SoundHound AI (SOUN) Stock: Latest News, Analyst Forecasts and 2026 Outlook

Updated: December 6, 2025 – all data and stories referenced are current to the U.S. market close on December 5, 2025.

SoundHound AI stock today: price and performance snapshot

SoundHound AI Inc. (NASDAQ: SOUN) closed around $12.76 on December 5, 2025, with after-hours trading just under that level. ^[1]

Over the last three years, SoundHound has been one of the most explosive small-cap AI names on the market. A recent piece syndicated via Yahoo Finance notes that the stock is up almost 700% over that period, reflecting how dramatically investor sentiment has shifted as the company’s revenue has accelerated. ^[2]

That outperformance has come with extreme volatility. A Nasdaq-hosted article highlights that SOUN is down roughly 42% so far in 2025 even after big rebounds, and that the stock still trades at around 32 times trailing sales. ^[3] Its 52‑week range spans roughly $7.18 to $24.23, underlining how wide the swings have been. ^[4]

Against this backdrop, a wave of fresh news, partnerships and analyst commentary in late November and early December is reshaping the narrative around the company.

Latest SoundHound AI news as of December 6, 2025

1. Record Q3 results and another guidance raise

On November 6, 2025, SoundHound reported Q3 2025 revenue of about $42.0 million, up 68% year over year, with non‑GAAP gross margin just over 59%. ^[5]

Key points from the Q3 release:

Revenue: $42.0M vs. $25.1M a year ago (68% YoY growth). ^[6]
Adjusted EBITDA loss improved slightly to –$14.5M from –$15.9M. ^[7]
Non‑GAAP net loss narrowed to $13.0M (–$0.03 per share) from $15.0M (–$0.04 per share). ^[8]
Cash and cash equivalents reached $269M with no debt, giving the company a substantial liquidity cushion. ^[9]
Full‑year 2025 revenue guidance was raised again to $165–$180M, up from the $160–$178M range introduced after Q2. ^[10]

The company also detailed a long list of new wins and renewals across healthcare, insurance, restaurants, retail, IT services, energy, and telecom, and highlighted progress in Agentic AI, Vision AI, and its acquisition of Interactions, a long‑time player in AI-powered customer service automation. ^[11]

2. Market reaction: 9.5% post‑earnings plunge

Despite the strong headline numbers, SoundHound’s stock fell about 9.5% on the day of the Q3 release, closing around $14.23. A detailed analysis from CoinCentral attributes the drop mainly to: ^[12]

A GAAP net loss of roughly $109.3M, sharply wider than a year earlier.
About $66M in non‑cash charges tied to acquisition‑related earn‑out liabilities, whose value rises when the share price goes up.
Investor discomfort with large accounting losses, even though non‑GAAP metrics and cash balances improved.

That report also reiterates that the underlying business continues to grow rapidly, with expanded deployments across automotive, restaurants, financial services and healthcare, and that the balance sheet remains strong with $269M in cash and no debt. ^[13]

3. Parkopedia partnership deepens in‑car voice commerce

On November 25, 2025, SoundHound announced an expanded partnership with Parkopedia, integrating Parkopedia’s global parking database (over 90 million spaces in 20,000+ cities) into SoundHound’s in‑car voice commerce platform. ^[14]

Drivers can now:

Ask the car to find, compare and reserve parking near a destination.
See real‑time prices and availability.
Pay for parking entirely by voice through the car’s infotainment system. ^[15]

The service is positioned as part of a broader “agentic voice commerce” ecosystem that started with in‑vehicle food ordering and is expected to expand into restaurant reservations, ticket purchases and appointments, with a major showcase planned for CES 2026. ^[16]

4. Upcoming Barclays Global Technology Conference appearance

On December 4, 2025, SoundHound announced that CFO Nitesh Sharan will participate in a fireside chat at Barclays’ Annual Global Technology Conference on December 11 in San Francisco. The session will be webcast via the company’s investor relations site. ^[17]

For investors, this event is likely to focus on:

The path toward adjusted EBITDA breakeven, which management has previously targeted around the end of 2025. ^[18]
Integration of recent acquisitions and how they support the company’s Agentic AI push. ^[19]
Capital allocation, given the enlarged cash balance and rising share count. ^[20]

5. Technical backdrop: RS rating upgrade and heavy trading

An automatically generated piece from Investor’s Business Daily notes that SoundHound’s Relative Strength (RS) Rating has been upgraded from 62 to 73, reflecting improving price performance versus the broader market over the past year. The article also points out that: ^[21]

SOUN recently broke out past a $6.25 buy point in a cup‑with‑handle pattern earlier in the year.
After large gains, it is now “extended” beyond the ideal buy zone, meaning new positions could be at higher risk if a pullback occurs.

