SoundHound AI (NASDAQ:SOUN) Stock Price Down 9.5% After Insider Selling

SoundHound AI, Inc. (NASDAQ:SOUN) shares fell 9.5% during trading on Thursday after an insider sold shares in the company. The company traded as low as $18.63 and last traded at $18.86. 76,289,294 shares changed hands during mid-day trading, an increase of 91% from the average session volume of 39,892,145 shares. The stock had previously closed at $20.85.

Specifically, insider James Ming Hom sold 58,382 shares of the stock in a transaction on Monday, December 16th. The stock was sold at an average price of $18.35, for a total value of $1,071,309.70. Following the transaction, the insider now owns 754,811 shares of the company’s stock, valued at $13,850,781.85. This represents a 7.18 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, COO Michael Zagorsek sold 277,813 shares of the stock in a transaction dated Wednesday, December 18th. The shares were sold at an average price of $21.25, for a total value of $5,903,526.25. Following the completion of the transaction, the chief operating officer now directly owns 1,473,322 shares in the company, valued at $31,308,092.50. The trade was a 15.86 % decrease in their position. The disclosure for this sale can be found here. In other news, COO Michael Zagorsek sold 138,906 shares of the business’s stock in a transaction dated Monday, December 16th. The stock was sold at an average price of $17.63, for a total transaction of $2,448,912.78. Following the completion of the transaction, the chief operating officer now directly owns 1,473,322 shares in the company, valued at approximately $25,974,666.86. The trade was a 8.62 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on SOUN shares. Barclays reissued a “neutral” rating and set a $7.00 price objective on shares of SoundHound AI in a research note on Wednesday, November 13th. LADENBURG THALM/SH SH reissued a “neutral” rating and issued a $7.00 price target on shares of SoundHound AI in a report on Wednesday, November 13th. Wedbush raised their price objective on SoundHound AI from $10.00 to $22.00 and gave the stock an “outperform” rating in a research note on Monday. HC Wainwright boosted their target price on SoundHound AI from $7.00 to $8.00 and gave the company a “buy” rating in a research note on Thursday, November 14th. Finally, DA Davidson reaffirmed a “buy” rating and set a $9.50 price target on shares of SoundHound AI in a research report on Monday, September 30th. Three research analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $9.50.

SoundHound AI Price Performance

The company’s 50 day moving average is $8.67 and its 200-day moving average is $6.09. The firm has a market capitalization of $6.97 billion, a price-to-earnings ratio of -52.36 and a beta of 3.03. The company has a current ratio of 2.58, a quick ratio of 2.58 and a debt-to-equity ratio of 0.13.

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 the consensus estimate of ($0.07) by $0.01. The firm had revenue of $25.10 million during the quarter, compared to the consensus estimate of $23.02 million. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 55.58%. The business’s revenue for the quarter was up 88.7% compared to the same quarter last year. During the same period last year, the business posted ($0.09) earnings per share. Equities research analysts anticipate that SoundHound AI, Inc. will post -0.38 earnings per share for the current year.

Institutional Trading of SoundHound AI

Institutional investors have recently bought and sold shares of the business. Franklin Resources Inc. bought a new stake in shares of SoundHound AI during the 3rd quarter valued at $177,000. Sanctuary Advisors LLC boosted its stake 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 valued at $140,000 after purchasing an additional 3,642 shares in the last quarter. Geode Capital Management LLC grew its holdings in SoundHound AI by 9.1% during the 3rd quarter. Geode Capital Management LLC now owns 7,193,599 shares of the company’s stock worth $33,529,000 after acquiring an additional 602,311 shares during the last quarter. MML Investors Services LLC bought a new stake in shares of SoundHound AI in the third quarter worth $86,000. Finally, State Street Corp raised its position in shares of SoundHound AI by 0.6% during the third 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 during the last quarter. Institutional investors own 19.28% of the company’s stock.

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.