SoundHound AI (NASDAQ:SOUN) Stock Price Up 1.8% - Here's What Happened

Key Points

• SoundHound AI stock price increased by 1.8%, reaching $16.18 after trading as high as $16.49, despite a decline in trading volume by 24% from the average.
• Recent analyst evaluations include an upgrade from Wedbush to $16.00 and a downgrade by DA Davidson to $10.00, with a consensus rating of "Moderate Buy" and a price target of $13.36.
• In its latest earnings report, SoundHound AI missed consensus EPS estimates with a report of ($0.19), although it saw a significant 216.3% revenue increase year-over-year, totaling $42.68 million.

SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report)'s share price was up 1.8% during mid-day trading on Tuesday . The stock traded as high as $16.49 and last traded at $16.18. Approximately 31,125,783 shares traded hands during mid-day trading, a decline of 24% from the average daily volume of 40,849,895 shares. The stock had previously closed at $15.90.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on SOUN shares. Piper Sandler reaffirmed a "neutral" rating and issued a $12.00 price objective on shares of SoundHound AI in a research note on Monday, July 14th. Wall Street Zen lowered shares of SoundHound AI from a "hold" rating to a "sell" rating in a research note on Saturday. Wedbush lifted their price target on SoundHound AI from $15.00 to $16.00 and gave the company an "outperform" rating in a report on Friday, August 8th. LADENBURG THALM/SH SH raised shares of SoundHound AI from a "neutral" rating to a "buy" rating and lifted their price objective for the company from $9.00 to $16.00 in a research note on Monday. Finally, Northland Securities raised SoundHound AI from a "market perform" rating to an "outperform" rating and set a $14.50 target price for the company in a research report on Friday, August 8th. One analyst has rated the stock with a sell rating, three have given a hold rating, five have issued a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $13.36.

SoundHound AI Trading Down 1.7%

The stock has a market cap of $6.31 billion, a P/E ratio of -24.99 and a beta of 2.57. The business's fifty day simple moving average is $11.00 and its 200 day simple moving average is $10.49.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The company reported ($0.19) EPS for the quarter, missing the consensus estimate of ($0.06) by ($0.13). The company had revenue of $42.68 million for the quarter, compared to the consensus estimate of $32.88 million. SoundHound AI had a negative net margin of 171.81% and a negative return on equity of 77.38%. SoundHound AI's revenue for the quarter was up 216.3% compared to the same quarter last year. During the same period last year, the company earned ($0.11) earnings per share. On average, analysts predict that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insider Transactions at SoundHound AI

In other news, VP Majid Emami sold 132,352 shares of the business's stock in a transaction on Tuesday, June 10th. The stock was sold at an average price of $10.04, for a total transaction of $1,328,814.08. Following the completion of the sale, the vice president owned 537,482 shares in the company, valued at $5,396,319.28. The trade was a 19.76% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, COO Michael Zagorsek sold 117,180 shares of the business'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 transaction of $1,096,804.80. Following the sale, the chief operating officer directly owned 1,346,455 shares of the company's stock, valued at approximately $12,602,818.80. This trade represents a 8.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 913,317 shares of company stock worth $8,679,813. Corporate insiders own 9.17% of the company's stock.

Hedge Funds Weigh In On SoundHound AI

Several hedge funds have recently added to or reduced their stakes in the stock. Northwestern Mutual Wealth Management Co. grew its position in shares of SoundHound AI by 83.1% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company's stock worth $25,000 after buying an additional 1,060 shares during the period. Advisors Asset Management Inc. raised its position in shares of SoundHound AI by 68.4% in the 2nd quarter. Advisors Asset Management Inc. now owns 2,519 shares of the company's stock valued at $27,000 after acquiring an additional 1,023 shares during the period. Orion Capital Management LLC bought a new position in SoundHound AI during the 4th quarter worth approximately $30,000. AlphaQuest LLC acquired a new position in SoundHound AI during the first quarter valued at approximately $32,000. Finally, Huntington National Bank increased its stake in SoundHound AI by 48.8% in the second quarter. Huntington National Bank now owns 3,050 shares of the company's stock valued at $33,000 after purchasing an additional 1,000 shares in the last quarter. Institutional investors and hedge funds 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.