Latest news with #SoundHoundAI
Yahoo
38 minutes ago
- Business
- Yahoo
SoundHound AI, Inc. (SOUN) Increases Despite Market Slip: Here's What You Need to Know
In the latest trading session, SoundHound AI, Inc. (SOUN) closed at $9.57, marking a +1.59% move from the previous day. This change outpaced the S&P 500's 0.22% loss on the day. Meanwhile, the Dow experienced a rise of 0.08%, and the technology-dominated Nasdaq saw a decrease of 0.51%. The company's stock has dropped by 1.36% in the past month, falling short of the Computer and Technology sector's gain of 2.98% and the S&P 500's gain of 0.45%. Market participants will be closely following the financial results of SoundHound AI, Inc. in its upcoming release. It is anticipated that the company will report an EPS of -$0.06, marking a 45.45% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $33.03 million, reflecting a 145.36% rise from the equivalent quarter last year. In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of -$0.16 per share and a revenue of $161.82 million, indicating changes of +84.62% and +91.07%, respectively, from the former year. Investors should also pay attention to any latest changes in analyst estimates for SoundHound AI, Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system. The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. At present, SoundHound AI, Inc. boasts a Zacks Rank of #3 (Hold). The Computers - IT Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 87, positioning it in the top 36% of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SoundHound AI, Inc. (SOUN) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
a day ago
- Business
- Globe and Mail
Even $200 in These Stocks Could Mint a Fortune
After a strong market rebound since April, some of the market's most attractive artificial intelligence (AI) stocks are no longer cheap. However, that doesn't mean that they have no upside potential. In fact, for long-term investors who can tolerate short-term volatility and premium valuations, there are still a few attractive picks that can help them build wealth, especially as AI adoption has accelerated across all walks of business and life. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » You also would not need boatloads of cash to build this fortune. Even with $200 to invest today (which is not required for paying bills or contingencies), picking a stake in Palantir Technologies (NASDAQ: PLTR) and SoundHound AI (NASDAQ: SOUN) can prove to be quite brilliant. Here's why. 1. Palantir Technologies Data analytics giant Palantir has delivered an impressive financial performance in its recent first-quarter fiscal 2025 results (ending March 31), and the growth trajectory is likely to remain strong in the long run. The company's revenues jumped 39% year over year to $884 million. The growth rate is nearly double the 21% top-line growth rate achieved in the same quarter of the previous year, indicating that the company is on an accelerated growth trajectory. The U.S. commercial business has emerged as a significant growth catalyst, with year-over-year growth of 71%, crossing the $1 billion annual run rate threshold in the first quarter. Palantir also posted a Rule of 40 score of 83%, a two-percentage-point increase compared to the previous quarter. It is a critical metric for evaluating the performance of software-as-a-service (SaaS) and other high-growth technology companies, stating that the combination of revenue growth and profit margins should be at least 40%. With Palantir operating at approximately double the cutoff, it underscores the quality growth of this AI giant. The company also generated $370 million in free cash flow, demonstrating that it has sufficient funds to support its growth initiatives. Palantir differentiates itself from other AI players with its "Warp Speed" manufacturing operating system, built atop the Artificial Intelligence Platform (AIP), to streamline various industrial operations. Furthermore, instead of focusing on building newer and more advanced AI models, which eventually lose their competitive advantage, the company has developed a solid ontological framework that helps it relate the assets and relationships within an organization to its digital counterparts. This data advantage is leading to huge switching costs for customers, as replacing it becomes not only expensive but also disruptive for the overall business. Palantir trades at 208.3 times forward earnings, which is very expensive. However, profitable and practically debt-free AI companies with accelerating top-line growth and a huge $5.4 billion cash balance are not easy to come by. Hence, the stock is a smart buy for long-term investors who are ready to ride some volatility, even at elevated valuation levels. 