SoundHound AI (NASDAQ:SOUN) Stock Price Down 9.5% on Insider Selling

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) were down 9.5% during mid-day trading on Thursday following insider selling activity. The stock traded as low as $18.63 and last traded at $18.86. Approximately 76,289,294 shares changed hands during trading, an increase of 91% from the average daily volume of 39,892,145 shares. The stock had previously closed at $20.85.

Specifically, insider James Ming Hom sold 58,382 shares of SoundHound AI stock in a transaction dated Monday, December 16th. The stock was sold at an average price of $18.35, for a total value of $1,071,309.70. Following the transaction, the insider now owns 754,811 shares in the company, valued at $13,850,781.85. The trade was a 7.18 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, COO Michael Zagorsek sold 277,813 shares of the stock in a transaction dated Wednesday, December 18th. The shares were sold at an average price of $21.25, for a total value of $5,903,526.25. Following the completion of the transaction, the chief operating officer now owns 1,473,322 shares of the company’s stock, valued at $31,308,092.50. This represents a 15.86 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In other news, COO Michael Zagorsek sold 138,906 shares of the company’s stock in a transaction that occurred on Monday, December 16th. The stock was sold at an average price of $17.63, for a total value of $2,448,912.78. Following the completion of the transaction, the chief operating officer now owns 1,473,322 shares of the company’s stock, valued at $25,974,666.86. This represents a 8.62 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on the stock. Wedbush lifted their price objective on shares of SoundHound AI from $10.00 to $22.00 and gave the company an “outperform” rating in a research note on Monday, December 16th. LADENBURG THALM/SH SH reissued a “neutral” rating and set a $7.00 price objective on shares of SoundHound AI in a report on Wednesday, November 13th. DA Davidson reaffirmed a “buy” rating and issued a $9.50 price target on shares of SoundHound AI in a report on Monday, September 30th. Barclays restated a “neutral” rating and set a $7.00 price target on shares of SoundHound AI in a research report on Wednesday, November 13th. Finally, HC Wainwright raised their price objective on shares of SoundHound AI from $7.00 to $8.00 and gave the company a “buy” rating in a research report on Thursday, November 14th. Three analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $9.50.

SoundHound AI Stock Performance

The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.58 and a current ratio of 2.58. The business’s fifty day simple moving average is $9.01 and its 200-day simple moving average is $6.21. The firm has a market capitalization of $8.04 billion, a PE ratio of -60.42 and a beta of 3.03.

SoundHound AI (NASDAQ:SOUN) last posted its quarterly earnings data on Tuesday, November 12th. The company reported ($0.06) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.01. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 55.58%. The business had revenue of $25.10 million for the quarter, compared to analysts’ expectations of $23.02 million. During the same quarter in the previous year, the business posted ($0.09) earnings per share. The business’s revenue was up 88.7% compared to the same quarter last year. As a group, equities research analysts expect that SoundHound AI, Inc. will post -0.38 EPS for the current year.

Institutional Trading of SoundHound AI

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Kings Path Partners LLC acquired a new stake in shares of SoundHound AI in the second quarter valued at approximately $28,000. NBC Securities Inc. increased its holdings in SoundHound AI by 97.8% during the 3rd quarter. NBC Securities Inc. now owns 7,720 shares of the company’s stock worth $35,000 after purchasing an additional 3,818 shares during the period. International Assets Investment Management LLC acquired a new position in SoundHound AI during the 2nd quarter worth approximately $31,000. Farther Finance Advisors LLC raised its stake in SoundHound AI by 298.5% in the third quarter. Farther Finance Advisors LLC now owns 8,966 shares of the company’s stock valued at $42,000 after buying an additional 6,716 shares in the last quarter. Finally, Amalgamated Bank boosted its holdings in SoundHound AI by 108.0% in the second quarter. Amalgamated Bank now owns 9,819 shares of the company’s stock valued at $39,000 after purchasing an additional 5,099 shares in the last quarter. Hedge funds and other institutional investors own 19.28% of the company’s stock.

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.