SoundHound AI (NASDAQ:SOUN) Stock Price Down 1.2% – What’s Next?

SoundHound AI, Inc. (NASDAQ:SOUN) shares traded down 1.2% during mid-day trading on Wednesday . The company traded as low as $6.37 and last traded at $6.43. 27,222,258 shares traded hands during trading, a decline of 4% from the average session volume of 28,267,834 shares. The stock had previously closed at $6.51.

Trending Headlines about SoundHound AI

Here are the key news stories impacting SoundHound AI this week:

• Positive Sentiment: SoundHound reported Q2 2026 revenue of $61.9 million, up 45% year over year and well above the $53.4 million consensus estimate. Gross profit increased 67.6% to $27.9 million, indicating stronger growth and improving margins. SoundHound AI Reports Record Q2 Revenue
• Positive Sentiment: The company issued fiscal 2026 revenue guidance of $230 million to $260 million, above the $232.5 million analyst consensus at the midpoint. Management cited adoption of its OASYS platform and expanding enterprise AI demand, supporting the bullish reaction. SoundHound AI Q2 2026 Earnings
• Positive Sentiment: MUSC Health expanded SoundHound’s Emily voice agent across additional retail and specialty pharmacy lines, providing another example of deployment within an Epic-based healthcare environment. SoundHound AI MUSC Health Expansion
• Neutral Sentiment: LivePerson is encouraging shareholders to approve its proposed acquisition by SoundHound. An investor town hall is expected to address the deal’s financial, operational and contingency plans, making shareholder approval and integration execution important near-term factors. SoundHound AI LivePerson Deal
• Negative Sentiment: Despite the revenue beat, SoundHound remained unprofitable: operating loss widened to $43.3 million, net loss was $42.8 million, and diluted EPS of negative $0.10 missed the estimate of negative $0.0569. Operating cash usage totaled $33.7 million.
• Negative Sentiment: Insiders reported 12 open-market sales and no purchases during the past six months, including sizable sales by the CEO and other senior executives. This may weigh on investor confidence, particularly while the company continues to post substantial losses. SoundHound AI Insider Trading Activity

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the stock. Weiss Ratings restated a “sell (e+)” rating on shares of SoundHound AI in a research report on Monday, June 15th. DA Davidson reiterated a “buy” rating and issued a $14.00 target price on shares of SoundHound AI in a research report on Wednesday, April 22nd. Finally, LADENBURG THALM/SH SH raised SoundHound AI to a “strong-buy” rating in a research note on Wednesday, May 6th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, SoundHound AI has an average rating of “Moderate Buy” and a consensus price target of $14.93.

SoundHound AI Stock Down 1.2%

The stock has a market cap of $2.78 billion, a P/E ratio of -13.68 and a beta of 2.64. The firm’s fifty day moving average price is $6.87 and its 200-day moving average price is $7.66.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings results on Thursday, May 7th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.01). SoundHound AI had a negative net margin of 91.84% and a negative return on equity of 40.15%. The business had revenue of $44.20 million for the quarter, compared to analysts’ expectations of $42.56 million. During the same quarter in the prior year, the firm earned ($0.06) EPS. The firm’s revenue for the quarter was up 51.7% on a year-over-year basis. Sell-side analysts predict that SoundHound AI, Inc. will post -0.45 earnings per share for the current year.

Insider Buying and Selling at SoundHound AI

In related news, CTO Timothy Stonehocker sold 18,802 shares of the business’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $7.46, for a total transaction of $140,262.92. Following the sale, the chief technology officer owned 502,290 shares of the company’s stock, valued at $3,747,083.40. The trade was a 3.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Michael Zagorsek sold 64,994 shares of the business’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $7.46, for a total value of $484,855.24. Following the completion of the sale, the chief operating officer directly owned 1,669,497 shares in the company, valued at $12,454,447.62. This trade represents a 3.75% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders have sold 268,022 shares of company stock valued at $1,999,444. Company insiders own 8.84% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

A number of large investors have recently added to or reduced their stakes in SOUN. Vanguard Group Inc. grew its holdings in shares of SoundHound AI by 4.4% in the fourth quarter. Vanguard Group Inc. now owns 45,367,437 shares of the company’s stock worth $452,313,000 after acquiring an additional 1,909,868 shares during the period. Geode Capital Management LLC raised its stake in SoundHound AI by 3.1% during the 4th quarter. Geode Capital Management LLC now owns 9,180,321 shares of the company’s stock worth $91,543,000 after acquiring an additional 273,097 shares during the period. Morgan Stanley lifted its stake in shares of SoundHound AI by 48.1% during the 4th quarter. Morgan Stanley now owns 8,987,522 shares of the company’s stock valued at $89,606,000 after buying an additional 2,917,280 shares in the last quarter. State Street Corp boosted its stake in shares of SoundHound AI by 0.9% in the fourth quarter. State Street Corp now owns 8,691,235 shares of the company’s stock worth $86,652,000 after acquiring an additional 80,908 shares during the period. Finally, UBS Group AG boosted its stake in SoundHound AI by 77.6% in the 4th quarter. UBS Group AG now owns 6,124,283 shares of the company’s stock worth $61,059,000 after purchasing an additional 2,676,707 shares during the period. Institutional investors own 19.28% of the company’s stock.

About SoundHound AI

SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services.

The company’s core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities.