SoundHound AI, Inc. (NASDAQ:SOUN) Given Average Recommendation of “Moderate Buy” by Analysts

SoundHound AI, Inc. (NASDAQ:SOUN) has earned a consensus recommendation of “Moderate Buy” from the ten research firms that are presently covering the company, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell rating, three have given a hold rating, five have issued a buy rating and one has issued a strong buy rating on the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $15.7857.

SOUN has been the subject of several analyst reports. Weiss Ratings reiterated a “sell (d-)” rating on shares of SoundHound AI in a research note on Friday, January 9th. LADENBURG THALM/SH SH raised shares of SoundHound AI to a “strong-buy” rating in a report on Thursday, December 18th. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and boosted their price target for the company from $13.00 to $15.00 in a research note on Friday, December 12th. Zacks Research raised SoundHound AI from a “strong sell” rating to a “hold” rating in a research report on Monday, February 9th. Finally, DA Davidson set a $14.00 target price on SoundHound AI in a report on Thursday, January 8th.

Insider Buying and Selling at SoundHound AI

In other news, CTO Timothy Stonehocker sold 29,676 shares of the business’s stock in a transaction that occurred on Friday, January 9th. The shares were sold at an average price of $12.00, for a total value of $356,112.00. Following the completion of the transaction, the chief technology officer directly owned 544,179 shares in the company, valued at approximately $6,530,148. The trade was a 5.17% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, COO Michael Zagorsek sold 73,406 shares of the stock in a transaction that occurred on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total transaction of $828,019.68. Following the sale, the chief operating officer owned 1,787,459 shares in the company, valued at $20,162,537.52. This represents a 3.94% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 460,922 shares of company stock valued at $5,199,073 over the last three months. 9.17% of the stock is owned by insiders.

Hedge Funds Weigh In On SoundHound AI

Hedge funds and other institutional investors have recently modified their holdings of the business. Royal Bank of Canada lifted its position in shares of SoundHound AI by 71.3% during the 1st quarter. Royal Bank of Canada now owns 160,299 shares of the company’s stock worth $1,301,000 after buying an additional 66,714 shares during the last quarter. Integrated Wealth Concepts LLC increased its position in SoundHound AI by 8.9% during the 1st quarter. Integrated Wealth Concepts LLC now owns 14,676 shares of the company’s stock worth $119,000 after purchasing an additional 1,201 shares in the last quarter. NewEdge Advisors LLC lifted its stake in SoundHound AI by 12.9% in the 1st quarter. NewEdge Advisors LLC now owns 41,030 shares of the company’s stock valued at $333,000 after purchasing an additional 4,692 shares during the last quarter. Goldman Sachs Group Inc. lifted its stake in SoundHound AI by 69.8% in the 1st quarter. Goldman Sachs Group Inc. now owns 2,639,689 shares of the company’s stock valued at $21,434,000 after purchasing an additional 1,085,473 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in SoundHound AI by 10.1% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 692,170 shares of the company’s stock valued at $5,620,000 after buying an additional 63,398 shares in the last quarter. Institutional investors own 19.28% of the company’s stock.

SoundHound AI Trading Down 4.3%

NASDAQ:SOUN opened at $8.60 on Tuesday. The stock has a 50 day simple moving average of $9.58 and a 200 day simple moving average of $12.91. The stock has a market cap of $3.61 billion, a P/E ratio of -171.91 and a beta of 2.64. SoundHound AI has a 1-year low of $6.52 and a 1-year high of $22.17.

SoundHound AI (NASDAQ:SOUN) last posted its quarterly earnings data on Thursday, February 26th. The company reported ($0.02) earnings per share for the quarter, hitting the consensus estimate of ($0.02). The firm had revenue of $55.06 million for the quarter, compared to analysts’ expectations of $53.88 million. SoundHound AI had a negative return on equity of 3.82% and a negative net margin of 8.71%.The company’s quarterly revenue was up 59.4% compared to the same quarter last year. During the same quarter last year, the business earned ($0.05) EPS. As a group, sell-side analysts forecast that SoundHound AI will post -0.38 EPS for the current year.

Key Headlines Impacting SoundHound AI

Here are the key news stories impacting SoundHound AI this week:

• Positive Sentiment: Revenue beat and strong growth — Q4 revenue rose ~59% year‑over‑year to $55.06M, topping Street estimates and contributing to record annual revenue of $169M. This headline growth is the primary bullish driver for the stock. GlobeNewswire: Press Release
• Positive Sentiment: Strong cash position — company reported ending the quarter with about $248M in cash, supporting execution of product rollouts and R&D as it scales agentic AI for enterprise customers. Benzinga: Cash / Results
• Positive Sentiment: Product and expansion catalysts — company launched a “Sales Assist” retail voice agent and opened a new innovation hub in Bengaluru to accelerate agentic AI development, moves that expand TAM and execution capacity. Yahoo Finance: Bengaluru hub
• Neutral Sentiment: EPS and margins — reported EPS roughly in line with consensus (company reported ($0.02) EPS / in‑line with estimates), while GAAP and non‑GAAP losses persist; investors interpreted the EPS print as neither a clear beat nor a cure for ongoing profitability concerns. Zacks: Q4 recap
• Negative Sentiment: Analyst reaction: Piper Sandler cut its price target to $9 (from $11) and kept a “neutral” rating — the lower target and lack of an upgrade reduce near‑term upside expectations and likely weighed on the stock. Benzinga / TickerReport: Piper Sandler update
• Negative Sentiment: Profitability & guidance ambiguity — despite revenue beats, the company still reports negative margins and a FY‑2026 revenue guide range ($225M–$260M) that leaves room for investor concern vs. consensus; rising expenses and continued losses keep sentiment cautious. Company: Q4 presentation / press release

SoundHound AI Company Profile

SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services.

The company’s core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities.