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Here's Why SoundHound AI, Inc. (SOUN) Gained But Lagged the Market Today

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The latest trading session saw SoundHound AI, Inc. (SOUN - Free Report) ending at $1.88, denoting a +0.27% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.57%. Elsewhere, the Dow gained 0.46%, while the tech-heavy Nasdaq added 0.75%.

The company's shares have seen a decrease of 5.08% over the last month, not keeping up with the Computer and Technology sector's gain of 1.51% and the S&P 500's gain of 3.4%.

The investment community will be closely monitoring the performance of SoundHound AI, Inc. in its forthcoming earnings report. The company's upcoming EPS is projected at -$0.06, signifying a 60% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $17.9 million, up 88.45% from the prior-year quarter.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for SoundHound AI, Inc. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. SoundHound AI, Inc. is currently sporting a Zacks Rank of #3 (Hold).

The Computers - IT Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 51, positioning it in the top 21% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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