SoundHound AI (SOUN) experienced a volatile trading session on January 17, 2025, closing at $13.64, down 2.36% from the previous close of $13.97. The stock opened at $14.35, reached a high of $15.35, and hit a low of $13.61, indicating significant intraday fluctuations. Despite a brief after-hours recovery of 1.02%, the stock's performance was marked by a lack of clear catalysts.
Throughout the day, SoundHound's stock was influenced by mixed market sentiment and speculative trading. Early in the session, the stock surged by 9.9% but quickly lost momentum, dipping into negative territory by midday. This erratic movement occurred without any major news announcements or analyst upgrades, leaving investors puzzled. Reddit discussions reflected this uncertainty, with users expressing mixed views on the stock's potential, some highlighting its long-term growth prospects while others questioned its current valuation.
Recent analyst activity included Wedbush raising its price target from $10 to $22, citing SoundHound's expanding market opportunities. However, the stock's high short interest, with 23.91% of the float sold short, suggests bearish sentiment among traders. This high level of short interest may have contributed to the stock's volatility, as short sellers and day traders capitalized on the price swings.
In summary, SoundHound AI's stock faced a challenging trading day, characterized by speculative trading and a lack of clear news catalysts, resulting in a decline at the close.