Insider Selling: SoundHound AI (NASDAQ:SOUN) CEO Sells 126,540 Shares of Stock

SoundHound AI, Inc. (NASDAQ:SOUN) CEO Keyvan Mohajer sold 126,540 shares of the company’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $7.46, for a total transaction of $943,988.40. Following the sale, the chief executive officer directly owned 1,947,237 shares in the company, valued at $14,526,388.02. This trade represents a 6.10% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Keyvan Mohajer also recently made the following trade(s):

• On Friday, March 20th, Keyvan Mohajer sold 124,510 shares of SoundHound AI stock. The stock was sold at an average price of $6.79, for a total transaction of $845,422.90.

SoundHound AI Price Performance

NASDAQ SOUN traded down $0.07 on Wednesday, hitting $6.96. 19,183,094 shares of the stock were exchanged, compared to its average volume of 25,995,096. The business’s fifty day moving average is $7.94 and its 200 day moving average is $8.81. SoundHound AI, Inc. has a 52 week low of $5.83 and a 52 week high of $22.17. The company has a market capitalization of $3.01 billion, a PE ratio of -14.81 and a beta of 2.56.

SoundHound AI (NASDAQ:SOUN) last released its quarterly earnings data on Thursday, May 7th. The company reported ($0.06) EPS for the quarter, missing the consensus estimate of ($0.05) by ($0.01). SoundHound AI had a negative net margin of 91.84% and a negative return on equity of 40.15%. The company had revenue of $44.20 million during the quarter, compared to analyst estimates of $42.56 million. During the same quarter in the prior year, the firm earned ($0.06) earnings per share. SoundHound AI’s revenue for the quarter was up 51.7% on a year-over-year basis. Analysts predict that SoundHound AI, Inc. will post -0.45 EPS for the current fiscal year.

Institutional Trading of SoundHound AI

Large investors have recently modified their holdings of the stock. Vanguard Group Inc. grew its position in SoundHound AI by 4.4% in the 4th quarter. Vanguard Group Inc. now owns 45,367,437 shares of the company’s stock valued at $452,313,000 after purchasing an additional 1,909,868 shares during the period. Rakuten Securities Inc. grew its position in SoundHound AI by 877.9% in the 4th quarter. Rakuten Securities Inc. now owns 333,605 shares of the company’s stock valued at $3,326,000 after purchasing an additional 299,492 shares during the period. Clear Street Group Inc. acquired a new stake in SoundHound AI in the 3rd quarter valued at $12,944,000. UBS Group AG grew its position in SoundHound AI by 77.6% in the 4th quarter. UBS Group AG now owns 6,124,283 shares of the company’s stock valued at $61,059,000 after purchasing an additional 2,676,707 shares during the period. Finally, Mitsubishi UFJ Asset Management Co. Ltd. grew its position in SoundHound AI by 140.5% in the 4th quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 266,576 shares of the company’s stock valued at $2,826,000 after purchasing an additional 155,743 shares during the period. Institutional investors and hedge funds own 19.28% of the company’s stock.

Key SoundHound AI News

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

• Positive Sentiment: Analysts and market commentary continue to point to SoundHound’s growth potential in conversational AI and enterprise voice solutions, with some bullish views centered on a longer-term revenue ramp.
• Neutral Sentiment: Several insider sales were disclosed, but the company stated they were for tax withholding related to vesting equity awards rather than open-market selling for discretionary reasons.
• Negative Sentiment: Multiple top executives sold shares in the same filing window, which can add pressure to sentiment and reinforce investor concern about the stock’s near-term valuation.
• Negative Sentiment: Recent coverage also emphasized that SoundHound AI trades at a premium, suggesting some investors may be questioning whether the current price fully reflects near-term execution risk.

Wall Street Analyst Weigh In

Several equities analysts have commented on SOUN shares. Piper Sandler reiterated a “neutral” rating and issued a $9.00 price objective (down from $11.00) on shares of SoundHound AI in a report on Friday, February 27th. DA Davidson reiterated a “buy” rating and issued a $14.00 price objective on shares of SoundHound AI in a report on Wednesday, April 22nd. HC Wainwright decreased their price objective on shares of SoundHound AI from $26.00 to $20.00 and set a “buy” rating on the stock in a report on Monday, March 2nd. LADENBURG THALM/SH SH upgraded shares of SoundHound AI to a “strong-buy” rating in a report on Wednesday, May 6th. Finally, Weiss Ratings restated a “sell (e+)” rating on shares of SoundHound AI in a research note on Monday. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $14.93.

SoundHound AI Company Profile

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.