SoundHound AI: Buy or Sell in 2026?

• SoundHound AI's concern is growing, but the banal terms is down 38% successful the past year.

• Management indicated that the institution is moving to little losses successful the upcoming 4th and determination toward profitability.

• 10 stocks we similar amended than SoundHound AI ›

For its size, SoundHound AI (NASDAQ: SOUN) gets a batch of attention. The institution has a marketplace capitalization of lone $4.5 billion, but its mean trading measurement exceeds 21 cardinal shares -- oregon much than doubly the trading measurement of different stocks with akin marketplace caps.

One crushed SoundHound receives attraction is its presumption successful the rapidly increasing artificial quality (AI) space. SoundHound's AI level enables users to prosecute successful conversations with voice-enabled services and applications.

It besides garnered important attraction successful 2024, erstwhile Nvidia disclosed that it had taken a involvement successful the institution during an earlier backstage task round. And adjacent though Nvidia sold that involvement much than a twelvemonth ago, SoundHound inactive gets investors' attention.

Today, SoundHound banal trades astatine astir $11 per share, and the banal terms has decreased by 38% implicit the past year. However, it's rapidly expanding its lawsuit basal to see tech companies, automakers, and restaurants, and has a coagulated currency presumption with nary debt. Should it beryllium portion of your concern portfolio successful 2026?

SoundHound AI has galore applications, including automotive, restaurants, dependable commerce, and a euphony app that identifies music, whether it's being played oregon hummed. SoundHound's customers tin make customized AI-powered dependable assistants to grip incoming calls, embed brand-specific accusation into products, and employment customized dependable AI products. It tin besides beryllium utilized for interior projects, specified arsenic providing employees with dependable entree to manuals and training.

SoundHound's AI level is susceptible of listening, reasoning, and acting, with a median latency of lone 350 milliseconds. And it's built to enactment with each kinds of ample connection models, including those offered by Mistral AI, OpenAI, and Anthropic. The institution presently has much than 400 patents, ensuring its enactment presumption successful dependable AI.

Its halfway automatic code designation (ASR) merchandise is Polaris, which enables greater automation done omnichannel AI-powered ordering -- meaning it tin grip drive-thru kiosks, telephone calls, texts, scans, oregon dependable ordering. "Polaris, successful our view, is different important disruption that widens the spread betwixt america and the contention successful our travel to recognize SoundHound's vision," CEO Keyvan Mohajer said.