SOUNDHOUND AI INC-A (SOUN) Fundamental Analysis & Valuation

NASDAQ:SOUN • US8361001071

Current stock price

6.55 USD
-0.24 (-3.53%)
At close:
6.5799 USD
+0.03 (+0.46%)
After Hours:

This SOUN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

1

1. SOUN Profitability Analysis

1.1 Basic Checks

  • In the past year SOUN was profitable.
  • In the past year SOUN has reported a negative cash flow from operations.
  • SOUN had negative earnings in each of the past 5 years.
  • SOUN had a negative operating cash flow in each of the past 5 years.
SOUN Yearly Net Income VS EBIT VS OCF VS FCFSOUN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 2025 -100M -200M -300M

1.2 Ratios

  • Looking at the Return On Assets, with a value of -2.01%, SOUN is in line with its industry, outperforming 52.00% of the companies in the same industry.
  • The Return On Equity of SOUN (-2.99%) is comparable to the rest of the industry.
Industry RankSector Rank
ROA -2.01%
ROE -2.99%
ROIC N/A
ROA(3y)-42.03%
ROA(5y)-119%
ROE(3y)-173.61%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
SOUN Yearly ROA, ROE, ROICSOUN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 2025 0 5K 10K

1.3 Margins

  • Looking at the Gross Margin, with a value of 42.36%, SOUN is doing worse than 75.64% of the companies in the same industry.
  • SOUN's Gross Margin has declined in the last couple of years.
  • The Profit Margin and Operating Margin are not available for SOUN so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 42.36%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-15.08%
GM growth 5Y-5.08%
SOUN Yearly Profit, Operating, Gross MarginsSOUN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 2025 0 -200 -400 -600 -800

8

2. SOUN Health Analysis

2.1 Basic Checks

  • SOUN does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • Compared to 1 year ago, SOUN has more shares outstanding
  • SOUN has more shares outstanding than it did 5 years ago.
  • SOUN has a worse debt/assets ratio than last year.
SOUN Yearly Shares OutstandingSOUN Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M
SOUN Yearly Total Debt VS Total AssetsSOUN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M

2.2 Solvency

  • SOUN has an Altman-Z score of 6.31. This indicates that SOUN is financially healthy and has little risk of bankruptcy at the moment.
  • SOUN has a Altman-Z score of 6.31. This is amongst the best in the industry. SOUN outperforms 83.27% of its industry peers.
  • SOUN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Altman-Z 6.31
ROIC/WACCN/A
WACC10.94%
SOUN Yearly LT Debt VS Equity VS FCFSOUN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 2025 0 100M -100M 200M 300M 400M

2.3 Liquidity

  • SOUN has a Current Ratio of 4.59. This indicates that SOUN is financially healthy and has no problem in meeting its short term obligations.
  • SOUN has a better Current ratio (4.59) than 84.00% of its industry peers.
  • SOUN has a Quick Ratio of 4.59. This indicates that SOUN is financially healthy and has no problem in meeting its short term obligations.
  • SOUN has a better Quick ratio (4.59) than 84.00% of its industry peers.
Industry RankSector Rank
Current Ratio 4.59
Quick Ratio 4.59
SOUN Yearly Current Assets VS Current LiabilitesSOUN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M

6

3. SOUN Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 107.53% over the past year.
  • The Revenue has grown by 99.45% in the past year. This is a very strong growth!
  • SOUN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 66.97% yearly.
EPS 1Y (TTM)107.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%97.1%
Revenue 1Y (TTM)99.45%
Revenue growth 3Y75.73%
Revenue growth 5Y66.97%
Sales Q2Q%59.39%

3.2 Future

  • The Earnings Per Share is expected to decrease by -34.57% on average over the next years. This is quite bad
  • The Revenue is expected to grow by 16.43% on average over the next years. This is quite good.
EPS Next Y-213.66%
EPS Next 2Y-55.18%
EPS Next 3Y-34.57%
EPS Next 5YN/A
Revenue Next Year38.89%
Revenue Next 2Y29.11%
Revenue Next 3Y16.43%
Revenue Next 5YN/A

3.3 Evolution

  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
SOUN Yearly Revenue VS EstimatesSOUN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 50M 100M 150M 200M 250M
SOUN Yearly EPS VS EstimatesSOUN Yearly EPS VS EstimatesYearly EPS VS Estimates 2022 2023 2024 2025 2026 2027 2028 0 -0.5 -1

1

4. SOUN Valuation Analysis

4.1 Price/Earnings Ratio

  • SOUN is valuated quite expensively with a Price/Earnings ratio of 93.57.
  • Compared to the rest of the industry, the Price/Earnings ratio of SOUN is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Earnings ratio of 26.91, SOUN is valued quite expensively.
  • The Forward Price/Earnings Ratio is negative for SOUN. No positive earnings are expected for the next year.
Industry RankSector Rank
PE 93.57
Fwd PE N/A
SOUN Price Earnings VS Forward Price EarningsSOUN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 50 -50

