SoundHound AI (NASDAQ:SOUN) Sets New 12-Month High – Here’s Why

SoundHound AI, Inc. (NASDAQ:SOUN) shares reached a new 52-week high on Friday . The company traded as high as $24.98 and last traded at $24.23, with a volume of 129107203 shares changing hands. The stock had previously closed at $20.24.

Analysts Set New Price Targets

Several research analysts recently weighed in on SOUN shares. Barclays restated a “neutral” rating and set a $7.00 price target on shares of SoundHound AI in a report on Wednesday, November 13th. DA Davidson reaffirmed a “buy” rating and issued a $9.50 target price on shares of SoundHound AI in a report on Monday, September 30th. HC Wainwright lifted their price target on SoundHound AI from $8.00 to $26.00 and gave the stock a “buy” rating in a report on Monday. Wedbush boosted their price objective on SoundHound AI from $10.00 to $22.00 and gave the stock an “outperform” rating in a research report on Monday, December 16th. Finally, LADENBURG THALM/SH SH reaffirmed a “neutral” rating and set a $7.00 target price on shares of SoundHound AI in a research report on Wednesday, November 13th. Three analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. According to MarketBeat.com, SoundHound AI has a consensus rating of “Moderate Buy” and an average price target of $12.07.

SoundHound AI Trading Up 19.7 %

The company has a debt-to-equity ratio of 0.13, a current ratio of 2.58 and a quick ratio of 2.58. The firm has a fifty day simple moving average of $10.29 and a two-hundred day simple moving average of $6.67. The firm has a market capitalization of $8.96 billion, a P/E ratio of -67.31 and a beta of 3.03.

SoundHound AI (NASDAQ:SOUN) last posted its quarterly earnings results on Tuesday, November 12th. The company reported ($0.06) earnings per share for the quarter, topping the consensus estimate of ($0.07) by $0.01. SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. The company had revenue of $25.10 million during the quarter, compared to the consensus estimate of $23.02 million. During the same quarter in the prior year, the company earned ($0.09) EPS. The firm’s quarterly revenue was up 88.7% compared to the same quarter last year. On average, equities research analysts anticipate that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insider Activity

In other news, Director Eric R. Ball sold 30,000 shares of the firm’s stock in a transaction that occurred on Monday, November 25th. The shares were sold at an average price of $8.03, for a total value of $240,900.00. Following the completion of the transaction, the director now directly owns 110,907 shares in the company, valued at approximately $890,583.21. This trade represents a 21.29 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CTO Timothy Stonehocker sold 34,407 shares of the company’s stock in a transaction that occurred on Friday, December 20th. The stock was sold at an average price of $20.30, for a total transaction of $698,462.10. Following the sale, the chief technology officer now directly owns 796,581 shares in the company, valued at $16,170,594.30. This trade represents a 4.14 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 2,782,918 shares of company stock valued at $45,391,343 over the last quarter. Company insiders own 12.28% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Bank of New York Mellon Corp boosted its stake in SoundHound AI by 92.7% during the second quarter. Bank of New York Mellon Corp now owns 997,543 shares of the company’s stock valued at $3,940,000 after buying an additional 479,912 shares during the period. Harbour Investments Inc. boosted its position in shares of SoundHound AI by 5.1% during the 2nd quarter. Harbour Investments Inc. now owns 59,746 shares of the company’s stock valued at $236,000 after acquiring an additional 2,923 shares during the last quarter. Principal Financial Group Inc. grew its holdings in shares of SoundHound AI by 106.6% during the second quarter. Principal Financial Group Inc. now owns 38,340 shares of the company’s stock worth $151,000 after purchasing an additional 19,780 shares in the last quarter. Signaturefd LLC increased its position in shares of SoundHound AI by 27.3% in the second quarter. Signaturefd LLC now owns 10,255 shares of the company’s stock worth $41,000 after purchasing an additional 2,200 shares during the last quarter. Finally, International Assets Investment Management LLC purchased a new stake in SoundHound AI in the second quarter valued at approximately $31,000. 19.28% of the stock is currently owned by hedge funds and other institutional investors.

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.