SoundHound AI (NASDAQ:SOUN) Hits New 12-Month High - Should You Buy?

SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report)'s share price reached a new 52-week high during trading on Thursday . The stock traded as high as $24.08 and last traded at $20.84, with a volume of 156047484 shares. The stock had previously closed at $19.39.

Wall Street Analysts Forecast Growth

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

SoundHound AI Price Performance

The company has a quick ratio of 2.58, a current ratio of 2.58 and a debt-to-equity ratio of 0.13. The stock has a market cap of $6.97 billion, a P/E ratio of -52.36 and a beta of 3.03. The firm has a 50 day moving average price of $8.67 and a 200 day moving average price of $6.09.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last announced its quarterly earnings data on Tuesday, November 12th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping 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 firm had revenue of $25.10 million during the quarter, compared to analysts' expectations of $23.02 million. During the same period in the prior year, the company posted ($0.09) earnings per share. The company's revenue for the quarter was up 88.7% compared to the same quarter last year. On average, analysts forecast that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insider Buying and Selling

In other SoundHound AI news, COO Michael Zagorsek sold 42,001 shares of SoundHound AI stock in a transaction that occurred on Friday, September 20th. The stock was sold at an average price of $4.88, for a total value of $204,964.88. Following the sale, the chief operating officer now owns 1,473,322 shares of the company's stock, valued at $7,189,811.36. The trade was a 2.77 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CEO Keyvan Mohajer sold 465,394 shares of the stock in a transaction that occurred on Monday, December 9th. The shares were sold at an average price of $15.04, for a total value of $6,999,525.76. Following the transaction, the chief executive officer now owns 2,299,148 shares of the company's stock, valued at $34,579,185.92. This represents a 16.83 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 2,535,517 shares of company stock worth $36,108,293. 12.28% of the stock is owned by insiders.

Institutional Investors Weigh In On SoundHound AI

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Kings Path Partners LLC purchased a new position in shares of SoundHound AI during the 2nd quarter worth about $28,000. International Assets Investment Management LLC purchased a new position in shares of SoundHound AI during the second quarter valued at approximately $31,000. NBC Securities Inc. boosted its position in shares of SoundHound AI by 97.8% during the third quarter. NBC Securities Inc. now owns 7,720 shares of the company's stock valued at $35,000 after buying an additional 3,818 shares during the period. Amalgamated Bank grew 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 buying an additional 5,099 shares during the last quarter. Finally, Signaturefd LLC raised its holdings 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 buying an additional 2,200 shares during the period. 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.