Shares of SoundHound AI Inc ( SOUN ) are trading lower Thursday morning as investors await the company’s third-quarter earnings report, which is scheduled for release after the market close today. Here’s what investors need to know.

SOUN is encountering selling pressure. See the trading setup here.

What To Know: The stock is facing selling pressure amid a broader market downturn, with major indexes trading in the red. This negative market sentiment is being fueled by macroeconomic uncertainty.

Federal Reserve official Austan Goolsbee expressed caution, noting that a prolonged government shutdown has delayed recent inflation data. This lack of data makes it difficult for the Fed to assess the economy and has dampened hopes for further rate cuts.

For SoundHound’s third-quarter results, Wall Street consensus estimates are for a loss of 6 cents per share on $40.33 million in revenue. Many analysts have maintained their bullish ratings on the stock leading into the report. Investors will be watching closely to see if the company can meet these estimates and provide strong guidance.

SoundHound also enters the report with momentum from a record-breaking second quarter, where it beat estimates with $42.7 million in revenue and raised its full-year outlook. Recent strategic wins, such as new partnerships with Red Lobster and French insurer Apivia Courtage, have further bolstered its pipeline.

Benzinga Edge Rankings: According to Benzinga Edge stock rankings, SoundHound AI ( SOUN ) maintains a very high Momentum score of 95.20, although its short-term price trend is currently rated as negative.

SOUN Price Action: SoundHound AI ( SOUN ) shares were down 5.79% at $14.82 at the time of publication on Thursday, according to Benzinga Pro data.

Read Also: America’s Layoff Crisis Deepens As AI Quietly Replaces Workers

How To Buy SOUN Stock

By now you're likely curious about how to participate in the market for SoundHound AI ( SOUN ) – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

Image: Shutterstock