Brokers Offer Predictions for SoundHound AI Q3 Earnings

SoundHound AI, Inc. (NASDAQ:SOUN) – Research analysts at Northland Securities lifted their Q3 2026 earnings estimates for SoundHound AI in a report issued on Thursday, August 6th. Northland Securities analyst M. Latimore now expects that the company will post earnings per share of ($0.11) for the quarter, up from their prior forecast of ($0.12). The consensus estimate for SoundHound AI’s current full-year earnings is ($0.36) per share. Northland Securities also issued estimates for SoundHound AI’s Q4 2026 earnings at ($0.11) EPS, FY2026 earnings at ($0.38) EPS, Q1 2027 earnings at ($0.10) EPS, Q2 2027 earnings at ($0.09) EPS, Q3 2027 earnings at ($0.08) EPS, Q4 2027 earnings at ($0.06) EPS and FY2027 earnings at ($0.32) EPS.

Other analysts have also issued research reports about the stock. DA Davidson dropped their price objective on shares of SoundHound AI from $12.00 to $10.00 and set a “buy” rating for the company in a report on Thursday, August 6th. Weiss Ratings reissued a “sell (e+)” rating on shares of SoundHound AI in a research note on Monday, June 15th. LADENBURG THALM/SH SH upgraded SoundHound AI to a “strong-buy” rating in a report on Wednesday, May 6th. Finally, Piper Sandler lowered their target price on SoundHound AI from $8.00 to $7.00 and set a “neutral” rating for the company in a research note on Thursday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $13.60.

SoundHound AI Stock Performance

Shares of NASDAQ SOUN opened at $7.40 on Thursday. SoundHound AI has a 52-week low of $5.65 and a 52-week high of $22.17. The business has a fifty day moving average of $6.72 and a two-hundred day moving average of $7.51. The stock has a market cap of $3.20 billion, a PE ratio of -19.47 and a beta of 2.64.

SoundHound AI (NASDAQ:SOUN) last issued its earnings results on Wednesday, August 5th. The company reported ($0.02) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.13) by $0.11. The business had revenue of $61.90 million during the quarter, compared to analysts’ expectations of $52.38 million. SoundHound AI had a negative return on equity of 31.06% and a negative net margin of 67.45%.SoundHound AI’s quarterly revenue was up 45.0% compared to the same quarter last year. During the same period in the prior year, the firm posted ($0.19) EPS.

Insider Activity

In other SoundHound AI news, SVP Majid Emami sold 28,843 shares of the stock in a transaction on Monday, June 15th. The stock was sold at an average price of $7.46, for a total value of $215,168.78. Following the transaction, the senior vice president directly owned 472,983 shares in the company, valued at approximately $3,528,453.18. This trade represents a 5.75% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider James Ming Hom sold 28,843 shares of the business’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $7.46, for a total value of $215,168.78. Following the sale, the insider owned 743,521 shares of the company’s stock, valued at approximately $5,546,666.66. The trade was a 3.73% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 268,022 shares of company stock worth $1,999,444. 8.84% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Vanguard Group Inc. lifted its stake in SoundHound AI by 4.4% in the fourth quarter. Vanguard Group Inc. now owns 45,367,437 shares of the company’s stock valued at $452,313,000 after buying an additional 1,909,868 shares during the period. Rakuten Securities Inc. raised its position in shares of SoundHound AI by 877.9% in the 4th quarter. Rakuten Securities Inc. now owns 333,605 shares of the company’s stock valued at $3,326,000 after acquiring an additional 299,492 shares during the period. UBS Group AG raised its position in shares of SoundHound AI by 77.6% in the 4th quarter. UBS Group AG now owns 6,124,283 shares of the company’s stock valued at $61,059,000 after acquiring an additional 2,676,707 shares during the period. California State Teachers Retirement System boosted its stake in SoundHound AI by 25.0% during the 1st quarter. California State Teachers Retirement System now owns 440,023 shares of the company’s stock worth $3,023,000 after acquiring an additional 87,998 shares during the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. boosted its stake in SoundHound AI by 140.5% during the 4th quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 266,576 shares of the company’s stock worth $2,826,000 after acquiring an additional 155,743 shares during the last quarter. 19.28% of the stock is currently owned by institutional investors.

Key Headlines Impacting SoundHound AI

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

• Positive Sentiment: LivePerson merger approval gains support: Institutional Shareholder Services (ISS) recommended that LivePerson shareholders vote in favor of SoundHound AI’s proposed acquisition, joining Glass Lewis and LivePerson’s board. The shareholder vote is scheduled for August 20, which could reduce a key transaction risk and expand SoundHound’s conversational-AI capabilities if approved. ISS recommends approval of SoundHound AI transaction
• Positive Sentiment: OASYS could support enterprise growth: SoundHound’s OASYS platform is designed to help businesses build voice-enabled AI agents. Reports say it has helped shorten sales cycles, move prospects from demonstrations to contracts more quickly, and convert pilot programs into larger implementations. The company has also raised its 2026 revenue outlook, while management and analysts see additional growth potential in 2027. OASYS enterprise growth analysis
• Positive Sentiment: Analyst target implies substantial upside: The consensus price target indicates approximately 56.1% potential upside for SOUN. However, the report cautions that price targets alone have limited predictive value; improving earnings-estimate revisions would provide a more meaningful bullish signal. SoundHound AI analyst price target
• Neutral Sentiment: Reported short-interest data showed zero shares sold short, but the figures appear inconsistent and provide no meaningful evidence of short-squeeze potential.
• Negative Sentiment: Despite improving revenue and growth prospects, SoundHound AI continues to report losses and negative margins. The pending LivePerson acquisition also carries execution and integration risk, while the stock’s high volatility makes the bullish forecasts speculative.

About SoundHound AI

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.