SoundThinking (NASDAQ:SSTI) Downgraded by Northland Securities to “Hold”

Northland Securities downgraded shares of SoundThinking (NASDAQ:SSTI) from a strong-buy rating to a hold rating in a report released on Tuesday morning,Zacks reports.

SSTI has been the topic of several other research reports. Cantor Fitzgerald reduced their target price on shares of SoundThinking from $10.00 to $8.00 and set a “neutral” rating on the stock in a research note on Friday, August 14th. Zacks Research upgraded shares of SoundThinking from a “strong sell” rating to a “hold” rating in a research report on Tuesday, July 14th. Citizens Jmp reissued a “market perform” rating on shares of SoundThinking in a report on Friday, August 14th. Citigroup restated a “market perform” rating on shares of SoundThinking in a research report on Wednesday. Finally, Roth Capital cut shares of SoundThinking from a “buy” rating to a “neutral” rating and set a $9.00 price objective on the stock. in a research note on Wednesday. Eight analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, SoundThinking presently has an average rating of “Reduce” and an average price target of $10.00.

SoundThinking Price Performance

SoundThinking stock opened at $8.31 on Tuesday. The company has a market capitalization of $107.61 million, a PE ratio of -6.44 and a beta of 1.16. SoundThinking has a one year low of $5.41 and a one year high of $12.24. The business has a 50 day simple moving average of $6.71 and a 200 day simple moving average of $7.12.

SoundThinking (NASDAQ:SSTI) last announced its quarterly earnings results on Thursday, August 13th. The company reported ($0.37) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.25) by ($0.12). SoundThinking had a negative net margin of 16.92% and a negative return on equity of 23.77%. The company had revenue of $23.89 million during the quarter, compared to the consensus estimate of $25.77 million. Equities analysts anticipate that SoundThinking will post -1.06 earnings per share for the current fiscal year.

Institutional Trading of SoundThinking

A number of hedge funds and other institutional investors have recently made changes to their positions in SSTI. Royal Bank of Canada lifted its position in SoundThinking by 88.6% during the 1st quarter. Royal Bank of Canada now owns 4,173 shares of the company’s stock worth $28,000 after buying an additional 1,960 shares in the last quarter. Versant Capital Management Inc increased its position in SoundThinking by 31.7% in the 2nd quarter. Versant Capital Management Inc now owns 9,305 shares of the company’s stock valued at $84,000 after acquiring an additional 2,239 shares in the last quarter. Sei Investments Co. acquired a new stake in SoundThinking in the 1st quarter valued at about $92,000. Bank of America Corp DE raised its stake in shares of SoundThinking by 16.2% in the first quarter. Bank of America Corp DE now owns 14,299 shares of the company’s stock worth $95,000 after acquiring an additional 1,992 shares during the last quarter. Finally, Ieq Capital LLC bought a new position in shares of SoundThinking in the second quarter worth about $193,000. 60.74% of the stock is currently owned by institutional investors and hedge funds.

SoundThinking News Roundup

Here are the key news stories impacting SoundThinking this week:

• Positive Sentiment: Transom will pay $8.00 per share in cash plus a non-transferable contingent value right worth up to an additional $3.00 per share, implying maximum consideration of $11.00. The upfront payment represents a 46% premium to SoundThinking’s September 28 closing price, while the transaction has been unanimously approved by the board. SoundThinking acquisition announcement
• Positive Sentiment: Shareholders representing approximately 33% of outstanding shares, including Veradace Partners and Gary Lauder-affiliated entities, have agreed to tender their shares. The deal is expected to close in the fourth quarter of 2026, subject to customary conditions, after which SSTI would become privately held and cease trading on Nasdaq. SoundThinking transaction terms
• Neutral Sentiment: Roth Capital downgraded SoundThinking from Buy to Neutral, likely reflecting that the announced acquisition now limits the stock’s standalone upside and shifts valuation toward the fixed cash consideration and uncertain CVR payments. Roth Capital downgrade
• Negative Sentiment: Several shareholder-rights law firms, including Kahn Swick & Foti, Monteverde & Associates, Ademi and Halper Sadeh, are investigating whether the purchase price and sale process fairly value SSTI and whether insiders received favorable treatment. Such reviews could create litigation, delay or pressure for improved terms. Kahn Swick and Foti investigation
• Negative Sentiment: The additional CVR payment is not guaranteed and depends on SoundThinking achieving specified 2027 revenue milestones. The transaction also requires tenders from at least a majority of shares and remains exposed to competing bids, regulatory issues and deal-completion risk.

About SoundThinking

SoundThinking, Inc (NASDAQ:SSTI) is a public safety technology company that provides data-driven tools for law enforcement agencies and communities. The company’s platform is designed to help public safety organizations detect, analyze and respond to incidents, with a focus on improving situational awareness and investigative efficiency.

Its product portfolio includes ShotSpotter, a subscription-based acoustic gunshot detection service that uses sensors and software to identify and locate possible gunfire; CrimeTracer, a law enforcement search and investigative analytics platform; and ResourceRouter, which supports data-informed decisions about the deployment of public safety resources.