Core Viewpoint - SoundHound AI (SOUN) has experienced a significant decline in stock value, dropping 51% over the past year and 13% last week, raising concerns about its path to profitability ahead of its upcoming earnings report on February 26, 2026 [1]. Performance Summary - SoundHound's stock fell 12.85% this week, closing at $7.46, while the S&P 500 gained 11.81% over the same period [1]. - The company's year-to-date decline stands at 25.18%, contrasting with the S&P 500's flat performance [1]. - SoundHound has a market cap of $3.13 billion with trailing twelve-month revenue of $148.4 million, resulting in a price-to-sales ratio of 21x, indicating high growth expectations [1]. Storyline One: Earnings Uncertainty - The upcoming Q4 2025 earnings report is expected to show sales of $53.88 million, up from $42.05 million in the previous quarter, with an adjusted EPS forecast of -$0.10 [1]. - If the company meets or misses these expectations, further selling pressure may occur [1]. Storyline Two: Insider Selling - On December 22, 2025, six executives sold shares at $11.2769, including CEO Keyvan Mohajer, who sold 144,326 shares for approximately $1.6 million [1]. - There have been no open market buys recorded in the past three months, with 10 sales, indicating a cautious sentiment among insiders [1]. Storyline Three: Competitive Valuation - SoundHound competes with larger tech companies like Alphabet, which trades at 9.3x sales with a profit margin of 32.8%, while SoundHound's valuation assumes it can maintain its niche against competitors [1]. - Wall Street estimates a -$55 million EBITDA for 2026, necessitating significant margin improvements or scale to achieve profitability [1]. - Analysts have set an average price target of $16.31, suggesting over 100% upside potential if the company can execute effectively [1].

Core Viewpoint - SoundHound AI presents a significant investment opportunity with its voice AI technology already integrated into various everyday applications, despite a challenging stock performance this year [1][2]. Company Overview - SoundHound AI's current stock price is $7.46, with a market capitalization of $3.1 billion. The stock has seen a year-to-date decline of 24% and is down approximately 65% from its 52-week high of $22.17 [3][2]. Market Potential - The company identifies a total addressable market of $140 billion for its conversational AI technology, applicable across multiple sectors including automotive, financial services, restaurants, and healthcare [3][4]. Revenue Streams - SoundHound AI has established three primary revenue pillars: 1. Product royalties from embedding its voice AI in devices like smart TVs and vehicles [5]. 2. Service revenue from businesses utilizing its platform for customer interactions, such as appointment scheduling and order taking [5]. 3. Monetization through commissions or revenue sharing when its platform processes orders [5]. Financial Performance - In Q3 2025, SoundHound AI reported revenues of $42 million, with losses amounting to $109.3 million. The company is still in the early stages of revenue generation from its markets [8][7]. Future Outlook - The CFO indicated that the company is on track to maintain a hypergrowth trajectory while nearing break-even on the bottom line, which could enhance its position among AI stocks [9]. If profitability is achieved, it may positively impact the stock price, making current trading levels under $8 an attractive long-term investment opportunity [10].

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard. Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences. At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000 ...

Key Takeaways SoundHound sees a $140B TAM as Q3 revenue jumped 68% to $42M.SOUN lifted its 2025 outlook to $165-$180M and now handles 1B monthly queries.With $269M cash and no debt, SoundHound AI targets breakeven in 2026.SoundHound AI, Inc. (SOUN) highlights a $140 billion-plus total addressable market (TAM) across automotive, restaurants, enterprise AI, smart devices and voice commerce, positioning itself as a leading independent voice AI platform. The key investor question is not the size of the opportun ...

SoundHound AI (NASDAQ: SOUN) isn't in a great place right now. The stock is down around 65% from its all-time high established in December 2024, and it has been on a massive downhill slide as of late. The stock looked like it was heading toward a new high in October when it crossed $20 per share, but now it trades for just a bit over $8. That's quite a bit of movement in a short time frame for SoundHound's stock, and some may think this justifies picking up shares, as the last time SoundHound AI was this ...

