SoundHound AI (NASDAQ:SOUN) Stock Price Down 4.3% After Insider Selling

SoundHound AI, Inc. (NASDAQ:SOUN)’s share price traded down 4.3% during trading on Tuesday following insider selling activity. The company traded as low as $17.79 and last traded at $18.84. 41,977,068 shares were traded during trading, an increase of 8% from the average session volume of 39,022,605 shares. The stock had previously closed at $19.69.

Specifically, Director Lawrence Marcus sold 25,000 shares of SoundHound AI stock in a transaction that occurred on Thursday, December 12th. The stock was sold at an average price of $14.00, for a total transaction of $350,000.00. Following the completion of the transaction, the director now directly owns 128,117 shares in the company, valued at approximately $1,793,638. The trade was a 16.33 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link.

Analyst Ratings Changes

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

SoundHound AI Stock Performance

The stock has a fifty day simple moving average of $7.78 and a two-hundred day simple moving average of $5.80. 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 stock has a market cap of $6.74 billion, a price-to-earnings ratio of -52.33 and a beta of 3.03.

SoundHound AI (NASDAQ:SOUN) last released its earnings results on Tuesday, November 12th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 firm 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 for the quarter was up 88.7% on a year-over-year basis. Analysts expect that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Institutional Trading of SoundHound AI

A number of hedge funds have recently added to or reduced their stakes in SOUN. Kings Path Partners LLC bought a new stake in shares of SoundHound AI during the second quarter worth about $28,000. International Assets Investment Management LLC bought a new stake in SoundHound AI during the 2nd quarter worth approximately $31,000. NBC Securities Inc. increased its position in SoundHound AI by 97.8% in the 3rd quarter. NBC Securities Inc. now owns 7,720 shares of the company’s stock valued at $35,000 after acquiring an additional 3,818 shares during the period. Amalgamated Bank raised its stake in shares of SoundHound AI by 108.0% during the second quarter. Amalgamated Bank now owns 9,819 shares of the company’s stock valued at $39,000 after acquiring an additional 5,099 shares during the last quarter. Finally, Signaturefd LLC grew its stake 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. Institutional investors and hedge funds 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.