SoundHound AI (NASDAQ:SOUN) Shares Down 14.9% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN) fell 14.9% during mid-day trading on Wednesday . The stock traded as low as $6.15 and last traded at $6.43. 33,161,445 shares traded hands during trading, a decline of 3% from the average session volume of 34,224,246 shares. The stock had previously closed at $7.56.

Analysts Set New Price Targets

Several brokerages have recently commented on SOUN. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and lifted their target price for the stock from $5.00 to $7.00 in a research report on Friday, August 9th. LADENBURG THALM/SH SH reaffirmed a “neutral” rating and issued a $7.00 price objective on shares of SoundHound AI in a report on Wednesday. Wedbush reissued an “outperform” rating and set a $9.00 target price on shares of SoundHound AI in a report on Thursday, September 26th. Northland Securities raised their price target on shares of SoundHound AI from $5.50 to $6.00 and gave the stock a “market perform” rating in a research report on Friday, August 9th. Finally, HC Wainwright boosted their price objective on shares of SoundHound AI from $7.00 to $8.00 and gave the company a “buy” rating in a research report on Thursday. Three equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. Based on data from MarketBeat, SoundHound AI has a consensus rating of “Moderate Buy” and an average price target of $7.64.

SoundHound AI Price Performance

The firm’s fifty day moving average price is $5.26 and its 200-day moving average price is $4.94. The company has a market cap of $2.38 billion, a price-to-earnings ratio of -18.42 and a beta of 2.71.

SoundHound AI (NASDAQ:SOUN) last issued its quarterly earnings data on Tuesday, November 12th. The company reported ($0.06) earnings per share for the quarter, beating the consensus estimate of ($0.07) by $0.01. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 73.21%. The firm had revenue of $25.10 million for the quarter, compared to the consensus estimate of $23.02 million. During the same period last year, the firm posted ($0.09) EPS. SoundHound AI’s quarterly revenue was up 88.7% compared to the same quarter last year. As a group, equities analysts forecast that SoundHound AI, Inc. will post -0.36 earnings per share for the current fiscal year.

Insider Transactions at SoundHound AI

In other SoundHound AI news, CEO Keyvan Mohajer sold 90,641 shares of SoundHound AI stock in a transaction on Friday, September 20th. The stock was sold at an average price of $4.88, for a total transaction of $442,328.08. Following the sale, the chief executive officer now owns 2,362,692 shares of the company’s stock, valued at $11,529,936.96. The trade was a 3.69 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider James Ming Hom sold 21,024 shares of the stock in a transaction on Friday, September 20th. The stock was sold at an average price of $4.88, for a total value of $102,597.12. Following the completion of the transaction, the insider now directly owns 865,965 shares of the company’s stock, valued at approximately $4,225,909.20. The trade was a 2.37 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 327,275 shares of company stock worth $1,606,644. Company insiders own 12.28% of the company’s stock.

Hedge Funds Weigh In On SoundHound AI

Large investors have recently bought and sold shares of the stock. Janney Montgomery Scott LLC bought a new position in shares of SoundHound AI in the first quarter valued at approximately $109,000. Concurrent Investment Advisors LLC bought a new position in SoundHound AI during the 1st quarter valued at $199,000. Avantax Advisory Services Inc. acquired a new position in shares of SoundHound AI during the 1st quarter valued at $63,000. ARK & TLK Investments LLC bought a new stake in shares of SoundHound AI in the 1st quarter worth $74,000. Finally, Viawealth LLC acquired a new stake in shares of SoundHound AI in the first quarter valued at $65,000. Institutional investors and hedge funds 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.