4.2 Price Multiples

  • SOUN's Enterprise Value to EBITDA ratio is in line with the industry average.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 241.55
SOUN Per share dataSOUN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 0.2 -0.2 0.4 0.6 0.8 1

4.3 Compensation for Growth

  • SOUN's earnings are expected to decrease with -34.57% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-55.18%
EPS Next 3Y-34.57%

0

5. SOUN Dividend Analysis

5.1 Amount

  • No dividends for SOUN!.
Industry RankSector Rank
Dividend Yield 0%

SOUN Fundamentals: All Metrics, Ratios and Statistics

SOUNDHOUND AI INC-A

NASDAQ:SOUN (4/9/2026, 8:00:14 PM)

After market: 6.5799 +0.03 (+0.46%)

6.55

-0.24 (-3.53%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-26
Earnings (Next)05-06
Inst Owners46.67%
Inst Owner Change-0.01%
Ins Owners0.98%
Ins Owner Change-2.73%
Market Cap2.77B
Revenue(TTM)168.92M
Net Income(TTM)-13.86M
Analysts81.33
Price Target14.92 (127.79%)
Short Float %35.39%
Short Ratio5.18
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.41%
Min EPS beat(2)-24.81%
Max EPS beat(2)14%
EPS beat(4)2
Avg EPS beat(4)84.96%
Min EPS beat(4)-129.26%
Max EPS beat(4)479.9%
EPS beat(8)4
Avg EPS beat(8)-29.45%
EPS beat(12)5
Avg EPS beat(12)-20.66%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.9%
Min Revenue beat(2)-0.02%
Max Revenue beat(2)1.83%
Revenue beat(4)2
Avg Revenue beat(4)5.77%
Min Revenue beat(4)-6%
Max Revenue beat(4)27.26%
Revenue beat(8)6
Avg Revenue beat(8)5.48%
Revenue beat(12)8
Avg Revenue beat(12)3.62%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-10.34%
PT rev (3m)-14.91%
EPS NQ rev (1m)-4.76%
EPS NQ rev (3m)-19.99%
EPS NY rev (1m)0%
EPS NY rev (3m)-4%
Revenue NQ rev (1m)-0.78%
Revenue NQ rev (3m)-6.31%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)-0.32%
Valuation
Industry RankSector Rank
PE 93.57
Fwd PE N/A
P/S 16.39
P/FCF N/A
P/OCF N/A
P/B 5.97
P/tB 17.3
EV/EBITDA 241.55
EPS(TTM)0.07
EY1.07%
EPS(NY)-0.08
Fwd EYN/A
FCF(TTM)-0.24
FCFYN/A
OCF(TTM)-0.23
OCFYN/A
SpS0.4
BVpS1.1
TBVpS0.38
PEG (NY)N/A
PEG (5Y)N/A
Graham Number1.31
Profitability
Industry RankSector Rank
ROA -2.01%
ROE -2.99%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 42.36%
FCFM N/A
ROA(3y)-42.03%
ROA(5y)-119%
ROE(3y)-173.61%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-15.08%
GM growth 5Y-5.08%
F-Score4
Asset Turnover0.25
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Debt/EBITDA 0
Cap/Depr 14.36%
Cap/Sales 2.9%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 4.59
Quick Ratio 4.59
Altman-Z 6.31
F-Score4
WACC10.94%
ROIC/WACCN/A
Cap/Depr(3y)11.77%
Cap/Depr(5y)15.96%
Cap/Sales(3y)1.5%
Cap/Sales(5y)2.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)107.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%97.1%
EPS Next Y-213.66%
EPS Next 2Y-55.18%
EPS Next 3Y-34.57%
EPS Next 5YN/A
Revenue 1Y (TTM)99.45%
Revenue growth 3Y75.73%
Revenue growth 5Y66.97%
Sales Q2Q%59.39%
Revenue Next Year38.89%
Revenue Next 2Y29.11%
Revenue Next 3Y16.43%
Revenue Next 5YN/A
EBIT growth 1Y93.18%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year85.41%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y5.84%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y9.79%
OCF growth 3YN/A
OCF growth 5YN/A

SOUNDHOUND AI INC-A / SOUN Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for SOUNDHOUND AI INC-A?

ChartMill assigns a fundamental rating of 4 / 10 to SOUN.


Can you provide the valuation status for SOUNDHOUND AI INC-A?

ChartMill assigns a valuation rating of 1 / 10 to SOUNDHOUND AI INC-A (SOUN). This can be considered as Overvalued.


What is the profitability of SOUN stock?

SOUNDHOUND AI INC-A (SOUN) has a profitability rating of 1 / 10.


What is the financial health of SOUNDHOUND AI INC-A (SOUN) stock?

The financial health rating of SOUNDHOUND AI INC-A (SOUN) is 8 / 10.