SoundHound AI (NASDAQ:SOUN) Stock Price Up 2.1% – What’s Next?
by Scott Moore · The Cerbat GemSoundHound AI, Inc. (NASDAQ:SOUN – Get Free Report) shares were up 2.1% on Tuesday . The company traded as high as $11.28 and last traded at $11.23. Approximately 27,834,854 shares changed hands during trading, an increase of 3% from the average daily volume of 26,915,627 shares. The stock had previously closed at $11.00.
Key Stores Impacting SoundHound AI
Here are the key news stories impacting SoundHound AI this week:
- Positive Sentiment: Major product launch — SoundHound unveiled Amelia 7 (agentic voice AI) and Vision AI for vehicles at CES, shifting the company from passive voice assistants toward transactional “agentic” capability that can book restaurants, pay for parking, order food and enable in‑car commerce. This could open new fee/transaction revenue streams. CES 2026: SoundHound AI Unveils Agentic Voice Commerce
- Positive Sentiment: Automotive distribution boost — SoundHound announced a TomTom partnership to integrate multi‑agent voice navigation, strengthening its automotive channel and OEM credibility (a high‑value route to scale). TomTom partners with SoundHound AI
- Positive Sentiment: Commercial integrations announced — The company highlighted integrations with OpenTable and Parkopedia (reservations and parking payments) plus demonstrations with NVIDIA, which validate real‑world commerce and edge‑AI use cases that can drive partner monetization. OpenTable And Parkopedia Deals Might Change The Case For Investing In SoundHound AI (SOUN)
- Positive Sentiment: Solid recent growth and cash runway — Q3 revenue rose ~68% YoY and management highlights cash runway (supporting execution through product commercialization), reducing near‑term dilution risk and making the business case for longer‑term monetization credible.
- Neutral Sentiment: Investor attention and momentum — SOUN has become a most‑watched name (Zacks / MarketBeat), which can amplify short‑term moves but also increases volatility; heightened options and trading volume are fueling momentum rather than changing fundamentals. Is Most-Watched Stock SoundHound AI, Inc. (SOUN) Worth Betting on Now?
- Neutral Sentiment: Analyst coverage is mixed but active — several firms maintain buy/outperform ratings and a wide range of price targets, reflecting divergence on execution risk vs. opportunity. This keeps the stock tumor‑like to newsflow. SoundHound AI Unveils Amelia 7 Agentic AI for Voice Commerce at CES 2026
- Negative Sentiment: Analyst price‑target cut — Piper Sandler lowered its target to $11 and rated SOUN “neutral”, which could cap near‑term upside and pressure sentiment among momentum traders. Benzinga
- Negative Sentiment: Insider selling, high short interest & valuation risk — recent disclosed insider sales and a high short interest increase downside risk and can cause outsized moves on negative news; several commentaries warn against “buying the dip” given premium multiples and execution dependence. QuiverQuant (insider & institutional data) Don’t buy the dip, says top investor about SoundHound stock
Analyst Upgrades and Downgrades
A number of research analysts have recently commented on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of SoundHound AI in a research report on Tuesday, October 14th. DA Davidson reissued a “buy” rating and set a $17.00 price target on shares of SoundHound AI in a research report on Tuesday, November 18th. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and upped their price objective for the company from $13.00 to $15.00 in a research note on Friday, December 12th. Piper Sandler cut their price objective on SoundHound AI from $15.00 to $11.00 and set a “neutral” rating for the company in a research report on Monday. Finally, LADENBURG THALM/SH SH raised SoundHound AI to a “strong-buy” rating in a report on Thursday, December 18th. Two analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, SoundHound AI has a consensus rating of “Moderate Buy” and a consensus target price of $16.50.
View Our Latest Stock Analysis on SoundHound AI
SoundHound AI Price Performance
The stock has a market capitalization of $4.72 billion, a price-to-earnings ratio of -13.37 and a beta of 2.65. The company’s 50-day simple moving average is $12.43 and its 200-day simple moving average is $13.50.
SoundHound AI (NASDAQ:SOUN – Get Free Report) last posted its earnings results on Thursday, November 6th. The company reported ($0.03) EPS for the quarter, beating the consensus estimate of ($0.09) by $0.06. The company had revenue of $42.05 million for the quarter, compared to the consensus estimate of $40.48 million. SoundHound AI had a negative return on equity of 93.64% and a negative net margin of 211.16%.The firm’s revenue for the quarter was up 67.6% on a year-over-year basis. During the same quarter in the prior year, the business earned ($0.04) earnings per share. Research analysts expect that SoundHound AI, Inc. will post -0.38 earnings per share for the current year.
Insider Activity
In other news, COO Michael Zagorsek sold 73,406 shares of SoundHound AI stock in a transaction 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 completion of the sale, the chief operating officer owned 1,787,459 shares of the company’s stock, valued at approximately $20,162,537.52. This trade represents a 3.94% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, SVP Majid Emami sold 42,600 shares of the business’s stock in a transaction dated Monday, December 22nd. The shares were sold at an average price of $11.28, for a total transaction of $480,528.00. Following the completion of the sale, the senior vice president directly owned 565,586 shares of the company’s stock, valued at approximately $6,379,810.08. The trade was a 7.00% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 723,310 shares of company stock worth $10,747,881. Corporate insiders own 9.17% of the company’s stock.
Institutional Inflows and Outflows
A number of institutional investors and hedge funds have recently made changes to their positions in SOUN. Northwestern Mutual Wealth Management Co. raised its position in shares of SoundHound AI by 83.1% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock valued at $25,000 after buying an additional 1,060 shares in the last quarter. Danske Bank A S bought a new position in SoundHound AI during the 3rd quarter worth $26,000. Advisors Asset Management Inc. increased its stake in SoundHound AI by 68.4% during the 2nd quarter. Advisors Asset Management Inc. now owns 2,519 shares of the company’s stock worth $27,000 after acquiring an additional 1,023 shares during the period. Investors Research Corp raised its holdings in SoundHound AI by 62.4% in the 3rd quarter. Investors Research Corp now owns 1,822 shares of the company’s stock valued at $29,000 after acquiring an additional 700 shares in the last quarter. Finally, Financial Consulate Inc. bought a new stake in shares of SoundHound AI during the 3rd quarter valued at $32,000. Institutional investors and hedge funds own 19.28% of the company’s stock.
About SoundHound AI
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.