SoundHound AI (NASDAQ:SOUN) Trading 4.1% Higher – Time to Buy?

SoundHound AI, Inc. (NASDAQ:SOUN) shares were up 4.1% during mid-day trading on Monday . The company traded as high as $6.73 and last traded at $6.41. 42,752,863 shares traded hands during mid-day trading, an increase of 52% from the average daily volume of 28,126,789 shares. The stock had previously closed at $6.16.

Analyst Upgrades and Downgrades

Several analysts have issued reports on SOUN shares. DA Davidson reissued a “buy” rating and issued a $14.00 price objective on shares of SoundHound AI in a research note on Wednesday, April 22nd. LADENBURG THALM/SH SH upgraded SoundHound AI to a “strong-buy” rating in a research note on Wednesday, May 6th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of SoundHound AI in a research report on Monday, June 15th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $14.93.

SoundHound AI Stock Performance

The company has a fifty day simple moving average of $7.17 and a two-hundred day simple moving average of $7.92. The firm has a market capitalization of $2.77 billion, a PE ratio of -13.64 and a beta of 2.62.

SoundHound AI (NASDAQ:SOUN) last issued its earnings results on Thursday, May 7th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by ($0.01). SoundHound AI had a negative return on equity of 40.15% and a negative net margin of 91.84%.The business had revenue of $44.20 million for the quarter, compared to the consensus estimate of $42.56 million. During the same quarter in the previous year, the company earned ($0.06) earnings per share. The firm’s revenue was up 51.7% on a year-over-year basis. On average, equities analysts anticipate that SoundHound AI, Inc. will post -0.45 earnings per share for the current fiscal year.

Insiders Place Their Bets

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 sale, the chief operating officer directly owned 1,669,497 shares of the company’s stock, valued at approximately $12,454,447.62. This represents a 3.75% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. 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 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 sale, the insider directly owned 743,521 shares of the company’s stock, valued at $5,546,666.66. The trade was a 3.73% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 268,022 shares of company stock valued at $1,999,444 in the last three months. 8.84% of the stock is currently owned by insiders.

Hedge Funds Weigh In On SoundHound AI

Several hedge funds and other institutional investors have recently modified their holdings of SOUN. Handelsbanken Fonder AB raised its holdings in shares of SoundHound AI by 17.4% in the second quarter. Handelsbanken Fonder AB now owns 124,000 shares of the company’s stock worth $802,000 after buying an additional 18,400 shares during the last quarter. Focus Financial Network Inc. lifted its position in SoundHound AI by 21.4% during the 2nd quarter. Focus Financial Network Inc. now owns 48,229 shares of the company’s stock worth $312,000 after acquiring an additional 8,516 shares during the period. IFC & Insurance Marketing Inc. grew its stake in SoundHound AI by 17.9% during the 2nd quarter. IFC & Insurance Marketing Inc. now owns 42,255 shares of the company’s stock valued at $273,000 after purchasing an additional 6,427 shares during the last quarter. Hennion & Walsh Asset Management Inc. grew its stake in SoundHound AI by 19.2% during the 2nd quarter. Hennion & Walsh Asset Management Inc. now owns 118,662 shares of the company’s stock valued at $768,000 after purchasing an additional 19,133 shares during the last quarter. Finally, Empowered Funds LLC increased its holdings in shares of SoundHound AI by 19.6% in the first quarter. Empowered Funds LLC now owns 13,896 shares of the company’s stock valued at $95,000 after purchasing an additional 2,277 shares during the period. 19.28% of the stock is 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.