TLDR SoundHound reports Q1 2026 earnings on May 7; analysts expect $42.5M–$42.8M in revenue, up ~46% year over year SOUN stock is down ~18% year to date and 66%TLDR SoundHound reports Q1 2026 earnings on May 7; analysts expect $42.5M–$42.8M in revenue, up ~46% year over year SOUN stock is down ~18% year to date and 66%

SoundHound AI (SOUN) Stock Has a Strong Buy Rating and 75% Upside — Can Earnings Deliver?

2026/04/28 23:17
3 min read
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TLDR

  • SoundHound reports Q1 2026 earnings on May 7; analysts expect $42.5M–$42.8M in revenue, up ~46% year over year
  • SOUN stock is down ~18% year to date and 66% from its December 2024 peak
  • Analysts hold a Strong Buy consensus with an average price target of $14.00, implying ~75% upside
  • SoundHound recently agreed to acquire LivePerson, its largest deal to date
  • Full-year 2026 revenue guidance stands at $225M–$260M; profitability remains a key investor concern

SoundHound AI is heading into its Q1 2026 earnings report on May 7 with Wall Street watching closely. The stock has had a rough start to the year, down about 18%, and analysts want to know if the company’s growth story is still intact.


SOUN Stock Card
SoundHound AI, Inc., SOUN

Analysts expect SoundHound to post revenue of around $42.5 million to $42.8 million for Q1, which would represent roughly 46% growth year over year. That follows a strong Q4 where the company delivered $55.1 million in revenue, a 59% jump.

For the full year, SoundHound is guiding for $225 million to $260 million in revenue. That’s up from a record $168.9 million in 2025, which itself was nearly double the $84.7 million reported in 2024.

Despite that trajectory, the stock hasn’t kept up. SOUN is down about 66% from its December 2024 peak of $22.17. It currently trades around $8.02.

Analysts Stay Bullish Despite the Slide

Wall Street isn’t backing away. According to TipRanks, SOUN carries a Strong Buy consensus rating, based on five Buy ratings and one Hold over the past three months. The average price target sits at $14.00, suggesting upside of roughly 74.5% from current levels.

D.A. Davidson analyst Gil Luria reiterated a Buy rating and a $14 price target following SoundHound’s announcement last week that it plans to acquire LivePerson. He called it the company’s largest acquisition to date and said it could create long-term value, though he flagged integration risks as something investors should monitor.

Wedbush also held its Buy rating with a $12 price target after the deal. The firm highlighted the data angle — the combined company would process tens of billions of customer interactions annually, which Wedbush sees as a meaningful competitive edge.

Valuation and Profitability in Focus

The LivePerson deal joins SoundHound’s existing portfolio, which includes products like Dynamic Drive-Thru, Voice AI for automakers, and the Amelia 7 platform for building custom AI agents.

One sticking point for investors is valuation. SoundHound currently trades at a price-to-sales ratio of around 20, which puts it above most of the Magnificent Seven — except Nvidia. On a forward basis using the midpoint of 2026 guidance, that ratio drops to roughly 14.4.

The Profitability Question

Losses remain a concern. SoundHound posted an adjusted net loss of $53.8 million in 2025, down from $69.1 million in 2024. Progress, but not yet profitable.

Analysts expect a loss per share of $0.10 in Q1 2026, compared to a loss of $0.31 a year ago — a meaningful improvement.

The company ended 2025 with $248 million in cash and no debt, which gives it some runway.

On May 7, investors will be watching revenue, any update to full-year guidance, and any commentary on the LivePerson integration timeline.

The post SoundHound AI (SOUN) Stock Has a Strong Buy Rating and 75% Upside — Can Earnings Deliver? appeared first on CoinCentral.

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