Form 4: SoundHound CTO Sells Shares Under 10b5-1 Plan
Insider Transaction Report
SoundHound AI's Chief Technology Officer, Timothy Stonehocker, sold 29,676 shares of Class A Common Stock for $12 per share under a pre-arranged 10b5-1 trading plan.
Summary
- Timothy Stonehocker, Chief Technology Officer of SoundHound AI, Inc., reported a sale of company stock.
- The transaction involved 29,676 shares of Class A Common Stock.
- The shares were sold at a price of $12 per share.
- The sale occurred on January 9, 2026.
- This transaction was executed under a Rule 10b5-1 trading plan, which was adopted by Mr. Stonehocker in December 2024.
- Following this transaction, Mr. Stonehocker beneficially owns 544,179 shares of Class A Common Stock.
Sentiment
Score: 5
Explanation: The transaction is a pre-scheduled sale under a Rule 10b5-1 plan, which typically indicates a planned liquidity event rather than a reaction to new company-specific news. While insider selling can sometimes be viewed cautiously, the pre-planned nature mitigates immediate concerns.
Positives
- The sale was conducted under a pre-arranged Rule 10b5-1 trading plan, indicating a planned liquidity event rather than a discretionary sale based on new, non-public information.
Negatives
- Insider selling, even under a 10b5-1 plan, can sometimes be perceived negatively by the market as it reduces an insider's direct equity stake in the company.
Future Outlook
N/A
Industry Context
N/A
Stakeholder Impact
- Shareholders: May interpret the insider sale cautiously, though the pre-arranged 10b5-1 plan mitigates immediate negative sentiment regarding the company's future prospects.
Key Dates
| Date | Description |
|---|---|
| 2022-05-05 | Date of the Limited Power of Attorney granted by Timothy Stonehocker for Section 16(a) reporting. |
| 2024-12 | Month when the Rule 10b5-1 trading plan was adopted by Timothy Stonehocker. |
| 2026-01-09 | Date of the reported transaction (sale of Class A Common Stock). |
| 2026-01-13 | Date the Form 4 was signed by the attorney-in-fact. |
Recommendation
holdThis Form 4 reports a pre-scheduled insider stock sale under a Rule 10b5-1 plan. Such transactions are typically for personal financial planning and do not necessarily reflect a change in the insider's view of the company's prospects. Therefore, it does not provide sufficient new information to warrant a change from a 'hold' recommendation based solely on this filing.
Keywords
SoundHound AI, SOUN, Insider Trading, Form 4, Stock Sale, Timothy Stonehocker, CTO, 10b5-1 Plan, Equity Transaction
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