SoundHound AI (NASDAQ:SOUN) Shares Up 3.2% – Here’s Why

SoundHound AI, Inc. (NASDAQ:SOUN)’s stock price rose 3.2% on Thursday . The stock traded as high as $8.00 and last traded at $7.96. Approximately 19,998,062 shares were traded during trading, a decline of 25% from the average daily volume of 26,497,627 shares. The stock had previously closed at $7.71.

Key Headlines Impacting SoundHound AI

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

• Positive Sentiment: Intraday jump tied to broader voice-AI enthusiasm and “coattail” effects from Twilio-related news, which sent momentum into the voice/conversational AI group and helped lift SOUN. Why SoundHound AI Stock Jumped 17% Today
• Positive Sentiment: Unusually large options flow: traders bought ~145,384 call contracts (about +115% vs. normal), signaling aggressive bullish positioning that can amplify intraday moves and volume. (reported 5/1/2026)
• Positive Sentiment: Fundamental catalyst: Casey’s expanded rollout now covers >2,600 stores and 21M guest interactions for SoundHound’s ordering agents, and investors are watching the planned LivePerson acquisition and upcoming Q1 results — all potential drivers of faster revenue scale and deeper enterprise embedding. The Bull Case For SoundHound AI (SOUN) Could Change Following Expanded Casey’s Rollout And LivePerson Deal
• Positive Sentiment: Analyst/market optimism: coverage highlighting SOUN as a high-upside AI pick if its software expands into more industries adds to the bullish narrative and investor interest. 1 Genius AI Stock That Wall Street Thinks Could Double Your Money Within a Year
• Neutral Sentiment: Monthly performance context: a roundup comparing SoundHound with peers (Palantir, C3.ai) shows surprising April results for the AI cohort — useful context but not an immediate catalyst on its own. SoundHound, Palantir, or C3.ai: Which AI Stock Won April? The Answer Will Surprise You

Analyst Ratings Changes

SOUN has been the topic of several research analyst reports. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of SoundHound AI in a research note on Friday, January 9th. Piper Sandler reaffirmed a “neutral” rating and set a $9.00 target price (down from $11.00) on shares of SoundHound AI in a research note on Friday, February 27th. DA Davidson reaffirmed a “buy” rating and set a $14.00 target price on shares of SoundHound AI in a research note on Wednesday, April 22nd. Zacks Research raised SoundHound AI from a “strong sell” rating to a “hold” rating in a research note on Monday, February 9th. Finally, HC Wainwright lowered their target price on SoundHound AI from $26.00 to $20.00 and set a “buy” rating on the stock in a research note on Monday, March 2nd. One equities 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 given a Sell rating to the company. According to data from MarketBeat.com, SoundHound AI currently has a consensus rating of “Moderate Buy” and an average target price of $14.93.

SoundHound AI Trading Up 20.1%

The firm has a market capitalization of $4.04 billion, a price-to-earnings ratio of -191.16 and a beta of 2.58. The company has a fifty day moving average price of $7.49 and a 200-day moving average price of $10.55.

SoundHound AI (NASDAQ:SOUN) last announced its quarterly earnings results on Thursday, February 26th. The company reported ($0.02) earnings per share (EPS) for the quarter, meeting the consensus estimate of ($0.02). The business had revenue of $55.06 million during the quarter, compared to analyst estimates of $53.88 million. SoundHound AI had a negative return on equity of 3.63% and a negative net margin of 8.71%.The firm’s revenue was up 59.4% on a year-over-year basis. During the same period in the previous year, the company earned ($0.05) EPS. As a group, sell-side analysts predict that SoundHound AI, Inc. will post -0.34 EPS for the current fiscal year.

Insider Buying and Selling at SoundHound AI

In other news, COO Michael Zagorsek sold 52,968 shares of SoundHound AI stock in a transaction dated Friday, March 20th. The stock was sold at an average price of $6.79, for a total transaction of $359,652.72. Following the completion of the sale, the chief operating officer directly owned 1,734,491 shares in the company, valued at $11,777,193.89. The trade was a 2.96% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider James Ming Hom sold 31,019 shares of SoundHound AI stock in a transaction dated Friday, March 20th. The shares were sold at an average price of $6.79, for a total value of $210,619.01. Following the sale, the insider owned 772,364 shares of the company’s stock, valued at approximately $5,244,351.56. This represents a 3.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 307,973 shares of company stock worth $2,091,110 over the last quarter. Insiders own 8.84% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

Several institutional investors have recently made changes to their positions in the company. Northwestern Mutual Wealth Management Co. lifted its holdings in SoundHound AI by 83.1% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,336 shares of the company’s stock worth $25,000 after purchasing an additional 1,060 shares during the last quarter. Dogwood Wealth Management LLC lifted its holdings in SoundHound AI by 152.1% in the 4th quarter. Dogwood Wealth Management LLC now owns 2,559 shares of the company’s stock worth $26,000 after purchasing an additional 1,544 shares during the last quarter. Danske Bank A S acquired a new stake in SoundHound AI in the 3rd quarter worth approximately $26,000. SHP Wealth Management acquired a new stake in SoundHound AI in the 4th quarter worth approximately $27,000. Finally, Financial Consulate Inc. acquired a new stake in SoundHound AI in the 3rd quarter worth approximately $32,000. 19.28% of the stock is currently owned by institutional investors and hedge funds.

SoundHound AI Company Profile

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.