SoundHound AI (NASDAQ:SOUN) Trading Up 2.2% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN) shares rose 2.2% on Friday . The stock traded as high as $12.14 and last traded at $12.0750. Approximately 11,072,641 shares traded hands during trading, a decline of 75% from the average daily volume of 45,133,629 shares. The stock had previously closed at $11.82.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on SOUN. Northland Securities upgraded shares of SoundHound AI from a “market perform” rating to an “outperform” rating and set a $14.50 target price on the stock in a report on Friday, August 8th. Wall Street Zen lowered SoundHound AI from a “hold” rating to a “sell” rating in a research report on Saturday, August 9th. LADENBURG THALM/SH SH upgraded SoundHound AI from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $9.00 to $16.00 in a report on Monday, August 11th. Northland Capmk upgraded SoundHound AI from a “hold” rating to a “strong-buy” rating in a report on Friday, August 8th. Finally, Oppenheimer initiated coverage on shares of SoundHound AI in a research note on Thursday, September 11th. They issued a “market perform” rating for the company. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, SoundHound AI presently has a consensus rating of “Moderate Buy” and an average price target of $17.42.

SoundHound AI Stock Performance

The company has a market cap of $5.07 billion, a price-to-earnings ratio of -14.37 and a beta of 2.60. The stock’s fifty day moving average is $16.00 and its two-hundred day moving average is $13.26.

SoundHound AI (NASDAQ:SOUN) last issued its quarterly earnings data on Thursday, November 6th. The company reported ($0.03) EPS for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.06. SoundHound AI had a negative return on equity of 93.64% and a negative net margin of 211.16%.The firm had revenue of $42.05 million during the quarter, compared to analyst estimates of $40.48 million. During the same period in the previous year, the company posted ($0.04) EPS. The company’s revenue for the quarter was up 67.6% on a year-over-year basis. SoundHound AI has set its FY 2025 guidance at EPS. On average, equities research analysts expect that SoundHound AI, Inc. will post -0.38 EPS for the current year.

Insider Activity

In other news, CTO Timothy Stonehocker sold 70,524 shares of the firm’s stock in a transaction on Wednesday, October 8th. The stock was sold at an average price of $20.00, for a total transaction of $1,410,480.00. Following the completion of the sale, the chief technology officer directly owned 606,525 shares of the company’s stock, valued at $12,130,500. This trade represents a 10.42% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Nitesh Sharan sold 126,596 shares of the stock in a transaction that occurred on Monday, September 22nd. The shares were sold at an average price of $16.58, for a total transaction of $2,098,961.68. Following the transaction, the chief financial officer directly owned 1,796,304 shares of the company’s stock, valued at $29,782,720.32. This represents a 6.58% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 787,260 shares of company stock worth $13,973,056. Company insiders own 9.17% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. raised its holdings in SoundHound AI by 83.1% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock valued at $25,000 after acquiring an additional 1,060 shares during the period. Danske Bank A S bought a new stake in shares of SoundHound AI during the 3rd quarter worth $26,000. Advisors Asset Management Inc. raised its position in SoundHound AI by 68.4% during the second quarter. Advisors Asset Management Inc. now owns 2,519 shares of the company’s stock valued at $27,000 after purchasing an additional 1,023 shares in the last quarter. Investors Research Corp increased its position in shares of SoundHound AI by 62.4% during the 3rd quarter. Investors Research Corp now owns 1,822 shares of the company’s stock valued at $29,000 after purchasing an additional 700 shares during the last quarter. Finally, AlphaQuest LLC bought a new stake in SoundHound AI in the 1st quarter worth approximately $32,000. 19.28% of the stock is currently owned by institutional investors.

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.