SoundHound AI (SOUN -16.44%) stock is seeing dramatic sell-offs in this week's trading. The company's share price is down 27.2% from last Friday's market close, according to data from S&P Global Market Intelligence.The U.S. stock market is closed today in remembrance of President Jimmy Carter, but SoundHound AI stock has seen a big valuation pullback across this week's first three days of trading. The conversational artificial intelligence (AI) specialist's share price has suffered a big pullback in conjunc ...

Has the artificial intelligence bubble burst for this upstart?SoundHound AI (SOUN -16.44%) has been one of the hottest stocks on the market over the past three months, but shares are dropping this week. Is the thesis broken, or is this a buying opportunity? Travis Hoium looks into the business and its moat in this video.*Stock prices used were end-of-day prices of Jan. 8, 2025. The video was published on Jan. 8, 2025. ...

SoundHound AI (SOUN -16.73%) stock is getting hit with big sell-offs in Wednesday's trading. The company's share price was down 14.4% at 11:15 a.m. ET amid a 0.1% decline for the S&P 500 index and a 0.3% pullback for the Nasdaq Composite index. The conversational artificial intelligence (AI) specialist's share price had been down as much as 17% earlier in the day's trading.SoundHound AI stock is losing ground in conjunction with bearish pressures facing the broader market as investors weigh economic risk fa ...

SoundHound AI (SOUN) shares have skyrocketed 755.9% in the trailing 12 months, outperforming the Zacks Computer and Technology sector’s appreciation of 35.4% and the Zacks Computers – IT Services industry’s return of 15.9%.SOUN has been benefiting from an innovative portfolio, a rich partner base and a growing clientele. It recently unveiled the first-ever in-vehicle voice commerce platform at CES 2025. The cutting-edge system enables drivers and passengers to order takeout directly from the car’s infotainm ...

SoundHound AI (SOUN -10.69%) stock posted a month of explosive gains across December's trading. The conversational artificial intelligence (AI) company's share price closed out last month up 113.1%, according to data from S&P Global Market Intelligence. SoundHound AI closed out 2024 with some of the stock market's most impressive gains, posting a share increase of 836% across the stretch. The company finished the year with another month of growth thanks to new contract wins and bullish coverage from analyst ...

After a stock rises 800% in one year, most investors are skeptical that it can have another great year. I don't blame anyone for having this mindset, as it's difficult for a stock to continue rising at that pace for a sustainable time frame.However, some of the tailwinds supporting SoundHound AI's (SOUN -9.63%) stock are undeniable, potentially making SoundHound an outlier. Even though it has risen more than 800% in the last year, some investors think that SoundHound is poised for more upside and will make ...

SoundHound AI (SOUN -9.63%) stock shot nearly 1,000% higher over the last year, with the largest portion of the gain occurring in November and December 2024. Its high-profile investors, client list, and innovation in so-called "next generation" artificial intelligence (AI) have made it popular among investors.Incredibly, its price-to-sales (P/S) ratio, which was just below 100 at the time of this writing, has not deterred investors despite being more than 30 times the S&P 500's average sales multiple of 3. ...

SoundHound AI (SOUN 2.28%) is one of the hottest stocks in the world, up roughly 800% over the past year thanks to surging demand and interest surrounding its conversational artificial intelligence (AI) technologies. These offerings are already being used at significant scale by customers in the automotive and restaurant industries, and the company is looking to expand its position in other categories, including healthcare and financial services.In last year's third quarter, the business saw its revenue inc ...

Company Overview - SoundHound has diversified and grown its customer base while developing its proprietary voice AI model [3] - The company has made several accretive acquisitions and built an impressive customer list [4] - SoundHound has achieved a leading position in voice-enabled AI systems outside big tech, particularly in automotive and quick-serve restaurant (QSR) verticals [6] - The acquisition of Amelia has boosted SoundHound's enterprise platforms for customer service and employee-facing IT AI applications [7] - SoundHound has been developing voice AI technology since 2005 and released its Houndify platform in 2015 [8] - The company has built its proprietary voice AI model, Polaris, based on decades of experience and billions of conversations [9][10] Financial Performance - SoundHound reported 89% revenue growth in its mid-November third-quarter earnings report [11] - The company increased its full-year revenue guidance for 2024 to $82 million-$85 million and for 2025 to $155 million-$175 million [11] - Operating losses more than doubled from $14 million to $33 million last quarter, but this is manageable given the company's top-line growth [18] Market Position and Valuation - SoundHound's stock has surged 400% in two months, reaching a market cap of $9 billion [16] - The stock's valuation is 45 times next year's sales, anticipating extremely high growth for many years [16] - The rapid price increase appears to be driven by a mania in next-generation technology stocks rather than fundamentals [19] - Sell-side analysts have increased their share-price targets as the stock has risen, but this may follow rather than lead the price [20] Industry Context - Smaller AI stocks, especially those backed by Nvidia, have seen parabolic growth at the end of 2024 [5] - SoundHound has an early lead in voice AI, but large tech giants may enter the sector if it proves attractive [13] - The company's proprietary data and model give it a competitive advantage in the AI age [10] Customer and Vertical Success - SoundHound has secured seven of the top 20 QSR brands, including Chipotle, for phone and drive-through ordering [6] - The company's voice AI is embedded in many leading auto brands, including those owned by Stellantis and four major EV manufacturers [6]

Company Overview - SoundHound AI specializes in voice-based AI solutions, including drive-thru order processing and hands-free car feature activation [10] - The company monetized its technology to the tune of $25 million during the quarter ending in September, up 89% year over year [1] - SoundHound AI is positioned to capture its fair share of the growing speech recognition market [7] Industry Growth - The global speech recognition industry is poised to grow at an annualized pace of 17% through 2032 [2] - Technology stocks, including those in AI, are driving significant social, economic, and cultural changes [3] Competitive Landscape - Major tech companies like Microsoft, Google, and OpenAI have the potential to develop similar voice-based AI solutions [4] - SoundHound AI's technology, while impressive, lacks uniqueness, which could be a concern for long-term growth [17] Financials and Valuation - SoundHound AI shares are trading at roughly 100 times its trailing-12-month revenue, compared to the S&P 500's price-to-sales ratio of 3.1 [12] - The company continues to issue new stock to raise funds, diluting existing shareholders [18] - Analysts' consensus price target of $14.36 is 40% below the current share price [18] Market Perception - SoundHound AI's stock has seen a 300% price spike since late October, indicating investor optimism [9] - The company is viewed as an underappreciated pure-play AI company with potential for accelerated growth and new market prospects [6] Future Prospects - SoundHound AI could potentially develop new marketable technologies with wider defensive moats [13] - The company's top line could grow more than 30-fold and still be priced in line with its peers [14]