SoundHound AI (NASDAQ:SOUN) Upgraded at Zacks Research

Zacks Research upgraded shares of SoundHound AI (NASDAQ:SOUN) from a strong sell rating to a hold rating in a report issued on Monday,Zacks.com reports.

Other equities research analysts also recently issued reports about the company. Piper Sandler lowered their price target on SoundHound AI from $15.00 to $11.00 and set a “neutral” rating for the company in a report on Monday, January 5th. LADENBURG THALM/SH SH raised SoundHound AI to a “strong-buy” rating in a research report on Thursday, December 18th. DA Davidson set a $14.00 price objective on shares of SoundHound AI in a report on Thursday, January 8th. Cantor Fitzgerald upgraded SoundHound AI from a “neutral” rating to an “overweight” rating and upped their price objective for the stock from $13.00 to $15.00 in a research report on Friday, December 12th. Finally, HC Wainwright lifted their target price on shares of SoundHound AI from $18.00 to $26.00 and gave the stock a “buy” rating in a research report on Thursday, October 16th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, SoundHound AI currently has an average rating of “Moderate Buy” and a consensus target price of $16.07.

SoundHound AI Trading Down 3.5%

Shares of NASDAQ:SOUN opened at $7.96 on Monday. SoundHound AI has a 1-year low of $6.52 and a 1-year high of $22.17. The stock has a market capitalization of $3.34 billion, a P/E ratio of -9.48 and a beta of 2.64. The business has a 50-day moving average price of $10.50 and a two-hundred day moving average price of $13.23.

Insider Activity at SoundHound AI

In other SoundHound AI news, insider James Ming Hom sold 42,600 shares of the firm’s stock in a transaction dated Monday, December 22nd. The stock was sold at an average price of $11.28, for a total transaction of $480,528.00. Following the sale, the insider owned 803,383 shares in the company, valued at $9,062,160.24. This trade represents a 5.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Keyvan Mohajer sold 144,326 shares of SoundHound AI stock in a transaction that occurred on Monday, December 22nd. The stock was sold at an average price of $11.28, for a total value of $1,627,997.28. Following the completion of the transaction, the chief executive officer directly owned 2,198,287 shares in the company, valued at $24,796,677.36. This trade represents a 6.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 460,922 shares of company stock valued at $5,199,073 in the last ninety days. Insiders own 9.17% of the company’s stock.

Institutional Investors Weigh In On SoundHound AI

A number of institutional investors and hedge funds have recently added to or reduced their stakes in SOUN. Vanguard Group Inc. boosted its holdings in shares of SoundHound AI by 16.4% during the 3rd quarter. Vanguard Group Inc. now owns 43,457,569 shares of the company’s stock valued at $698,798,000 after purchasing an additional 6,132,648 shares during the last quarter. UBS Group AG boosted its stake in shares of SoundHound AI by 77.6% during the fourth quarter. UBS Group AG now owns 6,124,283 shares of the company’s stock valued at $61,059,000 after purchasing an additional 2,676,707 shares during the period. Jump Financial LLC bought a new stake in shares of SoundHound AI during the third quarter valued at approximately $21,679,000. HRT Financial LP bought a new position in shares of SoundHound AI during the 2nd quarter worth $11,914,000. Finally, Goldman Sachs Group Inc. lifted its stake in shares of SoundHound AI by 69.8% during the 1st quarter. Goldman Sachs Group Inc. now owns 2,639,689 shares of the company’s stock worth $21,434,000 after purchasing an additional 1,085,473 shares during the last quarter. Institutional investors own 19.28% of the company’s stock.

Key Stories Impacting SoundHound AI

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

• Positive Sentiment: Zacks upgraded SOUN from “strong sell” to “hold”, reducing near‑term downside pressure from sell‑side sentiment. Zacks
• Positive Sentiment: Press and analysis highlight product traction — coverage notes a restaurant voice rollout and a Bridgepointe deal that could support future revenue if adoption scales. Yahoo Finance
• Positive Sentiment: Several sell‑side firms still carry buy/overweight ratings and a median price target (~$16), indicating upside exists if execution and growth meet expectations. QuiverQuant
• Neutral Sentiment: SoundHound scheduled its Q4 and full‑year 2025 results for Feb. 26 (post‑market) with a management call — a near‑term catalyst that could drive volatility around guidance and margin commentary. GlobeNewswire
• Neutral Sentiment: Investor interest is elevated (high search/traffic on Zacks), which can amplify moves but does not by itself predict direction. Zacks
• Neutral Sentiment: Valuation checks and analyst writeups note mixed short‑ vs long‑term returns; these pieces frame investor debate but stop short of new fundamental data. Yahoo Finance
• Negative Sentiment: Zacks flagged that SOUN has dropped ~29% over the past month, highlighting underperformance vs. peers and placing the stock near its 52‑week low — a clear bearish signal for momentum traders. Zacks
• Negative Sentiment: Seeking Alpha argues the stock remains overvalued given unprofitability, aggressive growth assumptions, and patent/competitive risk — a narrative that could keep value‑oriented investors sidelined. Seeking Alpha
• Negative Sentiment: Insider selling has been heavy recently (multiple executive sales reported), which markets often view as a negative signal about insider conviction. QuiverQuant

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.