SoundHound AI (NASDAQ:SOUN) Shares Up 1.7% - Still a Buy?

Shares of SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report) shot up 1.7% during trading on Thursday . The company traded as high as $7.03 and last traded at $6.55. 23,274,389 shares changed hands during mid-day trading, a decline of 33% from the average session volume of 34,522,336 shares. The stock had previously closed at $6.44.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on SOUN shares. Northland Securities upped their price objective on SoundHound AI from $5.50 to $6.00 and gave the company a "market perform" rating in a research note on Friday, August 9th. 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. Wedbush restated an "outperform" rating and set a $9.00 price target on shares of SoundHound AI in a report on Thursday, September 26th. Barclays reaffirmed a "neutral" rating and set a $7.00 price target on shares of SoundHound AI in a research report on Wednesday, November 13th. Finally, Cantor Fitzgerald upgraded shares of SoundHound AI from a "neutral" rating to an "overweight" rating and raised their price target for the stock from $5.00 to $7.00 in a report on Friday, August 9th. Three analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $7.64.

SoundHound AI Stock Performance

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 company's fifty day simple moving average is $5.40 and its two-hundred day simple moving average is $4.99. The stock has a market cap of $2.53 billion, a price-to-earnings ratio of -18.19 and a beta of 2.71.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last posted its earnings results on Tuesday, November 12th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping the consensus estimate 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 analyst estimates of $23.02 million. During the same quarter in the prior year, the business posted ($0.09) EPS. The business's revenue was up 88.7% compared to the same quarter last year. On average, analysts forecast that SoundHound AI, Inc. will post -0.37 earnings per share for the current year.

Insider Activity

In other SoundHound AI news, COO Michael Zagorsek sold 42,001 shares of the stock in a transaction that occurred on Friday, September 20th. The shares were sold at an average price of $4.88, for a total value of $204,964.88. Following the sale, the chief operating officer now directly owns 1,473,322 shares in the company, valued at $7,189,811.36. This represents a 2.77 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CTO Timothy Stonehocker sold 20,337 shares of the stock in a transaction that occurred on Friday, September 20th. The stock was sold at an average price of $4.88, for a total transaction of $99,244.56. Following the completion of the sale, the chief technology officer now owns 1,039,194 shares in the company, valued at $5,071,266.72. This represents a 1.92 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 277,275 shares of company stock worth $1,355,644. 12.28% of the stock is owned by corporate insiders.

Institutional Trading of SoundHound AI

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

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.

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