SoundHound AI (NASDAQ:SOUN) Shares Down 3.1% – Here’s What Happened

Posted by Brenda Bartman on Sep 12th, 2026

SoundHound AI, Inc. (NASDAQ:SOUN – Get Free Report)’s stock price was down 3.1% during mid-day trading on Thursday . The stock traded as low as $6.26 and last traded at $6.28. 19,194,326 shares were traded during trading, a decline of 33% from the average daily volume of 28,498,586 shares. The stock had previously closed at $6.48.

Wall Street Analyst Weigh In

Several research firms have recently commented on SOUN. Wall Street Zen cut SoundHound AI from a “sell” rating to a “strong sell” rating in a research note on Saturday, September 5th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of SoundHound AI in a research note on Monday, June 15th. DA Davidson decreased their price target on SoundHound AI from $12.00 to $10.00 and set a “buy” rating on the stock in a report on Thursday, August 6th. Finally, Piper Sandler decreased their price target on SoundHound AI from $8.00 to $7.00 and set a “neutral” rating on the stock in a report on Thursday, August 6th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, SoundHound AI presently has an average rating of “Moderate Buy” and a consensus target price of $13.00.

Check Out Our Latest Research Report on SoundHound AI

SoundHound AI Price Performance

The business’s 50 day simple moving average is $6.74 and its 200-day simple moving average is $7.30. The stock has a market capitalization of $2.78 billion, a P/E ratio of -16.47 and a beta of 2.66.

SoundHound AI (NASDAQ:SOUN – Get Free Report) last issued its earnings results on Wednesday, August 5th. The company reported ($0.02) EPS for the quarter, beating the consensus estimate of ($0.13) by $0.11. The company had revenue of $61.90 million during the quarter, compared to analysts’ expectations of $52.38 million. SoundHound AI had a negative net margin of 67.45% and a negative return on equity of 30.22%. The business’s revenue for the quarter was up 45.0% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($0.19) EPS. Research analysts anticipate that SoundHound AI, Inc. will post -0.33 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider James Hom sold 28,843 shares of the company’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $7.46, for a total value of $215,168.78. Following the completion of the sale, the insider owned 743,521 shares in the company, valued at approximately $5,546,666.66. This represents a 3.73% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Michael Zagorsek sold 64,994 shares of the stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $7.46, for a total value of $484,855.24. Following the completion of the transaction, the chief operating officer directly owned 1,669,497 shares in the company, valued at $12,454,447.62. The trade was a 3.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 269,365 shares of company stock valued at $2,009,047 in the last ninety days. 8.84% of the stock is currently owned by insiders.

Institutional Trading of SoundHound AI

A number of hedge funds have recently modified their holdings of SOUN. NewEdge Advisors LLC boosted its stake in SoundHound AI by 38.1% during the 2nd quarter. NewEdge Advisors LLC now owns 132,072 shares of the company’s stock worth $855,000 after acquiring an additional 36,415 shares during the last quarter. IFP Advisors Inc increased its stake in SoundHound AI by 10.7% in the second quarter. IFP Advisors Inc now owns 32,748 shares of the company’s stock valued at $212,000 after purchasing an additional 3,163 shares in the last quarter. Allworth Financial LP raised its holdings in SoundHound AI by 12.7% in the second quarter. Allworth Financial LP now owns 22,539 shares of the company’s stock worth $146,000 after purchasing an additional 2,537 shares during the period. Waverly Advisors LLC boosted its position in shares of SoundHound AI by 6.9% during the second quarter. Waverly Advisors LLC now owns 64,132 shares of the company’s stock worth $415,000 after purchasing an additional 4,138 shares in the last quarter. Finally, Nykredit A S acquired a new position in shares of SoundHound AI in the 2nd quarter valued at $165,000. 19.28% of the stock is currently owned by institutional investors and hedge funds.

SoundHound AI Company Profile

(Get Free Report)

SoundHound AI, Inc develops conversational artificial intelligence and voice-enabled technologies. Its platform is designed to let users interact with devices, applications and services through natural-language speech, supporting functions such as information retrieval, question answering and task completion.

The company’s offerings include the Houndify conversational AI platform, which businesses can use to build branded voice assistants, as well as SoundHound Chat AI, an in-car and consumer-oriented voice assistant that combines conversational capabilities with access to information and services.