SoundHound AI Inc. (NASDAQ:SOUN) finished Wednesday with an addition of $0.08 to close at $2.44, an upside of 3.39 percent. An average of 14,184,660 shares of common stock have been traded in the last five days. There was a gain of $0.05 in the past week, and it reached a new high 12 times over the past 12 months. The last 20 days have seen an average of 18,364,100 shares traded, while the 50-day average volume stands at 20,511,256.
SOUN stock has increased by 4.72% in the last month. The company shares reached their 1-month lowest point of $1.80 on 08/11/23. With the stock rallying to its 52-week high on 06/29/23, shares of the company touched a low of $0.93 and a high of $5.11 in 52 weeks. It has reached a new high 9 times so far this year and achieved 37.85% or $0.67 in price. In spite of this, the price is down -52.25% from the 52-week high.
Insider Transactions
SOUN stock investors should be aware that SoundHound AI Inc. (SOUN) stock had its last reported insider trading activity 3 days ago on Aug 21. In this transaction, the insider spent $7,267. Chief Technology Officer, STONEHOCKER TIMOTHY, disposed of 3,261 shares at a price of $3.16 on Jul 21. The insider now owns more than $10,318 worth of shares. Prior to that, VP, Engineering EMAMI MAJID went on to Sale 68,333 shares at $4.42 each on Jun 30. An amount of $302,162 was transacted.
Valuation Metrics
SoundHound AI Inc. (SOUN) stock’s beta is 0.36. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 17.77, the price-to-book (PB) ratio at 40.67.
Financial Health
The quick ratio of SoundHound AI Inc. for the three months ended June 29 was 4.70, and the current ratio was 4.70, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 4.82 and a total debt to equity ratio of 4.83 for the quarter ending June 29. SoundHound AI Inc.’s EBITDA margin for the year ending June 29 is -315.40%. Its gross profit as reported stood at $21.53 million compared to revenue of $31.13 million.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, SoundHound AI Inc.’s return on assets was -129.80%.
Earnings Surprise
For the three-month period that ended June 29, SoundHound AI Inc. had $66.43 million in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of -$21.93 million in the quarter, while revenues of -$26.37 million were shrunk -39.85%. The analyst consensus anticipated SoundHound AI Inc.’s latest quarter earnings to come in at -$0.11 per share, but it turned out to be -$0.1, a 9.10% surprise. For the quarter, EBITDA amounted to -$14.93 million. Shareholders own equity worth $240.71 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at SoundHound AI Inc. (SOUN) price momentum. RSI 9-day as of the close on 23 August was 54.47%, suggesting the stock is Neutral, with historical volatility in this time frame at 124.77%.
As of today, SOUN’s price is $2.30 +2.09% or $0.05 from its 5-day moving average. SOUN is currently trading -0.41% lower than its 20-day SMA and +23.86% higher than its 100-day SMA. However, the stock’s current price level is -23.51% below the SMA50 and +10.91% above the SMA200.
The stochastic %K and %D were 76.19% and 65.66%, respectively, and the average true range (ATR) was 0.26. With the 14-day stochastic at 83.12% and the average true range at 0.28, the RSI (14) stands at 48.45%. The stock has reached 0.10 on the 9-day MACD Oscillator while the 14-day reading was at 0.20.
Analyst Ratings
Cantor Fitzgerald upgraded SoundHound AI Inc. (NASDAQ: SOUN) to a an Overweight rating in its most recent analyst report. Previously, the stock was rated as a Neutral. The consensus rating for SoundHound AI Inc. (SOUN) among analysts is Buy. According to current brokerage recommendations, 0 brokerage firms advise that investors sell SOUN, while 0 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 0 analysts, while 3 others rate it as a “buy”.
What is SOUN’s price target for the next 12 months?
Analysts predict a range of price targets between $4.00 and $7.00, with a median target of $4.20. Taking a look at these predictions, the average price target given by analysts for SoundHound AI Inc. (SOUN) stock is $5.07.
