SoundHound AI stock climbs 4% as analysts diverge

SoundHound AI’s shares rose about 4% in mid‑day trading, reaching $6.56 after touching $6.60. Trading volume jumped 37% above its average, with roughly 38 million shares changing hands.

Analyst sentiment is mixed. Eight brokerages have issued a total of 11 ratings – five strong‑buy, three buy, one hold and one sell – giving the stock an average brokerage recommendation of 1.75 on a five‑point scale. Recent commentary includes a “sell” rating from Weiss Ratings, a “buy” rating with a $14 target from D.A. Davidson, and a “strong‑buy” upgrade from Ländberg Thalm. The consensus rating on MarketBeat lists a moderate‑buy stance and an average price target of $14.93.

Financially, SoundHound AI reported a loss of $0.06 per share for the most recent quarter, missing the consensus estimate by $0.01. Revenue grew 51.7% year‑over‑year to $44.2 million, but the company posted a negative net margin of 91.84% and a negative return on equity of 40.15%. Zacks Research notes the company’s Zacks Consensus Estimate for the current year remains unchanged at –$0.18 per share. The stock’s market cap stands at about $2.8 billion, with a P/E ratio of –13.94 and a beta of 2.62.