2. SoundHound AI Amidst multiple AI stocks with unproven technologies, SoundHound AI (NASDAQ: SOUN) stands out with its voice AI platform, which is already seeing strong traction in the enterprise world. This is evident considering that the company's revenues soared a dramatic 151% year over year in the first quarter of fiscal 2025 to $29.1 million. Additionally, the company has also built a $1.2 billion backlog of cumulative subscriptions and bookings. This implies that the company has impressive revenue visibility for several more years to come. SoundHound is leveraging its multimodal and multilingual proprietary Polaris foundational model to power its conversational AI solutions. However, what makes SoundHound's technology stand out is its ability to directly process voice commands to understand the underlying meaning. On the other hand, traditional voice systems first convert the voice to text and then to a meaningful representation. This "speech-to-meaning technology" has helped dramatically reduce latency in real time, thereby making voice communications four times faster than competitors, while also improving accuracy to twice the level of competitors, even in noisy environments. The superior technology has helped the company build a sticky customer base. Although previously geared mainly toward the restaurant industry, SoundHound is now actively diversifying its customer base into healthcare, automotive, and financial services. Furthermore, no single customer accounted for more than 10% of its revenue in the first quarter. SoundHound has also been focusing on strategic acquisitions to build a comprehensive voice ecosystem. The acquisition of SYNQ3 has dramatically expanded its market reach in the restaurant industry. The Amelia acquisition has also strengthened the company's position in the massive enterprise AI market. Recently, SoundHound launched Amelia 7.0, powered by a proprietary multiprocess agentic framework called "Agentic Plus." This platform will enable businesses to deploy fleets of AI agents that can understand, reason, and autonomously complete actions. Finally, the Allset acquisition has positioned SoundHound as a key player in the voice commerce space. The company is developing technology that allows drivers to order food while driving, thereby enabling SoundHound to leverage its automotive partnerships with restaurant networks. It is indisputable that the stock looks expensive at 36.7 times sales, but that misses the bigger picture. With $245.8 million in cash and just $4.6 million in debt, SoundHound has the financial flexibility to focus on several growth initiatives. Management also expects to reach adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) profitability by the end of 2025. Considering the company's cutting-edge conversational AI technology, robust financial trajectory, and focused inorganic growth strategy, SoundHound seems an attractive buy now. Should you invest $1,000 in Palantir Technologies right now? Before you buy stock in Palantir Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Palantir Technologies wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $891,722!* Now, it's worth noting Stock Advisor 's total average return is995% — a market-crushing outperformance compared to172%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 9, 2025
Globe and Mail
3 days ago
- Business
- Globe and Mail
Super Micro Computer vs. SoundHound AI: What's the Better Artificial Intelligence Stock to Buy Today?
If you're investing in artificial intelligence (AI) stocks, chances are you've seen some mention of Super Micro Computer (NASDAQ: SMCI) and SoundHound AI (NASDAQ: SOUN). While these aren't the biggest players in AI, they are among the most intriguing. The two companies face challenges, but they also possess a lot of possible upside. Super Micro Computer, which is better known as Supermicro, is involved in providing businesses with AI infrastructure, data servers, and the necessary hardware they need to ramp up their AI investments and projects. Although it's up more than 40% this year (as of June 13), its low valuation suggests that it still struggles to win back the trust of investors after having a very public falling out with its auditor last year. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More » SoundHound AI rose to prominence last year after chipmaker Nvidia disclosed a position in the voice AI company. But with Nvidia recently selling its stake in the business and SoundHound still struggling to stay out of the red, many investors have also hit sell on this once-exiting AI stock. Which of these two stocks makes for the better option for investors looking to generate big gains from AI? Let's break down their numbers and growth opportunities to see which one is the best stock to put into your portfolio today. The case for Supermicro Supermicro provides valuable AI infrastructure that businesses need to scale their operations. It got into some trouble last year regarding its finances, including its financial auditor resigning. But the company has a new auditor and managed to meet its reporting deadlines to avoid its stock getting delisted. Over the trailing 12 months, the company generated $21.6 billion in sales, with its profits totaling $1.2 billion. Although its margins are lean, the company was able to consistently stay in the black and grow its earnings over the years. Investors discounted the stock heavily since the adversity and bad press it faced last year, and it now trades at just 13 times its expected future earnings (based on analyst estimates). This factors in the growth and earnings that analysts expect from the business in the year ahead, which suggests Supermicro could be a steal of a deal. Although it has been rallying this year, it's still nowhere near its 52-week high of $101.40 and could have more room to run higher. The case for SoundHound AI SoundHound AI is in a great position to benefit from companies seeking out voice AI capabilities. Whether it's to enhance a driving experience or help automate and expedite the ordering process at fast-food restaurants, it possesses many growth opportunities. Revenue in its most recent quarter, which ended on March 31, rose by 151% year over year to $29.1 million. The company got a boost from acquisitions, which have also