SoundHound AI (NASDAQ:SOUN) Trading Down 10% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN) was down 10% on Tuesday . The company traded as low as $17.71 and last traded at $17.91. Approximately 38,097,168 shares traded hands during mid-day trading, a decline of 39% from the average daily volume of 62,788,605 shares. The stock had previously closed at $19.89.

Analyst Ratings Changes

Several analysts recently issued reports on the company. DA Davidson reissued a “buy” rating and set a $9.50 target price on shares of SoundHound AI in a research note on Monday, September 30th. LADENBURG THALM/SH SH restated a “neutral” rating and set a $7.00 target price on shares of SoundHound AI in a research report on Wednesday, November 13th. Wedbush lifted their price target on shares of SoundHound AI from $10.00 to $22.00 and gave the company an “outperform” rating in a report on Monday, December 16th. Barclays reissued a “neutral” rating and set a $7.00 price objective on shares of SoundHound AI in a report on Wednesday, November 13th. Finally, HC Wainwright increased their price target on SoundHound AI from $8.00 to $26.00 and gave the company a “buy” rating in a research note on Monday, December 23rd. Three analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $12.07.

SoundHound AI Trading Down 16.5 %

The stock has a market cap of $5.55 billion, a P/E ratio of -41.72 and a beta of 2.63. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.58 and a current ratio of 2.58. The stock’s fifty day moving average is $12.91 and its 200 day moving average is $7.67.

SoundHound AI (NASDAQ:SOUN) last announced its earnings results on Tuesday, November 12th. The company reported ($0.06) EPS for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.01. The firm had revenue of $25.10 million during the quarter, compared to analysts’ expectations of $23.02 million. SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. The company’s quarterly revenue was up 88.7% on a year-over-year basis. During the same quarter in the previous year, the business earned ($0.09) EPS. As a group, equities research analysts predict that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, VP Majid Emami sold 37,459 shares of the company’s stock in a transaction dated Friday, December 20th. The shares were sold at an average price of $20.30, for a total value of $760,417.70. Following the transaction, the vice president now directly owns 698,226 shares in the company, valued at approximately $14,173,987.80. This represents a 5.09 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Keyvan Mohajer sold 156,288 shares of SoundHound AI stock in a transaction dated Tuesday, December 24th. The shares were sold at an average price of $20.20, for a total transaction of $3,157,017.60. Following the sale, the chief executive officer now owns 2,021,666 shares of the company’s stock, valued at $40,837,653.20. The trade was a 7.18 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 2,782,918 shares of company stock valued at $45,391,343. Company insiders own 12.28% of the company’s stock.

Institutional Trading of SoundHound AI

Several institutional investors and hedge funds have recently modified their holdings of SOUN. Oriental Harbor Investment Fund purchased a new stake in SoundHound AI in the fourth quarter worth about $8,964,000. Stonehearth Capital Management LLC purchased a new stake in shares of SoundHound AI in the 4th quarter worth approximately $303,000. Silverleafe Capital Partners LLC bought a new position in shares of SoundHound AI during the fourth quarter valued at approximately $377,000. Franklin Resources Inc. bought a new position in SoundHound AI in the third quarter worth approximately $177,000. Finally, Sanctuary Advisors LLC lifted its holdings in SoundHound AI by 13.8% during the third quarter. Sanctuary Advisors LLC now owns 29,976 shares of the company’s stock worth $140,000 after buying an additional 3,642 shares during the period. Institutional investors 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.