Traders Purchase Large Volume of SoundHound AI Call Options (NASDAQ:SOUN)

SoundHound AI, Inc. (NASDAQ:SOUN) saw unusually large options trading activity on Friday. Stock traders purchased 375,284 call options on the company. This is an increase of 292% compared to the average daily volume of 95,707 call options.

Analyst Ratings Changes

A number of equities analysts have weighed in on SOUN shares. Barclays reaffirmed a “neutral” rating and set a $7.00 target price on shares of SoundHound AI in a research note on Wednesday, November 13th. HC Wainwright raised their target price on shares of SoundHound AI from $7.00 to $8.00 and gave the company a “buy” rating in a research note on Thursday, November 14th. DA Davidson reaffirmed a “buy” rating and set a $9.50 target price on shares of SoundHound AI in a research note on Monday, September 30th. Wedbush reaffirmed an “outperform” rating and set a $9.00 target price on shares of SoundHound AI in a research note on Thursday, September 26th. Finally, LADENBURG THALM/SH SH reaffirmed a “neutral” rating and set a $7.00 target price on shares of SoundHound AI in a research note on Wednesday, November 13th. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $7.64.

SoundHound AI Trading Up 23.7 %

NASDAQ:SOUN opened at $16.91 on Friday. The company’s 50 day moving average price is $7.48 and its 200-day moving average price is $5.69. SoundHound AI has a 52 week low of $1.62 and a 52 week high of $17.29. 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 stock has a market cap of $6.25 billion, a price-to-earnings ratio of -46.97 and a beta of 3.03.

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

Insider Buying and Selling

In related news, CEO Keyvan Mohajer sold 465,394 shares of the stock in a transaction dated Monday, December 9th. The shares were sold at an average price of $15.04, for a total value of $6,999,525.76. Following the completion of the transaction, the chief executive officer now directly owns 2,299,148 shares of the company’s stock, valued at $34,579,185.92. This represents a 16.83 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, VP Majid Emami sold 298,086 shares of the stock in a transaction dated Monday, December 9th. The stock was sold at an average price of $15.04, for a total transaction of $4,483,213.44. Following the completion of the transaction, the vice president now directly owns 735,685 shares of the company’s stock, valued at approximately $11,064,702.40. The trade was a 28.83 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 2,035,416 shares of company stock valued at $26,334,544 over the last three months. Corporate insiders own 12.28% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

Several institutional investors and hedge funds have recently added to or reduced their stakes in SOUN. Price T Rowe Associates Inc. MD boosted its holdings in SoundHound AI by 124.2% in the first quarter. Price T Rowe Associates Inc. MD now owns 73,112 shares of the company’s stock worth $431,000 after purchasing an additional 40,495 shares during the last quarter. Cetera Advisors LLC purchased a new stake in SoundHound AI in the first quarter worth approximately $327,000. SG Americas Securities LLC boosted its holdings in SoundHound AI by 1,039.3% in the second quarter. SG Americas Securities LLC now owns 213,775 shares of the company’s stock worth $844,000 after purchasing an additional 195,011 shares during the last quarter. Sequoia Financial Advisors LLC boosted its holdings in SoundHound AI by 13.7% in the second quarter. Sequoia Financial Advisors LLC now owns 20,683 shares of the company’s stock worth $82,000 after purchasing an additional 2,500 shares during the last quarter. Finally, Genesee Capital Advisors LLC boosted its holdings in SoundHound AI by 11.4% in the second quarter. Genesee Capital Advisors LLC now owns 19,468 shares of the company’s stock worth $77,000 after purchasing an additional 2,000 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.