SoundHound AI (NASDAQ:SOUN) Shares Down 3.3% Following Analyst Downgrade

SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report) shares fell 3.3% during mid-day trading on Friday after Wedbush lowered their price target on the stock from $22.00 to $15.00. Wedbush currently has an outperform rating on the stock. SoundHound AI traded as low as $9.25 and last traded at $9.42. 21,642,130 shares changed hands during mid-day trading, a decline of 42% from the average session volume of 37,636,033 shares. The stock had previously closed at $9.74.

Other equities research analysts have also recently issued reports about the company. Cantor Fitzgerald raised SoundHound AI to a "hold" rating in a research report on Monday, February 24th. DA Davidson dropped their price target on shares of SoundHound AI from $13.00 to $10.00 and set a "buy" rating on the stock in a report on Monday, April 14th. Northland Securities increased their price objective on shares of SoundHound AI from $6.00 to $8.00 and gave the company a "market perform" rating in a research report on Tuesday, January 14th. Finally, HC Wainwright reaffirmed a "buy" rating and issued a $26.00 target price on shares of SoundHound AI in a research report on Monday, March 3rd. Four analysts have rated the stock with a hold rating and three have given a buy rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $11.43.

Insiders Place Their Bets

In related news, Director Diana Sroka sold 3,402 shares of SoundHound AI stock in a transaction on Monday, March 24th. The shares were sold at an average price of $10.08, for a total transaction of $34,292.16. Following the transaction, the director now owns 138,850 shares in the company, valued at approximately $1,399,608. The trade was a 2.39 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Keyvan Mohajer sold 118,605 shares of the company's stock in a transaction dated Thursday, March 20th. The stock was sold at an average price of $9.90, for a total value of $1,174,189.50. Following the completion of the transaction, the chief executive officer now directly owns 1,903,061 shares of the company's stock, valued at approximately $18,840,303.90. This trade represents a 5.87 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 500,565 shares of company stock worth $4,999,726. Company insiders own 12.28% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in SOUN. Vanguard Group Inc. increased its stake in SoundHound AI by 35.6% in the 4th quarter. Vanguard Group Inc. now owns 32,031,662 shares of the company's stock worth $635,508,000 after acquiring an additional 8,402,881 shares during the last quarter. Geode Capital Management LLC lifted its position in SoundHound AI by 4.4% during the fourth quarter. Geode Capital Management LLC now owns 7,509,496 shares of the company's stock valued at $149,024,000 after purchasing an additional 315,897 shares during the last quarter. Northern Trust Corp grew its stake in shares of SoundHound AI by 10.0% in the 4th quarter. Northern Trust Corp now owns 2,906,245 shares of the company's stock worth $57,660,000 after buying an additional 264,382 shares in the last quarter. Charles Schwab Investment Management Inc. increased its holdings in shares of SoundHound AI by 5.6% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 2,725,693 shares of the company's stock worth $54,078,000 after buying an additional 143,487 shares during the last quarter. Finally, Rockefeller Capital Management L.P. purchased a new stake in SoundHound AI in the 4th quarter worth about $41,595,000. Institutional investors own 19.28% of the company's stock.

SoundHound AI Trading Down 6.9 %

The stock has a fifty day moving average of $8.90 and a 200-day moving average of $11.27. The company has a market cap of $3.62 billion, a PE ratio of -25.19 and a beta of 2.71. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.58 and a current ratio of 2.58.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last issued its earnings results on Thursday, February 27th. The company reported ($0.69) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.11) by ($0.58). The business had revenue of $34.54 million for the quarter, compared to the consensus estimate of $33.70 million. SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. Sell-side analysts anticipate that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

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.

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