SoundHound AI (NASDAQ:SOUN) Shares Down 7.9% - Should You Sell?

SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report) shares fell 7.9% during trading on Friday . The company traded as low as $13.30 and last traded at $13.84. 30,279,938 shares changed hands during trading, a decline of 55% from the average session volume of 67,896,195 shares. The stock had previously closed at $15.02.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the company. Wedbush lifted their price objective on SoundHound AI from $10.00 to $22.00 and gave the company an "outperform" rating in a report on Monday, December 16th. Barclays reiterated a "neutral" rating and set a $7.00 price objective on shares of SoundHound AI in a research note on Wednesday, November 13th. LADENBURG THALM/SH SH restated a "neutral" rating and issued a $7.00 target price on shares of SoundHound AI in a research note on Wednesday, November 13th. DA Davidson reiterated a "buy" rating and set a $9.50 target price on shares of SoundHound AI in a research report on Monday, September 30th. Finally, HC Wainwright upped their price objective on shares of SoundHound AI from $8.00 to $26.00 and gave the stock a "buy" rating in a research note on Monday, December 23rd. Three research analysts have rated the stock with a hold rating and four have issued a buy rating to the company's stock. Based on data from MarketBeat, SoundHound AI currently has an average rating of "Moderate Buy" and a consensus target price of $12.07.

SoundHound AI Trading Down 6.2 %

The business's 50 day simple moving average is $13.29 and its 200-day simple moving average is $7.79. 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 stock has a market capitalization of $5.21 billion, a P/E ratio of -39.14 and a beta of 2.63.

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

Insider Buying and Selling at SoundHound AI

In related news, VP Majid Emami sold 94,067 shares of the firm's stock in a transaction on Monday, December 2nd. The shares were sold at an average price of $9.05, for a total transaction of $851,306.35. Following the sale, the vice president now directly owns 735,685 shares in the company, valued at $6,657,949.25. This trade represents a 11.34 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Lawrence Marcus sold 30,000 shares of the stock in a transaction dated Thursday, November 21st. The stock was sold at an average price of $7.15, for a total value of $214,500.00. Following the transaction, the director now owns 178,117 shares of the company's stock, valued at approximately $1,273,536.55. This trade represents a 14.41 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 2,782,918 shares of company stock valued at $45,391,343. Corporate insiders own 12.28% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of SOUN. ST Germain D J Co. Inc. lifted its stake in SoundHound AI by 33.2% in the 4th quarter. ST Germain D J Co. Inc. now owns 3,008 shares of the company's stock valued at $60,000 after acquiring an additional 750 shares in the last quarter. Oppenheimer & Co. Inc. lifted its position in shares of SoundHound AI by 11.0% in the third quarter. Oppenheimer & Co. Inc. now owns 19,000 shares of the company's stock worth $89,000 after purchasing an additional 1,887 shares in the last quarter. Integrated Wealth Concepts LLC boosted its holdings in SoundHound AI by 13.0% during the third quarter. Integrated Wealth Concepts LLC now owns 17,150 shares of the company's stock worth $80,000 after purchasing an additional 1,975 shares during the last quarter. Signaturefd LLC grew its position in SoundHound AI by 19.5% in the third quarter. Signaturefd LLC now owns 12,255 shares of the company's stock valued at $57,000 after purchasing an additional 2,000 shares in the last quarter. Finally, Newbridge Financial Services Group Inc. increased its stake in SoundHound AI by 24.7% in the 2nd quarter. Newbridge Financial Services Group Inc. now owns 11,720 shares of the company's stock valued at $46,000 after buying an additional 2,320 shares during the last quarter. 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.