Driehaus Capital Management LLC Raises Position in SoundHound AI, Inc. $SOUN

Key Points

• Driehaus Capital Management LLC increased its stake in SoundHound AI, Inc. by 20.6%, now holding 998,481 shares valued at approximately $8.1 million.
• Insider selling activity was noted, with CTO Timothy Stonehocker and Director Diana Sroka both selling shares in June, reducing their holdings by 0.41% and 1.79%, respectively.
• SoundHound AI's recent earnings report showed a 216.3% year-over-year revenue increase, despite missing EPS expectations with a loss of $0.19 per share.

Driehaus Capital Management LLC increased its holdings in shares of SoundHound AI, Inc. (NASDAQ:SOUN - Free Report) by 20.6% in the first quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 998,481 shares of the company's stock after purchasing an additional 170,786 shares during the quarter. Driehaus Capital Management LLC owned 0.25% of SoundHound AI worth $8,108,000 as of its most recent filing with the SEC.

Other large investors also recently made changes to their positions in the company. Aristides Capital LLC boosted its stake in shares of SoundHound AI by 238.5% during the 1st quarter. Aristides Capital LLC now owns 79,886 shares of the company's stock worth $649,000 after buying an additional 56,286 shares during the last quarter. Rafferty Asset Management LLC acquired a new stake in SoundHound AI in the first quarter valued at $454,000. Corebridge Financial Inc. grew its position in shares of SoundHound AI by 3.4% in the 1st quarter. Corebridge Financial Inc. now owns 158,646 shares of the company's stock valued at $1,288,000 after acquiring an additional 5,282 shares during the period. Apexium Financial LP grew its position in shares of SoundHound AI by 8.5% in the 1st quarter. Apexium Financial LP now owns 35,698 shares of the company's stock valued at $290,000 after acquiring an additional 2,790 shares during the period. Finally, MetLife Investment Management LLC lifted its stake in SoundHound AI by 2.1% in the 1st quarter. MetLife Investment Management LLC now owns 189,165 shares of the company's stock valued at $1,536,000 after purchasing an additional 3,831 shares during the last quarter. Institutional investors own 19.28% of the company's stock.

Insider Activity at SoundHound AI

In related news, CEO Keyvan Mohajer sold 254,376 shares of the company's stock in a transaction that occurred on Friday, June 20th. The stock was sold at an average price of $9.36, for a total value of $2,380,959.36. Following the sale, the chief executive officer directly owned 1,749,790 shares in the company, valued at $16,378,034.40. This represents a 12.69% 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, insider James Ming Hom sold 79,530 shares of the company's stock in a transaction on Friday, June 20th. The shares were sold at an average price of $9.36, for a total transaction of $744,400.80. Following the sale, the insider directly owned 637,560 shares in the company, valued at $5,967,561.60. This trade represents a 11.09% decrease in their position. The disclosure for this sale can be found here. Insiders sold 913,317 shares of company stock valued at $8,679,813 over the last ninety days. Insiders own 9.17% of the company's stock.

SoundHound AI Price Performance

NASDAQ:SOUN traded up $0.49 during trading hours on Friday, hitting $13.02. The company's stock had a trading volume of 81,341,786 shares, compared to its average volume of 60,794,100. The stock has a fifty day simple moving average of $12.00 and a 200-day simple moving average of $10.35. The company has a market capitalization of $5.31 billion, a P/E ratio of -20.67 and a beta of 2.58. SoundHound AI, Inc. has a twelve month low of $4.32 and a twelve month high of $24.98.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported ($0.19) earnings per share for the quarter, missing the consensus estimate of ($0.06) by ($0.13). The firm had revenue of $42.68 million for the quarter, compared to analyst estimates of $32.88 million. SoundHound AI had a negative net margin of 171.81% and a negative return on equity of 73.13%. The company's revenue was up 216.3% compared to the same quarter last year. During the same period last year, the business earned ($0.11) EPS. SoundHound AI has set its FY 2025 guidance at EPS. On average, equities analysts predict that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of research firms have recently issued reports on SOUN. Wall Street Zen cut SoundHound AI from a "hold" rating to a "sell" rating in a research report on Saturday, August 9th. Northland Securities raised SoundHound AI from a "market perform" rating to an "outperform" rating and set a $14.50 target price on the stock in a research report on Friday, August 8th. LADENBURG THALM/SH SH raised SoundHound AI from a "neutral" rating to a "buy" rating and lifted their price target for the stock from $9.00 to $16.00 in a report on Monday, August 11th. Northland Capmk raised shares of SoundHound AI from a "hold" rating to a "strong-buy" rating in a research report on Friday, August 8th. Finally, Wedbush lifted their price objective on shares of SoundHound AI from $15.00 to $16.00 and gave the stock an "outperform" rating in a research note on Friday, August 8th. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $13.36.

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.