SoundHound AI (SOUN) has been in investors’ spotlight since it released its Q2 earnings report last month. Despite positive results, the stock remains down around 34% year-to-date, reflecting ongoing investor concerns. Looking ahead, analysts are strongly bullish on SOUN stock, projecting over 15% upside potential.
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For context, SoundHound AI specializes in voice recognition and natural language processing, offering AI-driven solutions across industries.
What’s Happening with SOUN Stock?
SOUN stock surged over 22% in the last 30 days, driven by its Q2 2025 earnings, suggesting a potential turning point for investors. Notably, SoundHound reported record Q2 2025 revenue of $42.7 million, a remarkable 217% increase compared to last year. The company also raised its full-year revenue forecast to $160–$178 million.
Nonetheless, SOUN stock gave back some of its post-earnings gains amid broader volatility in the AI sector. Currently trading at $13.02, the stock sits within its 52-week range of $4.32–$24.98, well below its high, indicating room for growth.
What Lies Ahead for Investors?
Despite the recent surge, SOUN stock is still down roughly 34% year-to-date. As a young voice AI company, SoundHound’s shares are highly sensitive to investor sentiment, meaning pullbacks can be sharp. But they may also offer attractive opportunities for long-term investors.
Overall, the company is benefiting from strong demand for its voice AI solutions and an expanding product lineup. While SoundHound is not yet profitable, its rapid revenue growth and improving outlook provide a solid foundation for long-term potential. However, ongoing losses and stiff competition could weigh on the stock in the near term, making SOUN a high-risk, high-reward option for investors.
Turning to Wall Street, several analysts have reaffirmed their Buy ratings on SOUN stock following its Q2 results, reflecting stronger confidence in the company’s growth potential.
What Is the Price Target for SOUN?
According to TipRanks, SOUN stock has received a Strong Buy consensus rating, with five Buys and one Hold assigned in the last three months. The average SoundHound stock price target is $15.00, suggesting a potential upside of 15.21% from the current level.
