SoundHound AI Sees Unusually High Options Volume (NASDAQ:SOUN)

SoundHound AI, Inc. (NASDAQ:SOUN) was the recipient of some unusual options trading activity on Friday. Traders acquired 285,314 call options on the stock. This represents an increase of 106% compared to the average daily volume of 138,428 call options.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the stock. Piper Sandler reaffirmed a “neutral” rating and set a $12.00 price target on shares of SoundHound AI in a research note on Monday, July 14th. Northland Securities raised SoundHound AI from a “market perform” rating to an “outperform” rating and set a $14.50 target price on the stock in a research report on Friday, August 8th. LADENBURG THALM/SH SH upgraded SoundHound AI from a “neutral” rating to a “buy” rating and lifted their target price for the company from $9.00 to $16.00 in a report on Monday, August 11th. Northland Capmk upgraded SoundHound AI from a “hold” rating to a “strong-buy” rating in a research note on Friday, August 8th. Finally, DA Davidson raised their price objective on SoundHound AI from $15.00 to $17.00 and gave the stock a “buy” rating in a report on Wednesday, September 10th. 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 data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $14.36.

Insider Buying and Selling

In other news, CTO Timothy Stonehocker sold 2,981 shares of the company’s stock in a transaction on Tuesday, June 24th. The stock was sold at an average price of $9.68, for a total value of $28,856.08. Following the sale, the chief technology officer directly owned 716,866 shares in the company, valued at $6,939,262.88. This represents a 0.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Majid Emami sold 60,295 shares of the business’s stock in a transaction dated Tuesday, June 24th. The shares were sold at an average price of $10.00, for a total transaction of $602,950.00. Following the completion of the transaction, the vice president directly owned 477,657 shares of the company’s stock, valued at $4,776,570. The trade was a 11.21% decrease in their position. The disclosure for this sale can be found here. Insiders sold 66,076 shares of company stock worth $659,638 in the last ninety days. Insiders own 9.17% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in SOUN. Vanguard Group Inc. boosted its stake in SoundHound AI by 9.5% in the first quarter. Vanguard Group Inc. now owns 35,059,943 shares of the company’s stock worth $284,687,000 after purchasing an additional 3,028,281 shares in the last quarter. Geode Capital Management LLC lifted its holdings in SoundHound AI by 8.3% in the second quarter. Geode Capital Management LLC now owns 8,830,144 shares of the company’s stock valued at $94,759,000 after buying an additional 679,436 shares during the period. State Street Corp grew its stake in shares of SoundHound AI by 9.1% during the second quarter. State Street Corp now owns 8,476,348 shares of the company’s stock worth $90,951,000 after purchasing an additional 708,369 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of SoundHound AI by 1.0% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 5,024,632 shares of the company’s stock worth $53,906,000 after buying an additional 50,904 shares during the period. Finally, Northern Trust Corp grew its holdings in shares of SoundHound AI by 2.5% in the 1st quarter. Northern Trust Corp now owns 2,979,011 shares of the company’s stock valued at $24,190,000 after buying an additional 72,766 shares during the period. 19.28% of the stock is owned by institutional investors.

SoundHound AI Stock Up 3.4%

Shares of NASDAQ SOUN opened at $15.63 on Friday. SoundHound AI has a 12 month low of $4.45 and a 12 month high of $24.98. The company has a market cap of $6.37 billion, a P/E ratio of -24.81 and a beta of 2.58. The business’s 50 day moving average is $12.94 and its two-hundred day moving average is $10.73.

SoundHound AI (NASDAQ:SOUN) last posted its quarterly earnings results on Thursday, August 7th. The company reported ($0.19) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.06) by ($0.13). The company had revenue of $42.68 million during the quarter, compared to analyst estimates of $32.88 million. SoundHound AI had a negative return on equity of 73.13% and a negative net margin of 171.81%.The business’s revenue for the quarter was up 216.3% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.11) earnings per share. SoundHound AI has set its FY 2025 guidance at EPS. Sell-side analysts expect that SoundHound AI will post -0.38 earnings per share for the current fiscal year.

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.