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SoundHound AI, Inc Class A Slides Despite Bullish Outlook

SoundHound AI, Inc Class A Slides Despite Bullish Outlook

SoundHound AI, Inc Class A ( (SOUN) ) has fallen by -14.02%. Read on to learn why.

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SoundHound AI, Inc Class A shares fell 14.02% over the past week, even as the company continued to build commercial momentum and maintained upbeat analyst support. The pullback comes ahead of its Q4 2025 earnings report, where Wall Street expects revenue to jump about 56% year-over-year but still sees the company posting a loss, albeit much narrower than last year. That combination of rapid growth with continued red ink has kept some investors cautious and quick to take profits after a sharp run-up earlier in the year.

Investor nerves were also evident in the trading and technical picture. TipRanks’ technical analysis tool shows SoundHound trading below key moving averages, with a cluster of bearish signals and a “Strong Sell” technical rating, suggesting weak short‑term momentum. Options activity has reflected demand for downside protection, and short-term traders appear reluctant to step in aggressively while the chart is under pressure, helping to fuel the recent 14.02% slide.

Fundamentally, though, the story remains more upbeat than the stock’s week suggests. SoundHound recently expanded its partnership with Five Guys, where its AI-powered ordering agents have already processed more than a million customer interactions, underscoring real-world demand for its voice AI. Management is targeting adjusted EBITDA breakeven by late 2026, and Wall Street remains generally constructive: the stock carries a Moderate Buy rating, with an average price target of $16.60 and a Street‑high target of $26 that implies substantial upside if SoundHound can keep executing on its growth plan and move convincingly toward profitability.

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