SoundHound AI (SOUN) stock has taken a beating in the last month, plunging around 35%. Year-to-date, SOUN stock is down over 40%. Once a retail favorite amid the AI boom, the voice AI specialist is now facing investor skepticism. Despite near-term headwinds and macro uncertainty, the company’s long-term prospects remain promising. Notably, Wall Street analysts maintain a Moderate Buy rating on SOUN, signaling a potential upside of over 50% for patient investors.
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SoundHound Hits a Rough Patch
In November, SOUN stock fell along with broader tech shares amid concerns of an AI bubble. Investors are also worried about the company’s valuation and profitability.
Recently, Wedbush analyst Daniel Ives removed SoundHound from his top 30 AI stocks list, citing rising competition and noting that the company has leaned heavily on M&A to expand its customer base.
SoundHound’s Bullish Case You Can’t Ignore
Looking ahead, the bullish case for SoundHound remains strong, with potential to emerge as a long-term winner in voice AI.
In Q3 2025, the company’s revenue grew 68% year-over-year, driven by growing AI adoption and expanding use cases in automotive, healthcare, finance, retail, and consumer services. For the full year, SoundHound raised its full-year revenue forecast to $165–$180 million, signaling rising demand for its voice-enabled products.
Although the company is not profitable yet, its fast revenue growth and improving outlook show strong potential as voice AI scales across industries—from cars to restaurants to consumer devices.
Wall Street Is Also Bullish
Wall Street’s moderately positive stance on SOUN offers investors fresh optimism despite the stock’s recent downturn.
Among the bulls, H.C. Wainwright’s analyst Scott Buck holds the highest price target for SOUN at $26, suggesting an upside of more than 130% from current levels. Buck sees SoundHound steadily progressing toward profitability, backed by improving margins and a clear path to positive EBITDA. He expects that as more industries adopt SoundHound’s voice AI platform, the company will scale operations, drive stronger revenue growth, and move closer to profitability.
Meanwhile, five-star analyst Gil Luria of D.A. Davidson is bullish on SoundHound, pointing to its big market opportunity and steady progress in executing its growth plans. While he admits competition from big tech is strong, he believes SoundHound stands apart with better platform performance and stronger results on key benchmarks.
Is SOUN a Good Stock to Buy?
According to TipRanks, SOUN stock has received a Moderate Buy consensus rating, with two Buys and four Holds assigned in the last three months. The average price target for SoundHound is $17.20, suggesting a potential upside of 53.3% from the current level.