Core Insights - SoundHound AI (SOUN) stock has decreased by 28.7% over the past month, underperforming the Zacks Computers – IT Services industry, which declined by 12.3%, and the broader Zacks Computer and Technology sector, down by 2.1% [1][5] - The stock is currently trading at approximately $8.25, significantly below its 52-week high of $22.17 and close to its low of $6.52 [1] Technical Analysis - SOUN is trading below both its 50-day and 200-day simple moving averages, indicating sustained selling pressure [2][3] - The stock is approximately 22% below its 50-day average and about 34% below its 200-day average, suggesting a shift in market sentiment [3] - A recovery to the $10–$11 range is necessary for stabilizing momentum, with near-term volatility expected to persist [6] Financial Performance - In Q3 2025, SoundHound reported record revenues of $42 million, a 68% year-over-year increase, with a total revenue of $114 million for the first nine months of 2025, up 127% [7] - The company raised its full-year 2025 revenue outlook to between $165 million and $180 million [7] - SoundHound ended Q3 with $269 million in cash and no debt, providing flexibility for continued investment [8] Growth Projections - The Zacks Consensus Estimate for 2026 revenue implies a growth of 38.3%, with an expected loss per share of 6 cents, an improvement from the previous year's estimated loss of 15 cents [9] - Analysts have not materially downgraded forward expectations despite the stock's decline, indicating confidence in the company's fundamentals [9] Strategic Developments - SoundHound is expanding its agentic AI capabilities, recently unveiling new voice commerce functionalities at CES 2026, which could enhance revenue streams [12][15] - Partnerships with Parkopedia and OpenTable allow for voice-enabled transactions, expanding monetization opportunities [14][15] - The company has diversified its revenue base beyond automotive, with significant growth in enterprise AI and restaurant sectors [16] Competitive Landscape - SoundHound competes with companies like C3.ai, Palantir Technologies, and LivePerson, each focusing on different aspects of AI and enterprise solutions [24][25][26] - Despite competition, SoundHound's unique voice-first approach and proprietary technology differentiate it in the market [27] Valuation Considerations - The stock trades at a forward price-to-sales ratio of 14.57, slightly above the industry average of 13.85, indicating a premium valuation despite the lack of sustained profitability [19] - The recent technical breakdown below key moving averages adds a layer of near-term risk, particularly in a volatile AI market [23] Investment Outlook - The recent decline in SOUN stock reflects technical weakness rather than a collapse in business fundamentals, with strong revenue growth and solid cash reserves [29] - For long-term investors, the reset in valuation may present a more attractive entry point, provided execution remains strong [30][31]

Core Insights - SoundHound AI, Inc. will report its 2025 fourth quarter and full year financial results on February 26, 2026, after market close [2] - A conference call and webcast will be hosted by CEO Keyvan Mohajer and CFO Nitesh Sharan on the same day at 2:00 p.m. PT / 5:00 p.m. ET [3] Company Overview - SoundHound AI is a global leader in voice and conversational AI, providing solutions that enhance customer experiences across various industries [3] - The company's proprietary technology delivers high-speed and accurate voice AI solutions in multiple languages for sectors including retail, financial services, healthcare, automotive, smart devices, and restaurants [3] - Key products include Smart Answering, Smart Ordering, Dynamic Drive-Thru, and the Amelia Platform, which supports AI Agents for enterprises [3] - SoundHound's Agentic AI for Automotive and Autonomics automates IT processes, enabling the company to power millions of products and services and process billions of interactions annually for leading businesses [3]

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. This article is intended to provide informational content and should not be viewed as an exhaustive a ...

SoundHound AI is taking the restaurant world by storm, but further growth may be much more difficult.There's no shortage of artificial intelligence (AI) stocks, from AI-powered defense systems to agentic AI platforms and more.One of the most unique AI pure plays, though, is SoundHound AI (SOUN +16.94%), which is developing a voice AI platform that fuses large language model (LLM) AI and audio recognition technology into a customer service AI agent barely distinguishable from a human (at least, that's the id ...

SoundHound AI Inc. (NASDAQ:SOUN) is one of the hidden AI stocks under $10 to buy. On January 21, SoundHound AI partnered with Bridgepointe Technologies to accelerate the enterprise adoption of its Amelia 7 AI agent platform and Autonomics solution. Bridgepointe is a technology advisory firm with a network of over 12,000 companies and will use its consulting and engineering expertise to help businesses strategically implement these autonomous AI tools. The collaboration aims to provide clients with conver ...