SoundHound (SOUN) CTO sells shares to cover RSU tax obligations
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
SOUNDHOUND AI, INC. Chief Technology Officer Timothy Stonehocker reported a sale of 18,802 shares of Class A Common Stock on June 15, 2026 at an average price of $7.4578 per share. According to the footnote, the sale was made to satisfy tax withholding obligations tied to vesting restricted stock units granted in 2022, 2023 and 2024. Following this transaction, Stonehocker directly holds 502,290 shares, indicating he retains a substantial equity position in the company.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Seller: 18,802 shares ($140,222)
Net Sell
1 txn
Insider
STONEHOCKER TIMOTHY
Role
Chief Technology Officer
Sold
18,802 shs ($140K)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Class A Common Stock | 18,802 | $7.4578 | $140K |
Holdings After Transaction:
Class A Common Stock — 502,290 shares (Direct, null)
Footnotes (1)
- [object Object]
Key Figures
Shares sold: 18,802 shares
Sale price per share: $7.4578 per share
Shares held after sale: 502,290 shares
3 metrics
Shares sold
18,802 shares
Class A Common Stock sold on June 15, 2026
Sale price per share
$7.4578 per share
Average price for 18,802 shares sold
Shares held after sale
502,290 shares
Direct holdings following the reported transaction
Key Terms
restricted stock units, tax withholding obligations, Class A Common Stock, open-market sale
4 terms
restricted stock units financial
"in connection with the vesting of shares of restricted stock units granted to the reporting person"
Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.
tax withholding obligations financial
"The sale reported herein was made to satisfy tax withholding obligations in connection with the vesting"
Class A Common Stock financial
"security_title: Class A Common Stock"
Class A common stock is a category of a company’s shares that carries a specific set of ownership rights—most commonly defined voting power and claims on dividends—set out in the company’s charter. For investors it matters because the class determines how much influence you have over corporate decisions, the share’s likely dividend and trading behavior, and how it compares in value to other share classes, like choosing a particular seat with different privileges at the company’s decision-making table.
open-market sale financial
"transaction_action: open-market sale"
An open-market sale is when a shareholder sells existing shares directly on a public exchange to any willing buyer, rather than through a private deal. Think of it like putting goods on a busy market stall where price is set by supply and demand; for investors it matters because such sales increase available supply, can put short-term downward pressure on the stock price, and signal changes in liquidity or investor confidence.
FAQ
What insider transaction did SOUNDHOUND AI (SOUN) report for Timothy Stonehocker?
SOUNDHOUND AI reported that Chief Technology Officer Timothy Stonehocker sold 18,802 shares of Class A Common Stock. The transaction occurred on June 15, 2026 and is disclosed as an open-market sale used to cover related tax obligations from vesting restricted stock units.
Does the SOUNDHOUND AI Form 4 indicate this was a discretionary sale?
The transaction is coded as an open-market sale but the footnote clarifies it was undertaken to cover tax withholding obligations. This suggests the sale is primarily a tax-related event connected to restricted stock unit vesting rather than a purely discretionary share disposal.
What type of security did Timothy Stonehocker trade in the SOUN Form 4?
Timothy Stonehocker traded SOUNDHOUND AI Class A Common Stock in this Form 4 filing. The transaction involved 18,802 non-derivative shares and is associated with tax withholding from vesting restricted stock units granted over multiple prior years.