Timothy Stonehocker, the Chief Technology Officer of SoundHound AI, Inc., sold 31,329 shares of the company’s stock on December 22, 2023. The transaction, valued at $353,391.12, occurred at an average share price of $11.28. Following this sale, Stonehocker retains ownership of 575,976 shares, which are currently valued at approximately $6,497,009.28. This sale represents a 5.16% decrease in his position within the company.
The details of the transaction were disclosed in a legal filing with the U.S. Securities and Exchange Commission (SEC). This sale comes at a time when SoundHound AI’s stock has shown volatility in recent months.
Stock Performance and Analyst Ratings
On the day following Stonehocker’s sale, SoundHound AI’s stock opened at $9.97, reflecting a decline of 0.7%. The stock’s performance has been variable, with a 50-day moving average price of $12.89 and a 200-day moving average of $13.45. Over the past year, the stock has reached a low of $6.52 and a high of $22.85. Currently, the company’s market capitalization stands at $4.19 billion, with a price-to-earnings ratio of -11.87 and a beta of 2.63.
Analysts have varied in their assessments of SoundHound AI. On December 18, 2023, Ladenburg Thalm/SH upgraded their rating to “strong-buy.” In contrast, Weiss Ratings reiterated a “sell (D-)” rating on October 14, 2023. Additionally, Piper Sandler raised their price objective on the stock from $12.00 to $15.00 in November, giving it a “neutral” rating. Overall, two analysts have rated the stock as a Strong Buy, five as Buy, two as Hold, and one as Sell, leading to a consensus rating of “Moderate Buy” with an average target price of $17.07.
Institutional Investor Activity
Recent trends indicate increased activity among institutional investors regarding SoundHound AI shares. During the third quarter of 2023, Danske Bank A/S acquired a new stake valued at $26,000. Investors Research Corp significantly increased its holdings by 62.4%, now owning 1,822 shares valued at $29,000. Other notable investors include Financial Consulate Inc., which acquired a new position valued at approximately $32,000, and Sound Income Strategies LLC, which boosted its holdings by 37.3%, now owning shares worth $34,000.
Institutional investors collectively hold 19.28% of SoundHound AI’s stock, indicating a growing interest in the company’s performance.
Company Overview and Future Outlook
Founded in 2005 and headquartered in Santa Clara, California, SoundHound AI, Inc. specializes in voice AI and conversational intelligence. The company has developed advanced technologies in speech recognition and natural language understanding. Initially recognized for its music discovery app, SoundHound has since transitioned to providing enterprise-grade voice AI solutions.
The company’s flagship offering, the Houndify platform, enables developers to integrate conversational intelligence into various products and services. As the market for voice AI continues to expand, SoundHound AI’s innovative solutions position it well for future growth.
In summary, the recent stock sale by Stonehocker and fluctuating stock performance highlight the dynamic nature of SoundHound AI’s market position. As analysts provide mixed ratings and institutional interest grows, the company remains a notable player in the evolving voice AI landscape.
