SoundHound AI (NASDAQ:SOUN) Shares Down 1.5% – Here’s Why

12 Jan 2026, 21:50 by Doug Wharley · The Cerbat Gem

SoundHound AI, Inc. (NASDAQ:SOUN – Get Free Report) shares dropped 1.5% on Monday . The company traded as low as $11.46 and last traded at $11.57. Approximately 39,367,559 shares changed hands during mid-day trading, an increase of 31% from the average daily volume of 30,008,520 shares. The stock had previously closed at $11.75.

Wall Street Analysts Forecast Growth

SOUN has been the topic of several research reports. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of SoundHound AI in a report on Tuesday, October 14th. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and raised their price target for the stock from $13.00 to $15.00 in a research note on Friday, December 12th. LADENBURG THALM/SH SH raised SoundHound AI to a “strong-buy” rating in a research report on Thursday, December 18th. DA Davidson set a $14.00 price objective on SoundHound AI in a research note on Thursday. Finally, HC Wainwright increased their price target on shares of SoundHound AI from $18.00 to $26.00 and gave the stock a “buy” rating in a research note on Thursday, October 16th. Two investment analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $16.07.

View Our Latest Stock Report on SOUN

SoundHound AI Stock Performance

The firm’s 50-day simple moving average is $11.81 and its 200 day simple moving average is $13.56. The company has a market capitalization of $4.86 billion, a PE ratio of -13.77 and a beta of 2.65.

SoundHound AI (NASDAQ:SOUN – Get Free Report) last issued its earnings results on Thursday, November 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.09) by $0.06. The company had revenue of $42.05 million during the quarter, compared to analysts’ expectations of $40.48 million. SoundHound AI had a negative net margin of 211.16% and a negative return on equity of 93.64%. The firm’s quarterly revenue was up 67.6% compared to the same quarter last year. During the same period last year, the company posted ($0.04) earnings per share. As a group, equities analysts anticipate that SoundHound AI, Inc. will post -0.38 earnings per share for the current year.

Insiders Place Their Bets

In other SoundHound AI news, CTO Timothy Stonehocker sold 31,329 shares of SoundHound AI stock in a transaction on Monday, December 22nd. The shares were sold at an average price of $11.28, for a total value of $353,391.12. Following the transaction, the chief technology officer owned 575,976 shares in the company, valued at $6,497,009.28. This trade represents a 5.16% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Keyvan Mohajer sold 144,326 shares of the company’s stock in a transaction on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total value of $1,627,997.28. Following the sale, the chief executive officer owned 2,198,287 shares of the company’s stock, valued at approximately $24,796,677.36. The trade was a 6.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 492,965 shares of company stock valued at $6,140,981. Insiders own 9.17% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. lifted its position in shares of SoundHound AI by 83.1% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock worth $25,000 after purchasing an additional 1,060 shares during the last quarter. Danske Bank A S acquired a new position in shares of SoundHound AI in the 3rd quarter worth approximately $26,000. Advisors Asset Management Inc. increased its holdings in shares of SoundHound AI by 68.4% in the 2nd quarter. Advisors Asset Management Inc. now owns 2,519 shares of the company’s stock valued at $27,000 after acquiring an additional 1,023 shares during the last quarter. Investors Research Corp lifted its stake in SoundHound AI by 62.4% during the third quarter. Investors Research Corp now owns 1,822 shares of the company’s stock worth $29,000 after purchasing an additional 700 shares during the last quarter. Finally, Financial Consulate Inc. bought a new position in shares of SoundHound AI in the 3rd quarter worth about $32,000. 19.28% of the stock is currently owned by institutional investors and hedge funds.

About SoundHound AI

(Get Free Report)

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.