diversified its customer base in the process. And although it remains unprofitable, its adjusted per-share loss shrank to $0.06 (compared with $0.07 in the prior-year period). SoundHound's business is smaller than Supermicro's, and that can work to its advantage, as its market cap is just around $4 billion (versus $26 billion for Supermicro). Given the potential it has to reach many industries and the rollout of Amelia 7.0, which is a "full Agentic AI with category-leading voice technology," the company's valuation may rise significantly as it scales its operations, and since its growth is still in its very early innings. This year, the business expects to generate between $157 million to $177 million in sales, which will be a sizable increase from the $84.7 million it reported last year. Which stock should you go with? If I were choosing between these two AI stocks right now, I'd go with Supermicro. I don't love its thin margins, but the business has been able to stay in the black consistently, and its low valuation does offer a good margin of safety. Its operations appear to be more stable now, and there aren't huge question marks about its reporting hanging over the business. It may be overdue for an even greater rally. SoundHound AI is an intriguing business, and I could see it rising if it can generate good organic growth. But it's still a bit unproven, and with acquisitions muddying its recent results, it's hard to tell just how well the business is doing and if it can truly achieve profitability. SoundHound AI may have greater upside in the long run if it proves to be the real deal, but it's a far riskier option than Supermicro, which is why I'd go with the latter. Should you invest $1,000 in Super Micro Computer right now? Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Super Micro Computer wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $660,821!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $886,880!* Now, it's worth noting Stock Advisor 's total average return is791% — a market-crushing outperformance compared to174%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 9, 2025
Yahoo
3 days ago
- Business
- Yahoo
Super Micro Computer vs. SoundHound AI: What's the Better Artificial Intelligence Stock to Buy Today?
Super Micro Computer has bounced back this year after a tumultuous 2024 when its auditor resigned. SoundHound AI more than doubled its sales last quarter and has a modest market cap of less than $4 billion. Both companies possess promising growth prospects related to artificial intelligence. 10 stocks we like better than Super Micro Computer › If you're investing in artificial intelligence (AI) stocks, chances are you've seen some mention of Super Micro Computer (NASDAQ: SMCI) and SoundHound AI (NASDAQ: SOUN). While these aren't the biggest players in AI, they are among the most intriguing. The two companies face challenges, but they also possess a lot of possible upside. Super Micro Computer, which is better known as Supermicro, is involved in providing businesses with AI infrastructure, data servers, and the necessary hardware they need to ramp up their AI investments and projects. Although it's up more than 40% this year (as of June 13), its low valuation suggests that it still struggles to win back the trust of investors after having a very public falling out with its auditor last year. SoundHound AI rose to prominence last year after chipmaker Nvidia disclosed a position in the voice AI company. But with Nvidia recently selling its stake in the business and SoundHound still struggling to stay out of the red, many investors have also hit sell on this once-exiting AI stock. Which of these two stocks makes for the better option for investors looking to generate big gains from AI? Let's break down their numbers and growth opportunities to see which one is the best stock to put into your portfolio today. Supermicro provides valuable AI infrastructure that businesses need to scale their operations. It got into some trouble last year regarding its finances, including its financial auditor resigning. But the company has a new auditor and managed to meet its reporting deadlines to avoid its stock getting delisted. Over the trailing 12 months, the company generated $21.6 billion in sales, with its profits totaling $1.2 billion. Although its margins are lean, the company was able to consistently stay in the black and grow its earnings over the years. Investors discounted the stock heavily since the adversity and bad press it faced last year, and it now trades at just 13 times its expected future earnings (based on analyst estimates). This factors in the growth and earnings that analysts expect from the business in the year ahead, which suggests Supermicro could be a steal of a deal. Although it has been rallying this year, it's still nowhere near its 52-week high of $101.40 and could have more room to run higher. SoundHound AI is in a great position to benefit from companies seeking out voice AI capabilities. Whether it's to enhance a driving experience or help automate and expedite the ordering process at fast-food restaurants, it possesses many growth opportunities. Revenue in its most recent quarter, which ended on March 31, rose by 151% year over year to $29.1 million. The company got a boost from acquisitions, which have also diversified its customer base in the process. And although it remains unprofitable, its adjusted per-share loss shrank to $0.06 (compared with $0.07 in the prior-year period). SoundHound's business is smaller than