Complementing that, a December 4 analysis on DirectorsTalkInterviews pegs: ^[22]

The current price (at that time) around $11.78.
A 52‑week range from $7.18 to $24.23.
A 14‑day RSI near 74, placing the stock in overbought territory.
50‑day and 200‑day moving averages of approximately $15.75 and $12.09, respectively, highlighting both recent weakness and longer‑term uptrends.

Revenue momentum: three blockbuster quarters in 2025

SoundHound’s fundamental story in 2025 has been about rapid revenue acceleration and repeated guidance hikes:

Q1 2025: Revenue of $29.1M, up 151% year over year; company ended the quarter with $246M in cash and no debt. ^[23]
Q2 2025: Revenue of $42.7M, up 217% year over year, with non‑GAAP gross margin at 58.4% and adjusted EBITDA loss at –$14.3M. Full‑year revenue outlook raised to $160–$178M. ^[24]
Q3 2025: Revenue of $42.0M, up 68% year over year, with non‑GAAP gross margin at 59.3% and adjusted EBITDA loss narrowing to –$14.5M. Guidance raised again to $165–$180M, and cash rose to $269M, still with no debt. ^[25]

On the Q2 earnings call, management said it was targeting adjusted EBITDA profitability by the end of 2025, implying a steep improvement in operating leverage in the coming quarters. ^[26]

The business is also diversifying. Across Q2 and Q3 updates, SoundHound reported: ^[27]

Automotive: New wins including a major Chinese OEM, continued expansion with Kia in India, and broader rollout of its Chat AI Automotive product in North America.
Restaurants and QSR: New customers (like Applebee’s | IHOP and Red Lobster), renewals, and expansions across multiple chains for drive‑thru, phone ordering and employee assistance.
Enterprise / contact centers: Growing adoption of the Amelia 7 platform and Autonomics in sectors such as healthcare, insurance, energy and IT services.
Channel partners: Strategic partnerships with distributors like Telarus and others to bring Agentic AI offerings to more enterprises.

Taken together, revenue is on track to roughly double in 2025 versus 2024, with consensus forecasts pointing to continued strong growth into 2026. StockAnalysis, aggregating Wall Street estimates, shows 2025 revenue around $172M and 2026 revenue near $237M, implying ~38% growth next year. ^[28]

Analyst ratings and price targets for SOUN

Consensus: “Buy” with mid‑teens price targets

According to StockAnalysis, six Wall Street analysts currently cover SoundHound, with: ^[29]

A consensus “Buy” rating.
An average 12‑month price target of $16.33.
A target range from $8 (low) to $26 (high).

At the recent close near $12.76, the average target implies about 28% upside over the next year if those estimates prove accurate. ^[30]

Drilling down into recent actions:

DA Davidson maintained a Strong Buy rating and a $17 price target in mid‑November. ^[31]
Piper Sandler kept a Hold rating but raised its target from $12 to $15 shortly after the Q3 results. ^[32]
HC Wainwright boosted its bullish view earlier in the autumn, lifting its target from $18 to $26 while reiterating a Strong Buy outlook. ^[33]

A December 4 analysis on DirectorsTalkInterviews, drawing on similar brokerage data, notes that the analyst breakdown is six Buys and three Holds with no Sell ratings, and an average target around $16.94– implying roughly 44% upside from the then‑current price of $11.78. ^[34]

MarketBeat’s update on December 4 goes further, describing the Street’s consensus as “Moderate Buy,” with one Strong Buy, five Buys, three Holds and one Sell, and an average price target of $17.42. ^[35]

Short‑term sentiment: pullback or red flag?

Analyst research and commentary over the last week reflects a tug‑of‑war between valuation concerns and growth optimism:

A Zacks note observes that SoundHound shares have lost about 23% in the past month, and poses the question of whether that sell‑off represents a bargain opportunity or a warning sign, pointing to the company’s volatile trading history and ongoing losses. ^[36]
Another Zacks piece frames the stock as one that “Wall Street analysts think is a good investment”, but cautions that consensus ratings alone can’t eliminate company‑specific risk. ^[37]

At the same time, institutional activity tracked by MarketBeat shows new or increased positions by investors such as Swiss National Bank, Rhumbline Advisers, Geode Capital, DNB Asset Management and others over recent weeks, suggesting growing professional interest in the stock despite its volatility. ^[38]

What the latest commentary says: bulls vs. bears

The bull case: “ultimate growth stock” and long‑term AI winner

Several recent pieces are notably bullish on SoundHound:

