SoundHound AI (NASDAQ:SOUN) Shares Down 6.5% Following Insider Selling

SoundHound AI, Inc. (NASDAQ:SOUN)’s stock price fell 6.5% during mid-day trading on Thursday after an insider sold shares in the company. The company traded as low as $6.06 and last traded at $6.06. 16,010,978 shares changed hands during mid-day trading, a decline of 41% from the average session volume of 27,240,650 shares. The stock had previously closed at $6.48.

Specifically, SVP Majid Emami sold 31,019 shares of the business’s stock in a transaction dated Friday, March 20th. The stock was sold at an average price of $6.79, for a total value of $210,619.01. Following the completion of the transaction, the senior vice president owned 501,826 shares of the company’s stock, valued at approximately $3,407,398.54. The trade was a 5.82% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider James Ming Hom sold 31,019 shares of the firm’s stock in a transaction dated Friday, March 20th. The shares were sold at an average price of $6.79, for a total transaction of $210,619.01. Following the sale, the insider directly owned 772,364 shares in the company, valued at approximately $5,244,351.56. The trade was a 3.86% decrease in their position. The SEC filing for this sale provides additional information. In other SoundHound AI news, CEO Keyvan Mohajer sold 124,510 shares of SoundHound AI stock in a transaction that occurred on Friday, March 20th. The shares were sold at an average price of $6.79, for a total value of $845,422.90. Following the completion of the sale, the chief executive officer owned 2,073,777 shares of the company’s stock, valued at approximately $14,080,945.83. The trade was a 5.66% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Wall Street Analysts Forecast Growth

SOUN has been the topic of several research analyst reports. Zacks Research raised SoundHound AI from a “strong sell” rating to a “hold” rating in a report on Monday, February 9th. HC Wainwright decreased their price target on shares of SoundHound AI from $26.00 to $20.00 and set a “buy” rating on the stock in a research report on Monday, March 2nd. DA Davidson set a $14.00 price target on shares of SoundHound AI in a research note on Thursday, January 8th. Weiss Ratings restated a “sell (d-)” rating on shares of SoundHound AI in a research report on Friday, January 9th. Finally, Piper Sandler reaffirmed a “neutral” rating and issued a $9.00 price objective (down from $11.00) on shares of SoundHound AI in a research note on Friday, February 27th. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $14.93.

SoundHound AI News Roundup

Here are the key news stories impacting SoundHound AI this week:

• Positive Sentiment: Industry recognition: Aragon Research named SoundHound a leader for agent platforms, which reinforces its enterprise voice/agent AI growth story and could support longer‑term valuation if execution follows. SoundHound AI Named Leader in The Aragon Research Globe™ for Agent Platforms 2026
• Positive Sentiment: Analyst/feature coverage highlights upside: a couple of fintech/media pieces profile SoundHound as having a long‑run opportunity in voice‑powered, agentic AI — positive narrative for patient growth investors. 2 Tech Stocks Most Investors Haven’t Heard of That Could Go Parabolic
• Neutral Sentiment: Analyst consensus: brokerages show a consensus target around $14.93, indicating substantial implied upside versus current levels but requiring sustained revenue/profit progress to realize. SoundHound AI Receives $14.93 Consensus Target Price
• Neutral Sentiment: Institutional activity: some hedge funds and large brokers have increased positions recently, which can provide support but is not an immediate catalyst. (Useful context for longer‑term holders.)
• Negative Sentiment: Coordinated insider selling: multiple senior executives (CEO, CFO, COO, CTO, SVP and others) sold large blocks around mid‑March at roughly the same price — a common trigger for short‑term selling pressure and investor concern about insider conviction. Example SEC filing for the CEO sale is linked. CEO Insider Sale SEC Filing
• Negative Sentiment: Negative media/market sentiment: Jim Cramer reiterated skepticism (calling the company a “continual money loser”), which can amplify selling from retail/institutional investors. Jim Cramer on SoundHound AI
• Negative Sentiment: Sector competition / news flow: a market roundup tied to Anthropic adding device‑control features to its assistant sparked a sell‑off in AI names, including SoundHound, by raising competitive risk and shortening investor time horizons. Health Catalyst, Asure Software, GitLab, Zeta Global, and SoundHound AI Shares Plummet

SoundHound AI Trading Down 6.5%

The company has a 50 day simple moving average of $8.29 and a two-hundred day simple moving average of $12.12. The firm has a market capitalization of $2.56 billion, a P/E ratio of -121.18 and a beta of 2.65.

SoundHound AI (NASDAQ:SOUN) last posted its earnings results on Thursday, February 26th. The company reported ($0.02) earnings per share for the quarter, meeting the consensus estimate of ($0.02). The company had revenue of $55.06 million during the quarter, compared to analysts’ expectations of $53.88 million. SoundHound AI had a negative net margin of 8.71% and a negative return on equity of 3.63%. SoundHound AI’s quarterly revenue was up 59.4% on a year-over-year basis. During the same period last year, the company posted ($0.05) earnings per share. On average, sell-side analysts expect that SoundHound AI, Inc. will post -0.38 EPS for the current fiscal year.

Hedge Funds Weigh In On SoundHound AI

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its holdings in SoundHound AI by 4.4% during the 4th quarter. Vanguard Group Inc. now owns 45,367,437 shares of the company’s stock valued at $452,313,000 after buying an additional 1,909,868 shares in the last quarter. Geode Capital Management LLC raised its holdings in shares of SoundHound AI by 3.1% during the 4th quarter. Geode Capital Management LLC now owns 9,180,321 shares of the company’s stock worth $91,543,000 after acquiring an additional 273,097 shares in the last quarter. Morgan Stanley lifted its position in SoundHound AI by 48.1% during the fourth quarter. Morgan Stanley now owns 8,987,522 shares of the company’s stock valued at $89,606,000 after purchasing an additional 2,917,280 shares during the last quarter. State Street Corp grew its stake in shares of SoundHound AI by 0.9% in the 4th quarter. State Street Corp now owns 8,691,235 shares of the company’s stock worth $86,652,000 after buying an additional 80,908 shares in the last quarter. Finally, UBS Group AG increased its holdings in shares of SoundHound AI by 77.6% in the 4th quarter. UBS Group AG now owns 6,124,283 shares of the company’s stock worth $61,059,000 after buying an additional 2,676,707 shares during the last quarter. 19.28% of the stock is owned by institutional investors.

About SoundHound AI

SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services.

The company’s core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities.