Capital Management LLC grew its position in shares of SoundHound AI by 4.4% during the fourth quarter. Geode Capital Management LLC now owns 7,509,496 shares of the company’s stock worth $149,024,000 after purchasing an additional 315,897 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of SoundHound AI by 84.2% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 4,973,728 shares of the company’s stock worth $40,390,000 after purchasing an additional 2,274,105 shares in the last quarter. Northern Trust Corp raised its stake in SoundHound AI by 2.5% during the 1st quarter. Northern Trust Corp now owns 2,979,011 shares of the company’s stock valued at $24,190,000 after purchasing an additional 72,766 shares during the period. Finally, Charles Schwab Investment Management Inc. lifted its holdings in SoundHound AI by 4.5% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 2,847,261 shares of the company’s stock worth $23,120,000 after purchasing an additional 121,568 shares in the last quarter. Hedge funds and other institutional investors own 19.28% of the company’s stock.

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.