SoundHound AI (NASDAQ:SOUN) Releases Earnings Results, Beats Estimates By $0.01 EPS

SoundHound AI (NASDAQ:SOUN) announced its earnings results on Tuesday. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.01, Briefing.com reports. The business had revenue of $25.10 million for the quarter, compared to analyst estimates of $23.02 million. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 73.21%. The company’s revenue for the quarter was up 88.7% compared to the same quarter last year. During the same period last year, the firm posted ($0.09) earnings per share. SoundHound AI updated its FY 2025 guidance to EPS and its FY 2024 guidance to EPS.

SoundHound AI Price Performance

SoundHound AI stock traded up $0.36 during mid-day trading on Thursday, reaching $6.63. 73,143,959 shares of the company were exchanged, compared to its average volume of 34,581,109. SoundHound AI has a 12 month low of $1.62 and a 12 month high of $10.25. The company has a fifty day simple moving average of $5.26 and a 200-day simple moving average of $4.94. The firm has a market cap of $2.38 billion, a PE ratio of -18.42 and a beta of 2.71.

Insiders Place Their Bets

In other SoundHound AI news, CFO Nitesh Sharan sold 39,728 shares of the stock in a transaction on Friday, September 20th. The stock was sold at an average price of $4.88, for a total transaction of $193,872.64. Following the completion of the transaction, the chief financial officer now directly owns 1,560,411 shares of the company’s stock, valued at approximately $7,614,805.68. This represents a 2.48 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, COO Michael Zagorsek sold 42,001 shares of the stock in a transaction on Friday, September 20th. The stock was sold at an average price of $4.88, for a total value of $204,964.88. Following the completion of the sale, the chief operating officer now owns 1,473,322 shares in the company, valued at $7,189,811.36. This trade represents a 2.77 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 327,275 shares of company stock valued at $1,606,644. 12.28% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

SOUN has been the topic of several recent research reports. HC Wainwright boosted their price objective on shares of SoundHound AI from $7.00 to $8.00 and gave the stock a “buy” rating in a research report on Thursday. DA Davidson reaffirmed a “buy” rating and issued a $9.50 price objective on shares of SoundHound AI in a research report on Monday, September 30th. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and increased their target price for the company from $5.00 to $7.00 in a research note on Friday, August 9th. Barclays restated a “neutral” rating and set a $7.00 price objective on shares of SoundHound AI in a research note on Wednesday. Finally, LADENBURG THALM/SH SH reissued a “neutral” rating and set a $7.00 price target on shares of SoundHound AI in a report on Wednesday. Three equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $7.64.

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.