A December 6 article titled “The Ultimate Growth Stock to Buy With $1,000 Right Now” from The Motley Fool (syndicated on financial portals) flags SoundHound as a standout candidate, highlighting its massive three‑year run (nearly 700%) and strong revenue trajectory, while noting that analysts rate it a moderate buy with double‑digit upside. ^[39]
CoinCentral’s “Best AI Stocks to Buy Now for the Long Term” list, published December 6, places SoundHound alongside giants like Nvidia and Microsoft. It underscores that SoundHound’s Q2 2025 revenue grew 89% (they cite a slightly different figure based on a rounded measure) and that analysts’ average price target is around $16.33, aligning with other data providers. ^[40]
A November Seeking Alpha article titled “SoundHound’s Breakeven in FY2026 Triggers My Buy Rating After Steep Sell‑Off” argues that the current price already discounts aggressive growth assumptions, and that the company could reach breakeven in fiscal 2026, making the recent pullback a potential entry point for risk‑tolerant investors. ^[41]

Another Motley Fool piece from December 3 — “Down 40%, Should You Buy SoundHound AI Right Now?” — acknowledges the stock’s sharp decline from recent highs but notes that consensus price targets near $17 leave room for appreciation if SoundHound continues executing on its growth plan. ^[42]

Taken together, the bullish side of the debate emphasizes:

Explosive revenue growth across three consecutive quarters. ^[43]
A rapidly expanding footprint in high‑value verticals like automotive, restaurants and enterprise contact centers. ^[44]
A healthy balance sheet with hundreds of millions in cash and no debt, providing flexibility to invest through the current AI up‑cycle. ^[45]

The bear case: rich valuation and complex GAAP losses

On the other side, skeptics focus on valuation and profitability:

A Nasdaq‑hosted article titled “Prediction: This Artificial Intelligence (AI) Stock Will Be Worth More Than SoundHound AI in 2026” argues that another AI company (Ambarella) may be the better bet, pointing out that SoundHound shares are down 42% in 2025 yet still trade around 32× trailing sales, leaving limited room for error if growth slows. ^[46]
CoinCentral’s detailed Q3 reaction piece emphasizes that the market punished SoundHound for its $109M GAAP net loss, driven largely by $66M in non‑cash acquisition‑related charges, and warns that such accounting items can continue to inject volatility into reported earnings. ^[47]
Several recent commentaries (from Zacks, The Motley Fool and Seeking Alpha) flag the risk that expectations may have run ahead of fundamentals, with the market effectively “pulling forward years of execution” into today’s price, leaving the stock vulnerable to any disappointment in 2026 guidance or margins. ^[48]

The bear thesis boils down to a classic growth‑stock dilemma: world‑class revenue growth, but at a world‑class valuation and with still‑sizable losses.

Valuation check: how expensive is SOUN?

Using data from MarketBeat and StockAnalysis: ^[49]

MarketBeat recently cited a market cap of about $5.4B.
StockAnalysis’ consensus forecast suggests 2025 revenue around $172M.

That implies a price‑to‑sales (P/S) ratio in the low 30s, very much in line with the ~32× sales figure mentioned in the Nasdaq article. ^[50]

Other valuation and financial metrics from recent reports:

No trailing P/E because the company is not yet profitable. DirectorsTalkInterviews calculates a forward P/E that is deeply negative (around –160), reflecting ongoing losses. ^[51]
Free cash flow remains negative (around –$32.5M in recent periods) as the company invests in growth, integrations and R&D. ^[52]
However, non‑GAAP net losses are narrowing (Q3 non‑GAAP net loss of $13.0M vs. $15.0M a year earlier), and adjusted EBITDA has improved modestly. ^[53]

For comparison, many mature software and cloud companies trade at under 10× sales, while earlier‑stage, hyper‑growth AI names can trade much higher. In that context, SoundHound’s valuation assumes that:

Revenue growth remains very strong into 2026 and beyond, and
Margins improve sharply as the business scales.

If either assumption is challenged, the stock could be vulnerable to multiple compression, even if revenue continues to grow.

Technical picture: momentum and volatility

From a technical standpoint, recent data paints a picture of a high‑beta momentum stock:

RS Rating 73 (IBD) – above average, but below the 80+ RS that historically characterizes the strongest leaders, suggesting improving but not flawless relative performance. ^[54]
RSI around 74, indicating overbought conditions by many technical standards, which may precede a consolidation or short‑term pullback. ^[55]
50‑day moving average ~$15.75 vs. 200‑day ~$12.09, showing that the stock remains in a longer‑term uptrend despite recent turbulence. ^[56]
In the past two weeks alone, MarketBeat has logged numerous daily moves of 5–9% up or down, including an 8.7% jump on December 4 and several sharp declines in late November. ^[57]

For traders, this volatility can be attractive. For long‑term investors, it’s a reminder that position sizing and risk tolerance are crucial with a name like SOUN.