Supermicro's, and that can work to its advantage, as its market cap is just around $4 billion (versus $26 billion for Supermicro). Given the potential it has to reach many industries and the rollout of Amelia 7.0, which is a "full Agentic AI with category-leading voice technology," the company's valuation may rise significantly as it scales its operations, and since its growth is still in its very early innings. This year, the business expects to generate between $157 million to $177 million in sales, which will be a sizable increase from the $84.7 million it reported last year. If I were choosing between these two AI stocks right now, I'd go with Supermicro. I don't love its thin margins, but the business has been able to stay in the black consistently, and its low valuation does offer a good margin of safety. Its operations appear to be more stable now, and there aren't huge question marks about its reporting hanging over the business. It may be overdue for an even greater rally. SoundHound AI is an intriguing business, and I could see it rising if it can generate good organic growth. But it's still a bit unproven, and with acquisitions muddying its recent results, it's hard to tell just how well the business is doing and if it can truly achieve profitability. SoundHound AI may have greater upside in the long run if it proves to be the real deal, but it's a far riskier option than Supermicro, which is why I'd go with the latter. Before you buy stock in Super Micro Computer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Super Micro Computer wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $660,821!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $886,880!* Now, it's worth noting Stock Advisor's total average return is 791% — a market-crushing outperformance compared to 174% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. Super Micro Computer vs. SoundHound AI: What's the Better Artificial Intelligence Stock to Buy Today? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
4 days ago
- Business
- Forbes
SoundHound AI: Buy, Sell, or Hold SOUN Stock At $10?
CHONGQING, CHINA - FEBRUARY 23: In this photo illustration, the SoundHound AI logo is displayed on a ... More smartphone screen, with the company's latest stock market performance and candlestick charts visible in the background, highlighting SoundHound AI's real-time financial trends, stock price fluctuations, market volatility, and investment developments within the artificial intelligence, voice recognition, and technology sectors, on February 23, 2025 in Chongqing, China. (Photo by) SoundHound AI (NASDAQ:SOUN), a voice AI platform empowering businesses with conversational AI experiences, has recently experienced a significant stock decline, plummeting over 50% year-to-date to $10. A substantial portion of this drop occurred in January, largely due to disappointed investor expectations following the Consumer Electronics Show (CES). The stock has yet to see a meaningful recovery since then. From a valuation perspective, SoundHound AI stock still appears overpriced. We believe there are several factors contributing to this unattractiveness, especially when considering its current high valuation. Our conclusion is based on a comprehensive comparison of SOUN's current valuation against its recent operating performance and its current and historical financial health. Our in-depth analysis of SoundHound AI, covering key parameters such as Growth, Profitability, Financial Stability, and Downturn Resilience, indicates that the company has demonstrated only moderate operating performance and financial condition. These factors collectively raise concerns about the stock's current appeal. That said, if you seek upside with lower volatility than individual stocks, the Trefis High Quality portfolio presents an alternative - having outperformed the S&P 500 and generated returns exceeding 91% since its inception. On a separate note, see – Should You Buy CRWV Stock After A Whopping 4x Rise? Going by what you pay per dollar of sales or profit, SOUN stock looks very expensive compared to the broader market. SoundHound AI's Revenues have grown considerably over recent years. SoundHound AI's profit margins are considerably worse than most companies in the Trefis coverage universe. SoundHound AI's balance sheet looks very strong. SOUN stock has fared much worse than the benchmark S&P 500 index during some of the recent downturns. While investors have their fingers crossed for a soft landing by the U.S. economy, how bad can things get if there is another recession? Our dashboard How Low Can Stocks Go During A Market Crash captures how key stocks fared during and after the last six market crashes. In summary, SoundHound AI's performance across the parameters detailed above are as follows: • Growth: Extremely Strong • Profitability: Extremely Weak • Financial Stability: Extremely Strong • Downturn Resilience: Extremely Weak • Overall: Neutral Even though SoundHound AI shows a neutral performance in the areas we analyzed, its extremely high valuation makes the stock unattractive, in our view. Of course, we could be wrong; investors might be willing to pay such a high valuation multiple for SOUN stock given its aggressive revenue growth, supported by its Amelia acquisition. However, the risk at these levels appears high. In fact, we apply risk assessment framework while constructing Trefis High Quality (HQ) Portfolio which, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride as evident in HQ Portfolio performance metrics.
