SoundHound AI (NASDAQ:SOUN) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

SoundHound AI (NASDAQ:SOUN) announced its quarterly earnings results on Tuesday. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.01, Briefing.com reports. The company had revenue of $25.10 million for the quarter, compared to analysts’ expectations of $23.02 million. SoundHound AI had a negative net margin of 163.58% and a negative return on equity of 73.21%. SoundHound AI’s revenue was up 88.7% compared to the same quarter last year. During the same quarter in the previous year, the business posted ($0.09) EPS. SoundHound AI updated its FY 2025 guidance to EPS and its FY 2024 guidance to EPS.

SoundHound AI Trading Up 3.2 %

SOUN stock traded up $0.20 during midday trading on Thursday, reaching $6.47. 16,222,621 shares of the company’s stock traded hands, compared to its average volume of 34,323,852. The stock’s 50-day moving average is $5.21 and its 200 day moving average is $4.93. The stock has a market cap of $2.32 billion, a P/E ratio of -17.42 and a beta of 2.71. SoundHound AI has a 52-week low of $1.62 and a 52-week high of $10.25.

Insider Activity

In other news, CTO Timothy Stonehocker sold 20,337 shares of the firm’s stock in a transaction dated Friday, September 20th. The stock was sold at an average price of $4.88, for a total value of $99,244.56. Following the transaction, the chief technology officer now owns 1,039,194 shares of the company’s stock, valued at $5,071,266.72. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, CTO Timothy Stonehocker sold 20,337 shares of SoundHound AI stock in a transaction on Friday, September 20th. The shares were sold at an average price of $4.88, for a total transaction of $99,244.56. Following the transaction, the chief technology officer now owns 1,039,194 shares in the company, valued at approximately $5,071,266.72. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Nitesh Sharan sold 39,728 shares of the stock in a transaction on Friday, September 20th. The stock was sold at an average price of $4.88, for a total value of $193,872.64. Following the completion of the sale, the chief financial officer now owns 1,560,411 shares of the company’s stock, valued at $7,614,805.68. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 327,275 shares of company stock valued at $1,606,644 in the last 90 days. Company insiders own 12.28% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on SOUN. Wedbush reiterated an “outperform” rating and set a $9.00 price target on shares of SoundHound AI in a report on Thursday, September 26th. Northland Securities lifted their target price on SoundHound AI from $5.50 to $6.00 and gave the stock a “market perform” rating in a report on Friday, August 9th. LADENBURG THALM/SH SH reaffirmed a “neutral” rating and set a $7.00 price objective on shares of SoundHound AI in a research report on Wednesday. Cantor Fitzgerald upgraded shares of SoundHound AI from a “neutral” rating to an “overweight” rating and lifted their price target for the stock from $5.00 to $7.00 in a research note on Friday, August 9th. Finally, DA Davidson restated a “buy” rating and set a $9.50 price objective on shares of SoundHound AI in a research report on Monday, September 30th. Three investment analysts have rated the stock with a hold rating and four have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $7.64.

SoundHound AI Company Profile

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.