DailyIQ
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Sector:TechnologyAll sectors
Last updated 4 minutes ago

SOUN·SoundHound AI Inc.

$.
-. (-.%)
After Hours
High
$6.88
Open
$6.85
Market Cap
2.87B
52W High
$22.17
Low
$6.47
P. Close
$6.64
P/E
-
52W Low
$5.83
Fwd P/E
-55.33
DailyIQ Est.
$15.18
Technical Score (1D)
23
SELL
News Sentiment
71
BULLISH
SOUN has just reported Q1 2026 revenue of $44.2 million, up 52 % YoY, after shifting from an automotive‑centric focus to a broader conversational and agentic AI platform aimed at enterprise customers, which could lift recurring revenue streams. Core automotive and IoT AI revenues excluding acquisitions surged 88 %, confirming that existing product lines remain strong while the company expands into new verticals. This diversification into restaurants, retail, healthcare, financial services, telecommunications, and energy reduces SOUN’s dependence on a single end‑market, potentially cushioning the firm against sector‑specific downturns. However, the company still faces the risk of converting its platform expansion, acquisitions, and new products into improved margins and steadier execution, which could lead to earnings volatility. SOUN’s growth hinges on enterprise adoption of its conversational AI across voice, chat, and digital channels, a trend that could accelerate if the company secures larger contracts. The broader shift toward agentic AI platforms positions SOUN in a competitive landscape with firms like BigBear.ai, which focus on defense and industrial supply chains, highlighting a strategic differentiation that may influence investor sentiment. Over the next 1–10 trading days, the market will likely focus on how quickly SOUN can translate its expanded product portfolio into higher margins and whether its enterprise sales pipeline is robust. Investors should also monitor any updates on the company’s acquisition strategy, as additional integrations could either accelerate growth or strain resources.
Earnings Summary
SoundHound AI, a technology firm focused on independent voice AI solutions, offers its Houndify platform to enable businesses to build conversational experiences across automotive, TV, IoT, and customer service sectors, positioning it within the broader software‑application landscape. In the most recent quarters, the company posted a revenue of $34.5 million in Q4 2024, dipped to $29.1 million in Q1 2025, rebounded to $42.7 million in Q2 2025, held steady at $42.0 million in Q3 2025, and surged to $55.1 million in Q4 2025, reflecting a 59% YoY increase from the prior year’s Q4. EPS trends show a gradual narrowing of losses: Q4 2024 EPS of –$0.05 beat the –$0.08 estimate, Q1 2025 EPS of –$0.06 beat –$0.06333, Q2 2025 EPS of –$0.03 beat –$0.0525, Q3 2025 EPS of –$0.03 beat –$0.034, but Q4 2025 EPS of –$0.02 missed the –$0.016 estimate and Q1 2026 EPS of –$0.06 missed the –$0.0449 estimate, indicating a mixed pattern of earnings beats in four of the last six quarters. Historically, the firm has shown a YoY revenue acceleration, particularly in Q4 2025 and Q1 2026, while maintaining negative EPS, underscoring a consistent challenge of translating top‑line growth into profitability. Recent news highlights a 52% YoY revenue jump in Q1 2026 driven by a strategic pivot from an automotive‑centric focus to a broader conversational and agentic AI platform aimed at enterprise customers, with core automotive and IoT AI revenues surging 88%, and a LivePerson acquisition plus the launch of the OASYS self‑learning platform expanding its enterprise footprint; these developments may influence investor sentiment and valuation multiples. Investors should watch for guidance on revenue growth and margin improvement in the next earnings cycle, monitor the progress of the LivePerson integration and OASYS adoption, and assess cost‑management metrics to gauge whether the company can convert its expanded product portfolio into steadier profitability.

EPS

EstBeatMiss
$-0.07$-0.06$-0.04$-0.02$-0.01Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$-0.04 - -
Q1'26$-0.04$-0.06-33.6%
Q4'25$-0.02$-0.02-25.0%
Q3'25$-0.03$-0.03+11.8%
Q2'25$-0.05$-0.03+42.9%
Q1'25$-0.06$-0.06+5.3%

Revenue

EstBeatMiss
$25M$34M$42M$51M$59MQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$53M - -
Q1'26$43M$44M+1.8%
Q4'25$55M$55M-0.0%
Q3'25 - $42M -
Q2'25 - $43M -
Q1'25 - $29M -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

SOUN Stock Snapshot

SOUN is currently trading at $6.61, giving SoundHound AI Inc. a market cap of 2.87B. Today's range spans $6.46–$6.88, with shares opening at $6.85 and moving down $0.03 (0.4%) from the prior close. DailyIQ's technical score sits at 23/100 (SELL) with a news sentiment reading of 71/100.

Over the past year SOUN has traded between $5.83 and $22.17 - the current price is +13.4% off the 52-week low and -70.2% from the high. 17 analysts cover the stock with a Buy consensus and a mean 12-month target of $14.00 (range $8.00–$20.00), implying upside of +111.8%.

The bid/ask spread on SOUN widens when the technical picture is non-constructive - at 2.87B in Technology market cap, SELL signals (23/100) with bullish sentiment (71/100) reduce market maker willingness to provide tight liquidity. Price: $6.61 (near 52-week lows in $5.83–$22.17). This isn't just a trading cost - wider spreads signal reduced conviction from participants closest to the order flow, which is often an early warning that the bearish setup has more room to run than the score alone suggests.

For SOUN (small-cap, Technology, 2.87B market cap), the SELL technical reading (23/100) and bullish news sentiment (71/100) at $6.61 (near 52-week lows) describe a stock where the cost of patience is higher than in large-cap equivalents — thin float dynamics mean that time spent waiting for a catalyst can erode position value without the passive bid support that larger names receive. The $5.83–$22.17 annual range defines the structural stakes.