Can SoundHound AI Stock Turn Things Around in 2026?

Core Insights - SoundHound AI (NASDAQ: SOUN) experienced significant investor interest after Nvidia acquired a stake in the company, leading to an 836% stock increase in 2024 [1] - In 2025, after Nvidia divested its position, SoundHound AI's stock fell approximately 55% from its January peak, highlighting the volatility of the AI stock market [2] - The future of SoundHound AI in 2026 remains uncertain, with questions about its ability to attract investors based on its own fundamentals [3] Financial Performance - SoundHound AI has shown impressive revenue growth, but this growth is primarily driven by acquisitions, such as the purchase of AI company Amelia [4][5] - The company reported an adjusted net loss of $13 million in Q3, a slight improvement from a loss of nearly $15 million the previous year, indicating that profitability remains a challenge despite 68% revenue growth [6] - The stock's valuation is still considered high, with a market cap of approximately $4.5 billion, which is over seven times its valuation from two years ago [7][8]