SoundHound AI (NASDAQ:SOUN) Shares Down 1.7% on Insider Selling

SoundHound AI, Inc. (NASDAQ:SOUN)’s stock price fell 1.7% during trading on Friday after an insider sold shares in the company. The company traded as low as $22.74 and last traded at $23.81. 34,210,179 shares traded hands during mid-day trading, a decline of 17% from the average session volume of 41,021,441 shares. The stock had previously closed at $24.23.

Specifically, VP Majid Emami sold 37,459 shares of the firm’s stock in a transaction on Friday, December 20th. The stock was sold at an average price of $20.30, for a total value of $760,417.70. Following the transaction, the vice president now owns 698,226 shares in the company, valued at approximately $14,173,987.80. This trade represents a 5.09 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider James Ming Hom sold 36,771 shares of the company’s stock in a transaction on Friday, December 20th. The stock was sold at an average price of $20.30, for a total transaction of $746,451.30. Following the sale, the insider now directly owns 718,040 shares of the company’s stock, valued at $14,576,212. The trade was a 4.87 % decrease in their position. The disclosure for this sale can be found here. In other news, COO Michael Zagorsek sold 60,796 shares of the stock in a transaction dated Friday, December 20th. The shares were sold at an average price of $20.30, for a total value of $1,234,158.80. Following the completion of the sale, the chief operating officer now directly owns 1,412,526 shares in the company, valued at $28,674,277.80. This represents a 4.13 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.

Wall Street Analyst Weigh In

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

SoundHound AI Stock Performance

The company has a debt-to-equity ratio of 0.13, a current ratio of 2.58 and a quick ratio of 2.58. The company has a market cap of $8.86 billion, a price-to-earnings ratio of -66.53 and a beta of 3.03. The firm has a 50 day simple moving average of $10.66 and a 200-day simple moving average of $6.80.

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

Hedge Funds Weigh In On SoundHound AI

Several large investors have recently made changes to their positions in the stock. Franklin Resources Inc. purchased a new stake in SoundHound AI in the third quarter valued at approximately $177,000. Sanctuary Advisors LLC boosted its position in shares of 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. Geode Capital Management LLC grew its stake in shares of SoundHound AI by 9.1% in the third quarter. Geode Capital Management LLC now owns 7,193,599 shares of the company’s stock valued at $33,529,000 after buying an additional 602,311 shares in the last quarter. MML Investors Services LLC purchased a new stake in shares of SoundHound AI in the 3rd quarter valued at $86,000. Finally, State Street Corp lifted its stake in SoundHound AI by 0.6% during the 3rd quarter. State Street Corp now owns 7,197,414 shares of the company’s stock worth $33,540,000 after acquiring an additional 42,869 shares in the last quarter. 19.28% of the stock is currently owned by institutional investors and hedge funds.

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.