Have Insiders Sold SoundHound AI, Inc. (NASDAQ:SOUN) Shares Recently?

We note that the SoundHound AI, Inc. (NASDAQ:SOUN) Chief Technology Officer, Timothy Stonehocker, recently sold US$73k worth of stock for US$1.59 per share. However we note that the sale only shrunk their holding by 4.1%.

Check out our latest analysis for SoundHound AI

SoundHound AI Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Independent Director Eric R. Ball for US$96k worth of shares, at about US$4.80 per share. That means that an insider was happy to buy shares at above the current price of US$1.52. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. In our view, the price an insider pays for shares is very important. It is encouraging to see an insider paid above the current price for shares, as it suggests they saw value, even at higher levels. The only individual insider to buy over the last year was Eric R. Ball.

Timothy Stonehocker sold a total of 57.89k shares over the year at an average price of US$1.87. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 22% of SoundHound AI shares, worth about US$65m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At SoundHound AI Tell Us?

An insider hasn't bought SoundHound AI stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. Insiders own shares, but we're still pretty cautious, given the history of sales. We'd practice some caution before buying! While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Case in point: We've spotted 5 warning signs for SoundHound AI you should be aware of, and 2 of these can't be ignored.

Of course SoundHound AI may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

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