©Reuters.
Soundhound AI , Inc. (NASDAQ:) Director Eric R. Ball (NYSE:) recently sold a significant portion of his holdings in the company. According to the latest filing, Mr. Ball sold 40,000 shares of SoundHound AI's Class A common stock at a price of $9.55 per share, for a total consideration of approximately $382,000. The transaction took place on March 14, 2024 and was reported in a filing with the Securities and Exchange Commission on March 18.
With the recent sale, Mr. Ball's direct holding in the company has been adjusted to 450,250 shares. It is important to note that the shares sold by Ball were held by the Ball Ackline Living Trust, of which he is a co-trustee. The trust benefits immediate family members who are members of Ball's household. Notwithstanding the sale, Ball relinquishes beneficial ownership of the securities held by his trust.
The transaction was conducted pursuant to a pre-arranged Rule 10b5-1 trading plan, which Ball adopted in June 2023. Such planning allows company insiders to set advance schedules for buying and selling stock without even owning the material. Provides non-public information and provides defense against insider trading accusations.
Investors often monitor insider transactions as they can glean company executives and directors' perspectives on a company's prospects. However, insiders often sell shares for reasons unrelated to the company's prospects, such as investment diversification or personal financial planning.
SoundHound AI is a technology industry player known for voice-enabled AI and conversational intelligence technology and falls under the services prepackaged software sector. The Company is incorporated in Delaware, has a business address in Claymont, Delaware, and is traded on the Nasdaq Stock Exchange under the ticker symbol SOUN.
The transactions reported by Director Ball are part of the routine disclosures required by company insiders and provide the investing public with transparency regarding the financial activities of SoundHound AI's key players.
Investment Pro Insights
Investors are focused on SoundHound AI, Inc. (NASDAQ:SOUN)'s financial health and market performance amid insider activity following director Eric R. Ball's recent stock sale. The InvestingPro platform highlights several key aspects of SoundHound AI's current financial situation and stock price performance.
According to InvestingPro data, SoundHound AI has a market capitalization of $2.75 billion, positioning the company as a mid-sized company in the technology space. As of the trailing twelve months to Q4 2023, the company's stock price has been trading at a high price-to-book multiple of 182.18, even though the company's revenue has grown significantly at 47.36% in the last quarter. being traded. This may indicate that the company's stock price is fairly overvalued in comparison. It evaluates a company's book value and can be alarming to value-oriented investors.
One of InvestingPro's notable takeaways for SoundHound AI was the stock's strong total return of 49.0% last week, reflecting the sharp rise in investor sentiment and likely higher stock price volatility. Moreover, the company's stock has returned a significant 406.25% over the last year, indicating solid performance over the long term. This may be of interest to momentum investors looking for stocks with a strong track record of gains.
For those looking to take a closer look at SoundHound AI's financials and stock performance, InvestingPro offers additional insight. the current, 15 Get more InvestingPro tips on SOUN's platform. It can be accessed at https://www.investing.com/pro/SOUN.Use a coupon code to enhance your investment analysis pro news 24 Get an extra 10% off annual or biennial Pro and Pro+ subscriptions.
Finally, it's worth noting that while insider sales can provide valuable signals, they're only one piece of the puzzle when assessing a company's potential. SoundHound AI's recent financial data and stock price performance provide a broader context for understanding the impact of such insider trading.
This article was generated with the help of AI and reviewed by an editor. Please see our Terms of Use for more information.
