Reviewing SoundHound AI (NASDAQ:SOUN) & Docebo (NASDAQ:DCBO)

Docebo (NASDAQ:DCBO) and SoundHound AI (NASDAQ:SOUN) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, valuation, dividends, profitability, institutional ownership, earnings and analyst recommendations.

Insider & Institutional Ownership

53.2% of Docebo shares are held by institutional investors. Comparatively, 19.3% of SoundHound AI shares are held by institutional investors. 8.8% of SoundHound AI shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Docebo and SoundHound AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Docebo	12.98%	120.29%	16.26%
SoundHound AI	-67.45%	-30.22%	-20.28%

Valuation and Earnings

This table compares Docebo and SoundHound AI”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Docebo	$242.69 million	2.81	$37.51 million	$1.14	23.87
SoundHound AI	$168.92 million	12.26	-$14.01 million	($0.38)	-12.28

Docebo has higher revenue and earnings than SoundHound AI. SoundHound AI is trading at a lower price-to-earnings ratio than Docebo, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Docebo has a beta of 1.22, suggesting that its stock price is 22% more volatile than the S&P 500. Comparatively, SoundHound AI has a beta of 2.73, suggesting that its stock price is 173% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations and price targets for Docebo and SoundHound AI, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Docebo	0	4	10	1	2.80
SoundHound AI	1	2	3	1	2.57

Docebo currently has a consensus price target of $30.18, suggesting a potential upside of 10.92%. SoundHound AI has a consensus price target of $12.75, suggesting a potential upside of 173.31%. Given SoundHound AI’s higher possible upside, analysts clearly believe SoundHound AI is more favorable than Docebo.

Summary

Docebo beats SoundHound AI on 10 of the 14 factors compared between the two stocks.

About Docebo

Docebo Inc. operates as a learning management software company that provides artificial intelligence (AI)-powered learning platform in North America and internationally. It offers Learning Management System (LMS) to train internal and external workforces, partners, and customers. The company's cloud platform consists of a learning suite, which includes Docebo Learn LMS, a cloud-based learning platform that allows learning administrators to deliver personalized learning; Docebo Shape, an AI-based learning content creation tool, which enables learning administrators to turn internal and external resources into engaging, multilingual, and microlearning content to share across the business; Docebo Content that allows off-the-shelf learning content by partnering content specialist; Docebo Learning Impact, a learning measurement tool that enables administrators to prove and improve training programs; Docebo Learn Data, which gives a comprehensive view on learning data to business results; Docebo Connect that connects Docebo to custom tech stack and making integrations; and Docebo Flow that allows businesses to directly inject learning into the flow of work. It also offers Docebo for Salesforce, a native integration that leverages Salesforce's application programming interface and technology architecture to produce a learning experience; Docebo Embed that allows original equipment manufacturers to embed and re-sell Docebo as a part of their software; Docebo Mobile App Publisher product that allows companies to create and publish own branded version of Docebo Go.Learn mobile learning applications; Docebo Extended Enterprise which breeds customer education, partner enablement, and retention; Docebo Discover, Coach & Share that enhances the learning experience to create a culture of social learning; and Docebo for Microsoft Teams, that brings learning directly into Microsoft Teams. The company was founded in 2005 and is headquartered in Toronto, Canada.

About SoundHound AI

SoundHound AI, Inc. develops independent voice artificial intelligence (AI) solutions that enables businesses across automotive, TV, and IoT, and to customer service industries to deliver high-quality conversational experiences to their customers. Its products include Houndify platform that offers a suite of Houndify tools to help brands build conversational voice assistants, such as Application Programming Interfaces (API) for text and voice queries, support for custom commands, extensive library of content domains, inclusive software development kit platforms, collaboration capabilities, diagnostic tools, and built-in analytics; SoundHound Chat AI that integrates with knowledge domains, pulling real-time data like weather, sports, stocks, flight status, and restaurants; and SoundHound Smart Answering is built to offer customer establishments custom AI-powered voice assistant. The company's products also include CaiNET software that uses machine learning to enhance how domains work together to handle queries; CaiLAN software that arbitrates responses so users get answers from the right domain; Dynamic Interaction a real-time, multimodal customer service interface; Smart Ordering which offers an easy-to-understand voice assistant for restaurants; Employee Assist; automatic speech recognition; natural language understanding; wake words; custom domains; text-to-speech; and embedded voice solutions. The company was founded in 2005 and is headquartered in Santa Clara, California.