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Will SoundHound Stock Gain From AI Recognition and Rankings?

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Key Takeaways

  • SOUN posted Q3 2025 revenue of $42M, up 68% YoY, driven by broad AI adoption across key industries.
  • Management raised the 2025 revenue outlook to $165-$180M, citing strong enterprise contract momentum.
  • SOUN was named a leader in IDC and Everest Group AI rankings, supporting enterprise buyer confidence.

SoundHound AI, Inc. (SOUN - Free Report) has been drawing increased investor attention as its technology and execution gain external validation through industry recognition, rankings and expanding partnerships. The company’s momentum is increasingly tied to whether this recognition can translate into durable revenue growth and improving operating leverage.

SoundHound’s recent financial performance suggests that industry validation is reinforcing commercial traction. Third-quarter 2025 revenue climbed 68% year over year to $42 million, supported by broad-based demand across automotive, restaurants, financial services and enterprise AI deployments. Management had raised its 2025 outlook to $165–$180 million, reflecting stronger-than-expected adoption of its conversational and agentic AI offerings and a growing backlog of enterprise contracts. Importantly, the company exited the third quarter with $269 million in cash and no debt, giving it balance-sheet flexibility to invest aggressively in growth initiatives.

Recognition from third-party industry groups has also strengthened SoundHound’s positioning. The company was named a leader in IDC MarketScape for worldwide general-purpose conversational AI platforms and in Everest Group’s PEAK Matrix for conversational AI and customer experience products. These rankings matter because they influence enterprise buying decisions, particularly in regulated industries such as financial services, insurance and healthcare, where vendor credibility and scalability are critical.

At CES 2026, SoundHound showcased its expanding agentic voice commerce ecosystem, including in-vehicle reservations, parking payments and multi-agent navigation. Partnerships with OpenTable, Parkopedia and TomTom highlight how recognition of its agentic platform is enabling deeper integrations and monetization opportunities across vehicles, TVs and smart devices.

Overall, rising AI rankings and visibility appear to be reinforcing customer confidence and accelerating adoption. While profitability remains a work in progress, SoundHound’s growing recognition, diversified end markets and strong liquidity position suggest that continued validation could remain a meaningful catalyst for the stock.

How Competitors Frame the AI Recognition Race

Two competitors most relevant to SoundHound in the context of AI recognition, rankings and enterprise adoption are Cerence Inc. (CRNC - Free Report) and Amazon.com, Inc. (AMZN - Free Report) .

Cerence remains deeply entrenched in automotive voice assistants, with long-standing OEM relationships that give it scale and incumbency advantages. The company continues to position itself as a specialist in in-car voice experiences, and Cerence frequently highlights accuracy, multilingual support and embedded deployments as core strengths. However, Cerence’s growth profile has been uneven, and it is still working to reaccelerate innovation as agentic AI reshapes expectations around in-vehicle intelligence.

Amazon approaches the space from a different angle through Alexa and AWS-powered AI services. The company benefits from unmatched cloud scale and developer reach, allowing Amazon to push voice AI across homes, vehicles and enterprise endpoints. Yet Amazon’s voice ecosystem is largely consumer-centric, and Amazon has been slower to tailor deeply customized, enterprise-grade agentic solutions.

Against Cerence and Amazon, SoundHound’s independent, enterprise-first positioning and growing industry recognition help differentiate its long-term opportunity.

SOUN’s Price Performance, Valuation and Estimates

SoundHound shares have lost 25.3% in the past six months compared with the Zacks Computers - IT Services industry’s 15.6% decline. SOUN stock has also lagged the broader Computer and Technology sector, as shown below.

SOUN's Price Performance

Zacks Investment Research
Image Source: Zacks Investment Research

In terms of its forward 12-month price-to-sales ratio, SOUN is trading at 14.31, up from the industry’s 13.92.

SOUN's Valuation

Zacks Investment Research
Image Source: Zacks Investment Research

Over the past 60 days, the Zacks Consensus Estimate for SOUN’s 2026 loss per share has widened to 6 cents from 5 cents. Yet, the estimated figure indicates an improvement from the year-ago estimated loss of 15 cents per share.
 

Zacks Investment Research
Image Source: Zacks Investment Research

SOUN currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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