SoundHound AI (SOUN) is emerging as one of the most promising small-cap players in the space. Trading under $10, this voice AI specialist offers investors a rare combination of innovative tech, growing enterprise adoption, and significant upside potential. As the demand for conversational AI surges across multiple sectors, SoundHound’s scalable platform could make it one of the smartest growth bets in the market today.
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What’s Happening with SOUN Stock?
SOUN stock has surged around 107% over the last 12 months. However, the stock has lost momentum and is now trading below $10, down 51.5% year-to-date. Although the stock may remain vulnerable to macroeconomic uncertainty, its long-term fundamentals appear strong.
The company kicked off 2025 with Q1 revenue of $29.1 million, up 151% year-over-year. The growth highlights the rising demand for voice AI tech, with accelerating momentum across recent quarters.
Importantly, SoundHound’s growth isn’t dependent on a few major clients. During Q1, no single customer made up more than 10% of its revenue. This shows the company is building a broad customer base, lowering risk, and reflecting strong demand across different industries.
One Analyst Predicts Terrific Growth for SOUN Stock
H.C. Wainwright analyst Scott Buck sees huge potential in SoundHound, projecting the stock could surge over 80%. Buck pointed out the company’s solid growth outlook and resilience despite macroeconomic headwinds. Although SoundHound narrowly missed revenue expectations for Q1 2025, it maintained its full-year guidance, offering reassurance to investors.
He also emphasized SoundHound’s value proposition for small and mid-sized businesses, noting its AI-driven solutions can boost efficiency and cut costs, making the company even more appealing if economic uncertainty persists.
Furthermore, Buck believes SoundHound, with a healthy cash position, is also well-positioned to pursue strategic acquisitions that could accelerate its future growth.
Is SOUN Stock a Good Buy?
According to TipRanks, SOUN stock has received a Moderate Buy consensus rating, with four Buys and three Holds assigned in the last three months. The average SoundHound stock price target is $11.50, suggesting a potential upside of 18% from the current level.
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