SoundHound AI, Inc.
$8.08
-13%SoundHound AI, Inc. develops independent voice artificial intelligence (AI) platform that enables businesses across industries to deliver high-quality conversational experiences to their customers. Its products include Houndify platform that offers a suite of Houndify tools to help brands build conversational voice assistants, such as automatic speech recognition, natural language understanding, wake words, custom domains, text-to-speech, and embedded voice solutions The company is headquartered in Santa Clara, California.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
Medium confidenceValuation multiple is compressed (P/E -233.5).
Valuation inputs: P/E -233.5, earnings yield N/A, momentum -12.6%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -3.0%, ROIC -3.8%).
Profitability stack: net margin -8.3%, ROE -3.0%, ROIC -3.8%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile is elevated and scenario stress-testing is essential.
Risk factors: liabilities/assets +32.6%, momentum -12.6%, net margin -8.3%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
SoundHound AI, Inc. Market vs Earnings Trajectory
Loading price and EPS data...
SoundHound AI, Inc. Fair Value Envelope
SoundHound AI, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Strong gross margins indicate healthy pricing and efficient production or service delivery.
Operating Margin
Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.
Net Profit Margin
Net losses indicate the company is burning cash. Sustainability depends on path to profitability.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
SoundHound AI, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Weak cash conversion. Significant portion of earnings not converting to cash—review working capital trends and capital intensity.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Neutral working capital impact. Changes in current assets and liabilities balanced out.
SoundHound AI, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.
Debt-to-Equity Ratio
Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Balanced asset mix between current and non-current assets, typical of many stable businesses.
Financial Health Insight
Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.
SoundHound AI, Inc. Street Expectations Map
Wall Street analysts project that SOUN stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 12.50, with estimates ranging from a low of 11.00 to a high of 15.00.
The consensus 1-year price target stands at 12.50, with estimates ranging from a low of 11.00 to a high of 15.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.
Analyst Conviction
Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.
Market Sentiment Insight
Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.
SoundHound AI, Inc. Insider Positioning
During the last 12 months, insiders have sold $24.61M worth of SOUN shares, with no buying activity reported.
3 Months
0
0.00
308.0K
2.09M
-2.1M
-$2.09M
3-6 Months
0
0.00
460.9K
5.20M
-5.2M
-$5.20M
6-9 Months
0
0.00
661.0K
11.76M
-11.8M
-$11.76M
9-12 Months
0
0.00
579.9K
5.56M
-5.6M
-$5.56M
Top Buyers
No buying activity
Top Sellers
Mohajer Keyvan
Director, 10 Percent Owner, Officer: Ceo
$8.29M
Emami Majid
10 Percent Owner, Officer: Cso & Svp, Engineering
$5.50M
Stonehocker Timothy
Officer: Chief Technology Officer
$3.34M
Zagorsek Michael
Officer: Chief Operating Officer
$2.92M
Sharan Nitesh
Officer: Chief Financial Officer
$2.74M
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $24.61M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
5 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
No Dividend Yield Data
SOUN has not reported any dividend yield values in the available annual periods.
soun Dividend History
Learning Layer
Related Guides
Build conviction on SOUN by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.