HC Wainwright Forecasts Weaker Earnings for SoundHound AI

SoundHound AI, Inc. (NASDAQ:SOUN) – Investment analysts at HC Wainwright decreased their FY2025 EPS estimates for SoundHound AI in a research note issued to investors on Monday, March 3rd. HC Wainwright analyst S. Buck now anticipates that the company will earn ($0.32) per share for the year, down from their prior estimate of ($0.26). HC Wainwright currently has a “Buy” rating and a $26.00 price objective on the stock. The consensus estimate for SoundHound AI’s current full-year earnings is ($0.38) per share.

Several other research firms have also commented on SOUN. LADENBURG THALM/SH SH reissued a “neutral” rating and issued a $7.00 target price on shares of SoundHound AI in a report on Wednesday, November 13th. Northland Securities upped their price objective on SoundHound AI from $6.00 to $8.00 and gave the stock a “market perform” rating in a research report on Tuesday, January 14th. DA Davidson raised their target price on SoundHound AI from $9.50 to $13.00 and gave the stock a “buy” rating in a research report on Friday, February 28th. Cantor Fitzgerald raised SoundHound AI to a “hold” rating in a report on Monday, February 24th. Finally, Barclays reiterated a “neutral” rating and issued a $7.00 price target on shares of SoundHound AI in a research note on Wednesday, November 13th. Four analysts have rated the stock with a hold rating and three have given a buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $12.86.

SoundHound AI Trading Down 5.9 %

NASDAQ SOUN opened at $9.55 on Thursday. 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 firm has a market cap of $3.76 billion, a price-to-earnings ratio of -26.53 and a beta of 2.56. The firm has a 50 day simple moving average of $14.29 and a 200-day simple moving average of $10.02. SoundHound AI has a one year low of $3.50 and a one year high of $24.98.

SoundHound AI (NASDAQ:SOUN) last issued its quarterly earnings results on Thursday, February 27th. The company reported ($0.69) EPS for the quarter, missing the consensus estimate of ($0.11) by ($0.58). SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. The firm had revenue of $34.54 million for the quarter, compared to analysts’ expectations of $33.70 million.

Institutional Investors Weigh In On SoundHound AI

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. boosted its holdings in SoundHound AI by 35.6% during the fourth quarter. Vanguard Group Inc. now owns 32,031,662 shares of the company’s stock worth $635,508,000 after buying an additional 8,402,881 shares in the last quarter. Geode Capital Management LLC boosted its stake in shares of SoundHound AI by 4.4% during the 4th quarter. Geode Capital Management LLC now owns 7,509,496 shares of the company’s stock worth $149,024,000 after acquiring an additional 315,897 shares in the last quarter. State Street Corp grew its holdings in shares of SoundHound AI by 0.6% in 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 during the last quarter. Northern Trust Corp raised its position in shares of SoundHound AI by 10.0% during the fourth quarter. Northern Trust Corp now owns 2,906,245 shares of the company’s stock worth $57,660,000 after purchasing an additional 264,382 shares during the period. Finally, Charles Schwab Investment Management Inc. lifted its holdings in shares of SoundHound AI by 5.6% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,725,693 shares of the company’s stock valued at $54,078,000 after purchasing an additional 143,487 shares during the last quarter. Institutional investors own 19.28% of the company’s stock.

Insider Buying and Selling at SoundHound AI

In other SoundHound AI news, COO Michael Zagorsek sold 277,813 shares of the firm’s stock in a transaction on Wednesday, December 18th. The stock was sold at an average price of $21.25, for a total value of $5,903,526.25. Following the sale, the chief operating officer now directly owns 1,473,322 shares in the company, valued at approximately $31,308,092.50. This trade represents a 15.86 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, VP Majid Emami sold 298,086 shares of the business’s stock in a transaction dated Monday, December 9th. The shares were sold at an average price of $15.04, for a total transaction of $4,483,213.44. Following the transaction, the vice president now directly owns 735,685 shares of the company’s stock, valued at $11,064,702.40. The trade was a 28.83 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,788,257 shares of company stock worth $31,895,182 in the last ninety days. 12.28% of the stock is owned by insiders.

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.