SoundHound AI (NASDAQ:SOUN) Posts Quarterly Earnings Results, Misses Expectations By $0.02 EPS

SoundHound AI (NASDAQ:SOUN) released its earnings results on Thursday. The company reported ($0.11) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.09) by ($0.02), Zacks reports. The firm had revenue of $13.46 million during the quarter, compared to the consensus estimate of $13.09 million. SoundHound AI had a negative return on equity of 163.00% and a negative net margin of 183.49%. SoundHound AI’s revenue was up 53.8% compared to the same quarter last year. During the same quarter last year, the business posted ($0.10) EPS.

SoundHound AI Stock Down 6.5 %

Shares of SoundHound AI stock traded down $0.34 during trading on Friday, hitting $4.87. 38,585,902 shares of the stock traded hands, compared to its average volume of 40,062,422. The company has a current ratio of 8.84, a quick ratio of 8.84 and a debt-to-equity ratio of 0.56. The stock’s fifty day simple moving average is $4.62 and its 200 day simple moving average is $4.66. The firm has a market cap of $1.60 billion, a P/E ratio of -12.82 and a beta of 2.77. SoundHound AI has a 52-week low of $1.49 and a 52-week high of $10.25.

Analysts Set New Price Targets

Several brokerages have issued reports on SOUN. Cantor Fitzgerald raised shares of SoundHound AI from a “neutral” rating to an “overweight” rating and raised their price objective for the stock from $5.00 to $7.00 in a research note on Friday. Northland Securities raised their price target on SoundHound AI from $5.50 to $6.00 and gave the stock a “market perform” rating in a research note on Friday. HC Wainwright restated a “buy” rating and set a $7.00 price objective on shares of SoundHound AI in a report on Monday, July 29th. Finally, Wedbush restated an “outperform” rating and issued a $9.00 price target on shares of SoundHound AI in a report on Friday. One equities research analyst has rated the stock with a hold rating and five have given a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $7.08.

Insider Buying and Selling

In other news, CTO Timothy Stonehocker sold 208,000 shares of the business’s stock in a transaction dated Thursday, July 11th. The shares were sold at an average price of $5.75, for a total value of $1,196,000.00. Following the completion of the sale, the chief technology officer now owns 659,531 shares in the company, valued at approximately $3,792,303.25. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. In other SoundHound AI news, insider James Ming Hom sold 16,716 shares of SoundHound AI stock in a transaction dated Thursday, June 20th. The stock was sold at an average price of $4.04, for a total value of $67,532.64. Following the transaction, the insider now owns 486,989 shares in the company, valued at $1,967,435.56. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CTO Timothy Stonehocker sold 208,000 shares of the stock in a transaction dated Thursday, July 11th. The shares were sold at an average price of $5.75, for a total transaction of $1,196,000.00. Following the sale, the chief technology officer now directly owns 659,531 shares of the company’s stock, valued at $3,792,303.25. The disclosure for this sale can be found here. Insiders sold a total of 625,728 shares of company stock valued at $3,011,476 over the last three months. 21.30% of the stock is owned by company insiders.

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.