TLDR
- SOUN jumped 12.6% on Wednesday, trading as high as $7.94 on volume 59% above average
- A deal with Associated Carrier Group on April 9 to deploy voice AI across smaller telecom networks fueled the move
- Unusual options activity saw ~92,140 call contracts bought, roughly 50% above average daily call volume
- Revenue hit $55.06M last quarter, up 59.4% year-over-year; EPS of -$0.02 met estimates
- The stock remains below its 200-day moving average of $11.25, and insiders sold ~308,000 shares over the past 90 days
SoundHound AI (SOUN) had a strong Wednesday, climbing 12.6% in a single session after a rough start to 2026 that saw the stock drop 31% in Q1. The stock hit an intraday high of $7.94 before settling at $7.85, with over 41 million shares traded â well above the daily average.
The catalyst was a partnership announced April 9 with Associated Carrier Group, which plans to deploy SoundHound’s voice AI platform across a network of smaller telecom operators. The deal targets customer service modernization at mid-sized mobile carriers.
“Customer service and employee experience are two of the biggest opportunities telcos have when it comes to AI transformation,” said Patrick Caustrita, AVP of Enterprise Sales at SoundHound AI.
The announcement came alongside a wave of unusual options activity. Around 92,140 call contracts were purchased â about 50% above average daily call volume â pointing to aggressive bullish positioning ahead of upcoming earnings.
Short-squeeze chatter also circulated among traders, adding momentum fuel to an already active session.
Expanding Into Enterprise
SoundHound is pushing well beyond its consumer roots. Recent enterprise deployments include claims automation for Mexican insurer QuĂĄlitas and a voice assistant rollout at Peet’s Coffee, now live across core U.S. locations and expanding nationally.
As customer inquiries grew more complex, QuĂĄlitas upgraded to SoundHound’s agentic AI to resolve issues automatically and cut the need for human agents. The Peet’s deployment gives store employees real-time operational information via voice.
These moves reflect SoundHound’s broader strategy: embedding its technology into enterprise workflows across insurance, retail, and telecoms.
Revenue Growth, But Still Unprofitable
Last quarter, SoundHound posted revenue of $55.06 million, beating analyst estimates of $53.88 million and marking 59.4% growth year-over-year. EPS came in at -$0.02, in line with expectations.
Full-year 2025 revenue nearly doubled, reaching $169 million. Management has guided 2026 revenue between $225 million and $260 million, betting on enterprise agentic AI adoption to drive the next leg of growth.
For Q1 2026, analysts expect revenue of $42.8 million and a loss per share of $0.10.
Analyst Ratings and Insider Activity
The stock carries a consensus “Moderate Buy” rating, with an average price target of $14.93 â well above current levels. HC Wainwright has a Buy with a $20 target. Piper Sandler holds a Neutral with a $9 target.
Despite the rally, the stock remains below its 200-day moving average of $11.25 and trades at a P/E of -156.97. Insiders sold roughly 307,973 shares over the past 90 days, including CEO Keyvan Mohajer, who sold 124,510 shares at $6.79 on March 20.
SOUN traded over 5% higher in Thursday’s premarket session.
đ¨ Our April Stock Picks Are Live!
A new month means new opportunities. Our analysts have just released their top stock picks for April, highlighting companies with strong momentum that rank highly on our KO Score algorithm. Weâre also now sharing trade ideas for both long-term and short-term investors, giving you more ways to spot potential opportunities in the market.
Sign up to Knockout Stocks today and get 50% off to unlock the full list and see which stocks made the cut.
Use coupon code Special50 for your exclusive discount!
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
