SoundHound AI (NASDAQ:SOUN) Shares Gap Down – Here’s What Happened

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) gapped down prior to trading on Monday . The stock had previously closed at $14.15, but opened at $13.07. SoundHound AI shares last traded at $13.86, with a volume of 9,408,747 shares.

Analysts Set New Price Targets

Several research firms have commented on SOUN. Barclays reissued a “neutral” rating and set a $7.00 target price 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 report on Wednesday, November 13th. HC Wainwright reiterated a “buy” rating and set a $26.00 price target on shares of SoundHound AI in a research report on Monday, January 13th. Wedbush raised their target price on SoundHound AI from $10.00 to $22.00 and gave the company an “outperform” rating in a research note on Monday, December 16th. Finally, Northland Securities raised their target price on SoundHound AI from $6.00 to $8.00 and gave the company a “market perform” rating in a research note on Tuesday, January 14th. Three analysts have rated the stock with a hold rating and four have issued a buy rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $12.36.

SoundHound AI Stock Performance

The company has a quick ratio of 2.58, a current ratio of 2.58 and a debt-to-equity ratio of 0.13. The firm has a market capitalization of $5.32 billion, a PE ratio of -40.10 and a beta of 2.56. The firm’s 50-day moving average price is $15.63 and its two-hundred day moving average price is $8.87.

SoundHound AI (NASDAQ:SOUN) last released its earnings results on Tuesday, November 12th. The company reported ($0.06) earnings per share for the quarter, beating the consensus estimate of ($0.07) by $0.01. The company had revenue of $25.10 million for the quarter, compared to analysts’ expectations of $23.02 million. SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. The business’s revenue for the quarter was up 88.7% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.09) EPS. As a group, research analysts predict that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insider Buying and Selling at SoundHound AI

In other SoundHound AI news, CTO Timothy Stonehocker sold 34,407 shares of the business’s stock in a transaction that occurred on Friday, December 20th. The shares were sold at an average price of $20.30, for a total value of $698,462.10. Following the completion of the sale, the chief technology officer now directly owns 796,581 shares of the company’s stock, valued at $16,170,594.30. The trade was a 4.14 % decrease in their ownership of the stock. The transaction 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 firm’s stock in a transaction on Thursday, November 21st. The shares were sold at an average price of $7.15, for a total transaction of $214,500.00. Following the transaction, the director now owns 178,117 shares in the company, valued at $1,273,536.55. This represents a 14.41 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 2,782,918 shares of company stock valued at $45,391,343 in the last quarter. Company insiders own 12.28% of the company’s stock.

Institutional Trading of SoundHound AI

Several large investors have recently made changes to their positions in the stock. New York State Common Retirement Fund grew its holdings in SoundHound AI by 11.4% during the fourth quarter. New York State Common Retirement Fund now owns 90,962 shares of the company’s stock valued at $1,805,000 after purchasing an additional 9,300 shares during the last quarter. C2P Capital Advisory Group LLC d.b.a. Prosperity Capital Advisors bought a new stake in SoundHound AI during the 4th quarter valued at approximately $187,000. Sanctuary Advisors LLC grew its stake in shares of SoundHound AI by 48.8% in the fourth quarter. Sanctuary Advisors LLC now owns 44,618 shares of the company’s stock worth $885,000 after acquiring an additional 14,642 shares during the last quarter. Valmark Advisers Inc. bought a new position in SoundHound AI during the fourth quarter worth $217,000. Finally, Sheaff Brock Investment Advisors LLC increased its position in SoundHound AI by 149.9% during the fourth quarter. Sheaff Brock Investment Advisors LLC now owns 33,652 shares of the company’s stock worth $668,000 after acquiring an additional 20,185 shares during the period. 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.