SoundHound AI CEO sells shares worth over $2.5 million

Published 24/03/2025, 23:50
SoundHound AI CEO sells shares worth over $2.5 million

Keyvan Mohajer, CEO of SoundHound AI , Inc. (NASDAQ:SOUN), a company currently valued at $3.93 billion and showing strong revenue growth of 84.6% over the last twelve months, has recently sold a significant portion of his shares in the company. According to InvestingPro analysis, the stock appears to be trading above its Fair Value, with a notably high Price-to-Book ratio of 22.5x. According to the latest SEC filings, Mohajer sold a total of 118,605 shares on March 20 at an average price of $9.9018, amounting to approximately $1,174,402. Additionally, on March 24, he sold another 138,895 shares at an average price of $10.08, totaling around $1,400,061. These transactions, executed in accordance with a Rule 10b5-1 trading plan, leave Mohajer with 1,764,166 shares remaining in his direct ownership. The initial sale was made to satisfy tax withholding obligations linked to the vesting of restricted stock units. InvestingPro data shows the stock has demonstrated significant volatility, with a remarkable 110.4% price increase over the past six months. For comprehensive insider trading analysis and 12 additional ProTips, consider accessing the full Pro Research Report.

In other recent news, SoundHound AI reported its financial results for the fourth quarter and full year ended December 31, 2024, revealing significant sales momentum across various industries such as restaurants, automotive, healthcare, and financial services. This performance led to a modest upward revision of its 2025 revenue guidance to between $157.0 million and $177.0 million. The company also announced a delay in filing its Form 10-K due to complexities in accounting for recent acquisitions of Synq3, Inc. and Amelia Holdings, Inc., with the filing expected by March 18, 2025. SoundHound AI acknowledged ongoing material weaknesses in its internal control over financial reporting as of December 31, 2024.

Analyst firms have weighed in on these developments, with H.C. Wainwright maintaining a Buy rating and a price target of $26, citing the company’s robust financial position and potential for organic growth. Similarly, DA Davidson increased its price target from $9.50 to $13.00, highlighting SoundHound’s revenue growth and successful market expansion. SoundHound AI has also deepened its partnership with NVIDIA (NASDAQ:NVDA), integrating NVIDIA AI Enterprise software to enhance its voice AI solutions, particularly in the automotive sector.

This collaboration is expected to improve AI processing and deployment efficiency, benefiting companies like Lucid Motors (NASDAQ:LCID). Investors are closely monitoring these developments, as the delay in regulatory filings and internal control issues could impact the company’s financial health and investor confidence. Despite these challenges, the company’s strategic moves and analyst endorsements suggest potential for continued growth in the AI sector.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.