Shares of SoundHound AI (SOUN) fell sharply this week, dropping about 19%. The voice AI company, known for its user-friendly speech recognition tools, slid in line with broader market weakness rather than any company-specific news. The dip erased some of the stock’s recent gains after its Q2 earnings amid a bearish trading session. Nonetheless, SOUN stock gained almost 3% on Friday.
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For context, global stock markets were jittery as investors awaited key economic reports and the central bank meeting at Jackson Hole on August 22. Notably, U.S. Federal Reserve Chair Jerome Powell stated in his speech that current economic conditions “may warrant” cutting interest rates in the coming months.
Is SOUN Stock a Good Buy Now?
Earlier this month, SoundHound posted record Q2 2025 revenue of $42.7 million, a 217% jump from last year. It also raised its full-year revenue outlook to $160–$178 million, up from the previous $157–$177 million range. The results highlight both opportunity and risk. The company is growing quickly with strong demand and a solid product lineup, but it continues to operate at a loss.
After Q2 results, SoundHound has been in the spotlight on Wall Street. Analysts have raised price targets and upgraded the stock to Buy, reflecting stronger confidence in its growth potential. Moreover, with the recent pullback, the stock now offers decent upside.
SOUN stock could offer steady growth backed with a strong product lineup and a Moderate Buy rating. Despite recent ups and downs, it could still appeal to long-term growth investors. Overall, SOUN remains a risky but potentially rewarding bet.
What Is the Price Target for SOUN?
According to TipRanks, SOUN stock has received a Moderate Buy consensus rating, with five Buys and two Holds assigned in the last three months. The average SoundHound stock price target is $15, suggesting a potential upside of 19.43% from the current level.