Strategic context: NVIDIA collaboration and the Agentic AI roadmap

Beyond near‑term numbers, much of the SoundHound thesis rests on where AI is going next.

At NVIDIA’s GTC 2025 conference in March, SoundHound showcased: ^[58]

A next‑generation in‑vehicle voice assistant that runs generative AI on the edge using NVIDIA DRIVE AGX, bringing large‑language‑model intelligence directly into cars.
The “first‑ever in‑car voice commerce ecosystem”, allowing drivers to order food, coffee and other services via natural voice commands.
Integration with Oracle Cloud Infrastructure for its Dynamic Drive‑Thru solution, emphasizing cloud‑plus‑edge architecture for low latency and high reliability.

More recently, the Parkopedia parking agent and the company’s expanding voice commerce roadmap show how SoundHound intends to turn its technology into a recurring‑revenue platform spanning automotive, retail, restaurants and broader in‑vehicle services. ^[59]

In the enterprise arena, the Amelia 7 platform, the Autonomics operations engine, and the Interactions acquisition aim to make SoundHound a leader in agentic AI for contact centers and IT automation — a market where customer service, finance, healthcare and insurance clients are already beginning to deploy voice‑driven AI agents at scale. ^[60]

These strategic moves are a large part of why multiple research houses still see SOUN as a top‑tier growth story despite short‑term valuation worries.

Key risks investors should watch

Even with the strong narrative, investors considering SoundHound AI stock should be aware of several material risks:

Profitability timeline
- Management is targeting adjusted EBITDA breakeven by the end of 2025 and analysts see GAAP EPS improving but remaining negative through at least 2026. ^[61]
- If operating expenses don’t scale down relative to revenue as quickly as expected, the stock’s premium valuation could come under pressure.
Valuation risk
- A P/S in the low 30s and heavy expectations for future growth leave little room for missteps. ^[62]
- Any slowdown in guidance, weaker‑than‑expected Q4 numbers, or macro‑driven multiple compression in AI stocks could hit SOUN disproportionately hard.
Accounting complexity and dilution
- GAAP results are heavily influenced by non‑cash, acquisition‑related charges tied to earn‑out shares, which can swing wildly with the stock price. ^[63]
- The company has used equity to fund growth and acquisitions; further share issuance could dilute existing shareholders.
Competitive landscape
- SoundHound competes against both Big Tech platforms (Amazon, Google, Apple) and specialist enterprise providers in customer experience and contact center AI. Sustaining pricing power and differentiation is critical. ^[64]
Execution risk in new verticals
- Success in automotive, restaurants, banking and healthcare will depend on turning pilots and proofs‑of‑concept into large, profitable deployments — something that’s far from guaranteed in rapidly evolving AI markets. ^[65]

Bottom line: is SoundHound AI stock a buy right now?

As of December 6, 2025, the picture looks like this:

Fundamentals: Triple‑digit revenue growth, rising guidance, and a strong cash position with no debt. ^[66]
Street view: Consensus “Buy” rating with mid‑teens price targets implying high‑20s to low‑40s percentage upside from current levels. ^[67]
Valuation: Expensive, with a sales multiple in the low 30s and negative earnings, meaning expectations for future execution are very high. ^[68]
Technical setup: Momentum strong but indicators suggest the stock is overbought and volatile, making timing and risk management important. ^[69]

For aggressive growth investors comfortable with volatility and long time horizons, SoundHound AI represents a high‑beta way to bet on voice and agentic AI across multiple industries.

For more conservative or income‑focused investors, the combination of ongoing losses, rich valuation and sharp price swings may be a reason to watch from the sidelines until the company proves it can deliver sustained profitability and smoother earnings.

Either way, given the pace of news — from the upcoming Barclays conference to planned CES 2026 demos and continued partnership announcements — SOUN is likely to remain front‑and‑center in AI stock discussions heading into 2026. ^[70]

As always, this overview is for informational purposes only and is not financial advice. Anyone considering an investment in SoundHound AI should carefully review the company’s SEC filings, earnings calls and their own risk tolerance before buying or selling shares.

References

SoundHound AI (SOUN) Stock: Latest News, Analyst Forecasts and 2026 Outlook – December 6, 2025