SoundHound AI (NASDAQ:SOUN) Shares Up 5% – What’s Next?

SoundHound AI, Inc. (NASDAQ:SOUN) was up 5% on Friday . The company traded as high as $7.40 and last traded at $7.32. Approximately 28,902,501 shares traded hands during mid-day trading, an increase of 0% from the average session volume of 28,833,840 shares. The stock had previously closed at $6.97.

Analysts Set New Price Targets

SOUN has been the subject of a number of research analyst reports. DA Davidson decreased their price target on SoundHound AI from $12.00 to $10.00 and set a “buy” rating for the company in a research report on Thursday, August 6th. Weiss Ratings reissued a “sell (e+)” rating on shares of SoundHound AI in a research report on Monday, June 15th. Wall Street Zen upgraded SoundHound AI from a “strong sell” rating to a “sell” rating in a research note on Saturday, August 15th. LADENBURG THALM/SH SH raised SoundHound AI to a “strong-buy” rating in a research report on Wednesday, May 6th. Finally, Piper Sandler lowered their target price on SoundHound AI from $8.00 to $7.00 and set a “neutral” rating on the stock in a research note on Thursday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, SoundHound AI currently has an average rating of “Moderate Buy” and a consensus price target of $13.60.

SoundHound AI Trading Up 5.0%

The company has a market cap of $3.25 billion, a P/E ratio of -19.26 and a beta of 2.64. The business’s fifty day moving average is $6.70 and its 200 day moving average is $7.41.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings data on Wednesday, August 5th. The company reported ($0.02) earnings per share for the quarter, beating the consensus estimate of ($0.13) by $0.11. The business had revenue of $61.90 million during the quarter, compared to analyst estimates of $52.38 million. SoundHound AI had a negative return on equity of 30.22% and a negative net margin of 67.45%.SoundHound AI’s revenue was up 45.0% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.19) earnings per share. As a group, research analysts expect that SoundHound AI, Inc. will post -0.33 EPS for the current fiscal year.

Insider Buying and Selling

In other SoundHound AI news, COO Michael Zagorsek sold 64,994 shares of the stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $484,855.24. Following the completion of the transaction, the chief operating officer owned 1,669,497 shares in the company, valued at $12,454,447.62. This trade represents a 3.75% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider James Ming Hom sold 28,843 shares of the business’s stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $215,168.78. Following the completion of the sale, the insider directly owned 743,521 shares in the company, valued at approximately $5,546,666.66. This trade represents a 3.73% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 268,022 shares of company stock worth $1,999,444 in the last quarter. 8.84% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. grew its position in shares of SoundHound AI by 4.4% during the 4th quarter. Vanguard Group Inc. now owns 45,367,437 shares of the company’s stock valued at $452,313,000 after purchasing an additional 1,909,868 shares in the last quarter. Rakuten Securities Inc. increased its holdings in shares of SoundHound AI by 877.9% in the fourth quarter. Rakuten Securities Inc. now owns 333,605 shares of the company’s stock worth $3,326,000 after purchasing an additional 299,492 shares during the period. UBS Group AG raised its position in shares of SoundHound AI by 77.6% in the fourth quarter. UBS Group AG now owns 6,124,283 shares of the company’s stock worth $61,059,000 after buying an additional 2,676,707 shares in the last quarter. California State Teachers Retirement System raised its position in shares of SoundHound AI by 25.0% in the first quarter. California State Teachers Retirement System now owns 440,023 shares of the company’s stock worth $3,023,000 after buying an additional 87,998 shares in the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. boosted its stake in SoundHound AI by 140.5% during the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 266,576 shares of the company’s stock valued at $2,826,000 after buying an additional 155,743 shares during the period. 19.28% of the stock is currently owned by hedge funds and other institutional investors.

SoundHound AI Company Profile

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.