SoundHound AI (NASDAQ:SOUN) Trading Down 16.5% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN) shares were down 16.5% during trading on Thursday . The company traded as low as $14.54 and last traded at $15.02. 86,674,317 shares changed hands during trading, an increase of 14% from the average daily volume of 76,192,719 shares. The stock had previously closed at $17.98.

Analysts Set New Price Targets

A number of brokerages recently commented on SOUN. DA Davidson reaffirmed a “buy” rating and set a $9.50 price objective on shares of SoundHound AI in a research note on Monday, September 30th. Barclays 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 increased their price target on shares of SoundHound AI from $10.00 to $22.00 and gave the company an “outperform” rating in a research report on Monday, December 16th. HC Wainwright boosted their price objective on shares of SoundHound AI from $8.00 to $26.00 and gave the company a “buy” rating in a report on Monday, December 23rd. Finally, LADENBURG THALM/SH SH reiterated a “neutral” rating and issued a $7.00 target price 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 assigned a buy rating to the company. According to MarketBeat, SoundHound AI has an average rating of “Moderate Buy” and a consensus target price of $12.07.

SoundHound AI Trading Down 6.2 %

The company has a current ratio of 2.58, a quick ratio of 2.58 and a debt-to-equity ratio of 0.13. The firm has a market capitalization of $5.21 billion, a P/E ratio of -39.14 and a beta of 2.63. The business has a 50 day moving average of $13.29 and a 200-day moving average of $7.79.

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 company 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 firm’s revenue was up 88.7% compared to the same quarter last year. During the same quarter in the prior year, the firm earned ($0.09) earnings per share. Analysts anticipate that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insider Buying and Selling at SoundHound AI

In related news, Director Eric R. Ball sold 30,000 shares of the firm’s stock in a transaction on Monday, November 25th. The shares were sold at an average price of $8.03, for a total value of $240,900.00. Following the completion of the transaction, the director now owns 110,907 shares of the company’s stock, valued at approximately $890,583.21. This trade represents a 21.29 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CTO Timothy Stonehocker sold 34,407 shares of SoundHound AI stock in a transaction on Friday, December 20th. The shares were sold at an average price of $20.30, for a total transaction of $698,462.10. Following the completion of the sale, the chief technology officer now owns 796,581 shares in the company, valued at $16,170,594.30. The trade was a 4.14 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 2,782,918 shares of company stock valued at $45,391,343 in the last 90 days. 12.28% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On SoundHound AI

Several hedge funds have recently modified their holdings of SOUN. ST Germain D J Co. Inc. boosted its position in SoundHound AI by 33.2% during the fourth quarter. ST Germain D J Co. Inc. now owns 3,008 shares of the company’s stock valued at $60,000 after purchasing an additional 750 shares during the last quarter. Oriental Harbor Investment Fund acquired a new stake in shares of SoundHound AI in the 4th quarter valued at approximately $8,964,000. Stonehearth Capital Management LLC bought a new position in shares of SoundHound AI in the fourth quarter valued at $303,000. Silverleafe Capital Partners LLC acquired a new position in SoundHound AI during the fourth quarter worth $377,000. Finally, Franklin Resources Inc. bought a new stake in SoundHound AI during the third quarter worth $177,000. 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.