SoundHound AI (NASDAQ:SOUN) Trading Down 1.5% - What's Next?

Key Points

• SoundHound AI's stock price fell by 1.5%, trading at $17.78 after reaching a low of $17.40, with trading volume up 38% compared to its average.
• Analysts have set varying price targets, with Wedbush rating it as "outperform" at $16.00, while Wall Street Zen downgraded it to a "sell", highlighting a diverse set of opinions on the stock's potential.
• In its latest quarterly earnings, SoundHound AI reported a revenue of $42.68 million, significantly exceeding analysts' expectations, but missed earnings estimates with a net margin of -171.81%.

SoundHound AI, Inc. (NASDAQ:SOUN - Get Free Report)'s stock price traded down 1.5% during mid-day trading on Wednesday . The company traded as low as $17.40 and last traded at $17.78. 62,960,114 shares were traded during trading, an increase of 38% from the average session volume of 45,578,188 shares. The stock had previously closed at $18.05.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the company. Wedbush reiterated an "outperform" rating and set a $16.00 price objective on shares of SoundHound AI in a research note on Thursday, September 11th. LADENBURG THALM/SH SH raised SoundHound AI from a "neutral" rating to a "buy" rating and boosted their price target for the stock from $9.00 to $16.00 in a report on Monday, August 11th. Oppenheimer began coverage on SoundHound AI in a report on Thursday, September 11th. They issued a "market perform" rating on the stock. Northland Securities raised SoundHound AI from a "market perform" rating to an "outperform" rating and set a $14.50 price target on the stock in a report on Friday, August 8th. Finally, Wall Street Zen cut SoundHound AI from a "hold" rating to a "sell" rating in a report on Saturday, August 9th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $14.36.

SoundHound AI Stock Performance

The firm has a market capitalization of $7.25 billion, a PE ratio of -28.22 and a beta of 2.58. The company has a fifty day moving average price of $13.28 and a 200-day moving average price of $10.89.

SoundHound AI (NASDAQ:SOUN - Get Free Report) last released its quarterly earnings results 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). SoundHound AI had a negative net margin of 171.81% and a negative return on equity of 73.13%. The company had revenue of $42.68 million for the quarter, compared to analysts' expectations of $32.88 million. During the same quarter in the previous year, the company posted ($0.11) EPS. The business's quarterly revenue was up 216.3% on a year-over-year basis. SoundHound AI has set its FY 2025 guidance at EPS. On average, equities analysts predict that SoundHound AI, Inc. will post -0.38 earnings per share for the current year.

Institutional Trading of SoundHound AI

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Osaic Holdings Inc. grew its position in SoundHound AI by 14.0% in the 2nd quarter. Osaic Holdings Inc. now owns 498,691 shares of the company's stock valued at $5,351,000 after acquiring an additional 61,212 shares during the last quarter. B. Riley Wealth Advisors Inc. bought a new position in SoundHound AI in the 2nd quarter valued at $157,000. Newbridge Financial Services Group Inc. grew its position in SoundHound AI by 6.3% in the 2nd quarter. Newbridge Financial Services Group Inc. now owns 31,050 shares of the company's stock valued at $333,000 after acquiring an additional 1,850 shares during the last quarter. Marex Group plc bought a new position in SoundHound AI in the 2nd quarter valued at $3,728,000. Finally, Tyler Stone Wealth Management grew its position in SoundHound AI by 20.7% in the 2nd quarter. Tyler Stone Wealth Management now owns 32,190 shares of the company's stock valued at $345,000 after acquiring an additional 5,510 shares during the last quarter. Hedge funds and other institutional investors 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.

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