SoundHound AI (NASDAQ:SOUN) Stock Price Down 3.5% – Here’s What Happened

SoundHound AI, Inc. (NASDAQ:SOUN) dropped 3.5% on Thursday . The company traded as low as $6.53 and last traded at $6.55. Approximately 14,269,651 shares changed hands during trading, a decline of 45% from the average daily volume of 25,979,730 shares. The stock had previously closed at $6.79.

Wall Street Analyst Weigh In

SOUN has been the subject of a number of analyst reports. Piper Sandler reaffirmed a “neutral” rating and set a $9.00 target price (down from $11.00) on shares of SoundHound AI in a research note on Friday, February 27th. Cantor Fitzgerald raised shares of SoundHound AI from a “neutral” rating to an “overweight” rating and raised their target price for the company from $13.00 to $15.00 in a research note on Friday, December 12th. HC Wainwright decreased their target price on shares of SoundHound AI from $26.00 to $20.00 and set a “buy” rating for the company in a research note on Monday, March 2nd. Zacks Research raised shares of SoundHound AI from a “strong sell” rating to a “hold” rating in a research note on Monday, February 9th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of SoundHound AI in a research note on Friday, January 9th. One analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $14.93.

SoundHound AI Price Performance

The company has a market cap of $2.77 billion, a P/E ratio of -130.97 and a beta of 2.71. The company’s 50-day moving average is $7.60 and its two-hundred day moving average is $11.58.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings results on Thursday, February 26th. The company reported ($0.02) earnings per share for the quarter, meeting the consensus estimate of ($0.02). The company had revenue of $55.06 million during the quarter, compared to the consensus estimate of $53.88 million. SoundHound AI had a negative net margin of 8.71% and a negative return on equity of 3.63%. The firm’s quarterly revenue was up 59.4% compared to the same quarter last year. During the same quarter last year, the firm earned ($0.05) earnings per share. Equities research analysts anticipate that SoundHound AI, Inc. will post -0.38 EPS for the current year.

Insider Activity at SoundHound AI

In related news, CFO Nitesh Sharan sold 44,027 shares of the firm’s stock in a transaction that occurred on Friday, March 20th. The shares were sold at an average price of $6.79, for a total transaction of $298,943.33. Following the completion of the sale, the chief financial officer owned 1,661,121 shares of the company’s stock, valued at $11,279,011.59. This trade represents a 2.58% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Michael Zagorsek sold 52,968 shares of the firm’s stock in a transaction that occurred on Friday, March 20th. The shares were sold at an average price of $6.79, for a total transaction of $359,652.72. Following the sale, the chief operating officer directly owned 1,734,491 shares of the company’s stock, valued at $11,777,193.89. This trade represents a 2.96% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 337,649 shares of company stock valued at $2,447,222 over the last ninety days. Corporate insiders own 9.17% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Hsbc Holdings PLC purchased a new stake in SoundHound AI in the fourth quarter worth approximately $110,000. Rockefeller Capital Management L.P. boosted its stake in shares of SoundHound AI by 3.5% during the 4th quarter. Rockefeller Capital Management L.P. now owns 179,327 shares of the company’s stock worth $1,788,000 after acquiring an additional 6,096 shares during the last quarter. SHP Wealth Management purchased a new position in shares of SoundHound AI during the 4th quarter worth $27,000. Virtu Financial LLC boosted its stake in shares of SoundHound AI by 43.9% during the 4th quarter. Virtu Financial LLC now owns 219,773 shares of the company’s stock worth $2,191,000 after acquiring an additional 67,088 shares during the last quarter. Finally, Alpine Woods Capital Investors LLC boosted its stake in shares of SoundHound AI by 143.0% during the 4th quarter. Alpine Woods Capital Investors LLC now owns 50,742 shares of the company’s stock worth $506,000 after acquiring an additional 29,857 shares during the last quarter. Hedge funds and other institutional investors own 19.28% of the company’s stock.

About SoundHound AI

SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services.

The company’s core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities.