What's Going On With SoundHound AI Stock?

SoundHound AI, Inc. SOUN shares are trading slightly lower Thursday after the company announced the acquisition of assets from Allset, an online ordering platform that connects restaurants and local customers.

The Details:

SoundHound said the acquisition brings additional restaurant relationships, engineering skills, and marketplace know-how to SoundHound AI as it plans to facilitate voice-enabled food and drink ordering across millions of cars, TVs, and smart devices. The Allset team will be joining SoundHound, and the company expects the addition to further strengthen its capabilities and commitment to innovation. 

“As a business, Allset will help SoundHound bring voice AI solutions to even more restaurants looking to improve operational efficiency. At the same time, the Allset team brings a wealth of marketplace experience and knowledge that will make our bigger vision of a voice commerce ecosystem a reality,” said Keyvan Mohajer, CEO of SoundHound AI. 

“Together, we plan to provide dynamic and convenient ways for people to order food and complete a range of other transactions just by speaking naturally.”

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SoundHound announced it reached an agreement with its lenders to prepay its outstanding $100 million debt in full on June 10. 

The agreement reduces the early payment costs and enables SoundHound to save over $55 million of interest and fees that would have been due over the remaining duration of the loan. The transaction also frees up approximately $14 million of restricted cash.

Is SOUN A Good Stock To Buy?

An investor can make a few decisions when deciding whether a stock is a good buy. In addition to valuation metrics and price action which you can find on Benzinga's quote pages – like SoundHound AI‘s page for example – there are factors like whether or not a company pays a dividend or buys a large portion of its stock each quarter.

These are known as capital allocation programs. SoundHound AI does not pay a dividend, but obviously has a few ways it can return value to shareholders. Feel free to search Benzinga's dividend calendar for the next company that is due to pay a dividend and determine what kind of yield you can earn for holding a share of the company.

For example, if you're looking to earn an annualized return of 13.69%, you'll need to buy a share of Two Harbors Inv by July 5. Once done, you can expect to receive a nominal payout of $0.45 on July 29.

Buyback programs are obviously different and highly variable. A company can approve a buyback program and purchase shares as it sees fit over the course of time in which the buyback was authorized. Looking through the latest news on SoundHound AI will often yield whether or not the company has approved a buyback program recently. Buyback programs usually serve as a support for share prices, serving as a backstop for demand.

SOUN Price Action: According to Benzinga Pro, SoundHound shares are down 1.74% at $4.01 at the time of publication Thursday.

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