SoundHound AI (NASDAQ:SOUN) Stock Price Down 4% - Here's Why

SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report) shares were down 4% during mid-day trading on Tuesday . The stock traded as low as $14.62 and last traded at $14.71. Approximately 12,132,761 shares were traded during trading, a decline of 78% from the average daily volume of 55,219,621 shares. The stock had previously closed at $15.33.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on SOUN shares. Northland Securities increased their target price on SoundHound AI from $6.00 to $8.00 and gave the stock a "market perform" rating in a report on Tuesday, January 14th. Wedbush raised their price objective on SoundHound AI from $10.00 to $22.00 and gave the company an "outperform" rating in a research note on Monday, December 16th. HC Wainwright reissued a "buy" rating and set a $26.00 price target on shares of SoundHound AI in a research note on Monday, January 13th. LADENBURG THALM/SH SH reissued a "neutral" rating and set a $7.00 price target on shares of SoundHound AI in a research note on Wednesday, November 13th. Finally, Barclays reissued a "neutral" rating and set a $7.00 price target on shares of SoundHound AI in a research note on Wednesday, November 13th. Three investment analysts have rated the stock with a hold rating and four have assigned a buy rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $12.36.

SoundHound AI Stock Down 28.4 %

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 has a market capitalization of $4.30 billion, a P/E ratio of -30.35 and a beta of 2.56. The stock has a 50-day moving average price of $16.70 and a 200-day moving average price of $9.45.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last issued 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 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 period last year, the company earned ($0.09) earnings per share. The firm's revenue was up 88.7% compared to the same quarter last year. On average, research analysts predict that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Insider Transactions at SoundHound AI

In other SoundHound AI news, CTO Timothy Stonehocker sold 34,407 shares of the business'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 value of $698,462.10. Following the transaction, the chief technology officer now directly owns 796,581 shares of the company's stock, valued at approximately $16,170,594.30. The trade was a 4.14 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Keyvan Mohajer sold 465,394 shares of the business's 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 completion of the transaction, the chief executive officer now directly owns 2,299,148 shares in the company, valued at approximately $34,579,185.92. This trade represents a 16.83 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 2,782,918 shares of company stock worth $45,391,343 over the last ninety days. 12.28% of the stock is owned by insiders.

Hedge Funds Weigh In On SoundHound AI

Several institutional investors have recently added to or reduced their stakes in SOUN. Blue Trust Inc. raised its position in shares of SoundHound AI by 197.6% during the fourth quarter. Blue Trust Inc. now owns 1,250 shares of the company's stock worth $25,000 after purchasing an additional 830 shares during the period. Sound Income Strategies LLC raised its position in shares of SoundHound AI by 2,542.0% during the fourth quarter. Sound Income Strategies LLC now owns 1,321 shares of the company's stock worth $26,000 after purchasing an additional 1,271 shares during the period. Future Financial Wealth Managment LLC acquired a new position in shares of SoundHound AI during the fourth quarter worth approximately $40,000. Compagnie Lombard Odier SCmA acquired a new position in shares of SoundHound AI during the fourth quarter worth approximately $40,000. Finally, Golden State Wealth Management LLC acquired a new position in shares of SoundHound AI during the fourth quarter worth approximately $42,000. 19.28% of the stock is owned by institutional investors and hedge funds.

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.