SoundHound AI (SOUN) stock has come under pressure over recent months. The stock has roughly fallen 13% over the past five days and is now down 45% year-to-date. Once a market favorite during earlier AI-driven rallies, the voice-AI company’s recent sell-off has raised fresh concerns about growth expectations, valuation, and its profitability.
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For context, SoundHound AI focuses on voice recognition and natural language processing, providing AI-powered solutions for multiple industries.
SoundHound’s Ownership Structure
According to TipRanks’ Ownership Tool, public companies and individual investors own 61.18% of SoundHound. They are followed by ETFs, mutual funds, and other institutional investors at 17.75%, 14.78%, and 4.13%, respectively.
Looking at institutional ownership, Vanguard is the largest shareholder in SOUN, holding roughly 10% of the outstanding shares. Vanguard Index Funds are the second-largest holder, with a 7.43% stake.
On the ETF side, the Vanguard Total Stock Market ETF (VTI) owns approximately 2.89% of SOUN, while the iShares Russell 2000 ETF (IWM) holds around 2.37%.
What Lies Ahead for SoundHound?
Despite near-term challenges and broader macro uncertainty, SoundHound AI’s long-term outlook remains constructive. The company is well-positioned to benefit from rising demand for voice-enabled technologies and an expanding customer base across key industries.
While SoundHound has yet to reach profitability, solid revenue growth and an improving outlook underscore its long-term potential. Notably, the company now expects its full-year revenue to be between $165–$180 million, up from the prior range of $160–$178 million.
Additionally, Wall Street analysts continue to give SOUN a Moderate Buy rating, indicating a potential upside of over 51% for patient investors.
Is SOUN a Good Stock to Buy?
According to TipRanks, SOUN stock has received a Moderate Buy consensus rating, with four Buys and two Holds assigned in the last three months. The average SoundHound stock price target is $17.60, suggesting a potential upside of 60.73% from the current level.
