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

Shares of SoundHound AI, Inc. (NASDAQ:SOUN) gapped down before the market opened on Monday . The stock had previously closed at $11.19, but opened at $10.65. SoundHound AI shares last traded at $10.28, with a volume of 9,604,464 shares trading hands.

Wall Street Analyst Weigh In

SOUN has been the topic of a number of recent research reports. HC Wainwright reduced their price target on shares of SoundHound AI from $26.00 to $18.00 and set a “buy” rating on the stock in a research report on Monday, May 12th. Wedbush cut their target price on shares of SoundHound AI from $22.00 to $15.00 and set an “outperform” rating on the stock in a report on Friday, May 9th. Cantor Fitzgerald upgraded SoundHound AI to a “hold” rating in a research report on Monday, February 24th. Finally, DA Davidson reduced their price objective on SoundHound AI from $13.00 to $10.00 and set a “buy” rating for the company in a research report on Monday, April 14th. Four equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. Based on data from MarketBeat, SoundHound AI has a consensus rating of “Hold” and an average price target of $10.29.

SoundHound AI Stock Performance

The company has a debt-to-equity ratio of 0.13, a current ratio of 2.58 and a quick ratio of 2.58. The stock has a fifty day moving average price of $9.12 and a two-hundred day moving average price of $11.60. The company has a market cap of $4.01 billion, a P/E ratio of -27.69 and a beta of 2.71.

SoundHound AI (NASDAQ:SOUN) last announced its earnings results on Thursday, May 8th. The company reported ($0.06) earnings per share for the quarter, beating the consensus estimate of ($0.09) by $0.03. SoundHound AI had a negative return on equity of 55.58% and a negative net margin of 163.58%. The firm had revenue of $29.13 million for the quarter, compared to the consensus estimate of $30.38 million. During the same quarter in the previous year, the business earned ($0.07) EPS. The firm’s revenue for the quarter was up 151.2% on a year-over-year basis. On average, equities analysts forecast that SoundHound AI, Inc. will post -0.38 earnings per share for the current fiscal year.

Insider Activity at SoundHound AI

In other SoundHound AI news, CEO Keyvan Mohajer sold 138,895 shares of the company’s stock in a transaction that occurred on Monday, March 24th. The stock was sold at an average price of $10.08, for a total value of $1,400,061.60. Following the completion of the sale, the chief executive officer now directly owns 1,764,166 shares in the company, valued at $17,782,793.28. This represents a 7.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CTO Timothy Stonehocker sold 3,333 shares of the company’s stock in a transaction on Monday, March 24th. The shares were sold at an average price of $10.08, for a total value of $33,596.64. Following the completion of the sale, the chief technology officer now owns 765,534 shares of the company’s stock, valued at approximately $7,716,582.72. This trade represents a 0.43% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 548,537 shares of company stock worth $5,567,760 over the last ninety days. 12.28% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On SoundHound AI

Several hedge funds and other institutional investors have recently bought and sold shares of SOUN. Vanguard Group Inc. raised its holdings in shares of 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 purchasing an additional 8,402,881 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of SoundHound AI by 84.2% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 4,973,728 shares of the company’s stock valued at $40,390,000 after acquiring an additional 2,274,105 shares during the last quarter. Rockefeller Capital Management L.P. acquired a new stake in shares of SoundHound AI during the 4th quarter valued at $41,595,000. Invesco Ltd. boosted its stake in shares of SoundHound AI by 1,386.2% during the 4th quarter. Invesco Ltd. now owns 1,382,371 shares of the company’s stock worth $27,426,000 after acquiring an additional 1,289,360 shares in the last quarter. Finally, Goldman Sachs Group Inc. grew its holdings in shares of SoundHound AI by 69.8% in the 1st quarter. Goldman Sachs Group Inc. now owns 2,639,689 shares of the company’s stock worth $21,434,000 after acquiring an additional 1,085,473 shares during the last quarter. 19.28% of the stock is currently owned by institutional investors.

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.