Is SOUN stock overvalued?

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"Overvalued" is partly a matter of opinion, but the yardsticks investors use are standard. Whether a stock is overvalued depends on what you expect next; these are the numbers investors usually compare.

Below, we lay out SOUN's valuation and growth numbers, compare them with similar companies, and show how analysts see the stock.

The chart below tracks SOUN's daily closing price from May 4, 2026 to Oct. 28, 2026. Over that stretch it is down 53.1%, from $9.47 to $4.44. The high was $9.63 on May 7, 2026. The low was $4.24 on Oct. 26, 2026. Red circles mark weeks when insiders sold shares on the open market. 3 weeks had sales; bigger circles mean more money. No green diamonds appear; no insider bought on the open market in this window.

SOUN share price and insider trades
Daily closing price, May 4, 2026 to Oct 28, 2026 · dots are open-market trades by company insiders (SEC Form 4), one per week
Latest
$4.44
Oct 28, 2026
Change
▼ -53.1%
since May 4, 2026
High
$9.63
May 7, 2026
Low
$4.24
Oct 26, 2026
$4$6$8$10Week of Jun 15, 2026: insiders sold $2.0M on the open market (1 trade)Week of Aug 24, 2026: insiders sold $10K on the open market (1 trade)Week of Sep 14, 2026: insiders sold $1.8M on the open market (2 trades)May 4, 2026Oct 28, 2026JulAugSep
Share price Insider sales: $3.8M in 4 trades Insider buys: noneBigger dot = more money. Hover a dot or the line for details.

SOUN valuation and growth numbers

The table below shows SOUN valuation and growth numbers. Revenue growth (yoy) has the highest value (+54.6%) and Net margin the lowest (-67.5%).

MeasureValue
Market value$77.5M
Price / sales0.38
Revenue growth (yoy)+54.6%
Net margin-67.5
Free cash flow (12 months)$-115,879,000

How analysts see it

Of 15 Wall Street analysts covering SOUN, 12 rate it a buy, 3 a hold and 0 a sell — a consensus of Buy. Ratings are little changed over three months.

Also worth knowing about SOUN

The stock ended Oct. 28, 2026 at $4.44; the five-day change is down 3.7%.

No open-market insider purchases in 90 days, against $1.8 million of sales.

Dilution risk is high (55/100).

Live SOUN data, updated every 30 minutes: SOUN insider trades, ownership and filings →

In Soundhound AI, Inc.'s own words

“Our exceptional Q2 results demonstrate the momentum SoundHound is building, achieving a strong revenue performance, disciplined cost management, and industry-leading platform validation”

— Keyvan Mohajer, CEO and Co-Founder of SoundHound AI · SEC filing

From the company's earnings release filed with the SEC on 2026-08-05 (Form 8-K).

What would change the picture for SOUN

These are the specific events and levels to watch. None of them is a prediction.

  • The Nov. 5, 2026 earnings report (7 days away). Soundhound AI, Inc. beat estimates in 2 of the last 4 quarters (average surprise +5.1%); a miss would break that pattern.
  • An open-market purchase by an insider at Soundhound AI, Inc. There has been none in 90 days; Form 4 filings would show one within two business days of the trade.
  • Analyst ratings: the average score moved from 4.07 to 4.07 over three months. The scale runs from 5 for strong buy to 1 for strong sell. A run of downgrades after earnings usually shows up here first.
  • Price levels: a close above $18.15 would be a new 52-week high. That is 308.8% above the latest close of $4.44. A close below $4.24 would be a new 52-week low. That is 4.5% below the latest close.
  • Growth: revenue rose 54.6% year over year in the quarter ending Jun 2026 (trend: slowing).
  • New shares: dilution risk is high now. A new shelf registration (S-3) or a prospectus supplement (424B) for an offering would raise it.

How SOUN compares with its peers

Over the past month SOUN ranks 4 of 4 in this group (-24.0%); the best was AI (+19.2%) and the weakest SOUN (-24.0%).

A dash in the P/E column means the company lost money over the last 12 months, so it has no P/E.

StockClose1 month3 monthsFrom 52-wk highP/EPrice/salesRevenue growth
SOUN$4.44-24.0%-27.7%-75.5%—0.38+54.6%
PLTR$196.81+5.3%+61.0%-5.9%169.782.12+78.9%
AI$12.33+19.2%+35.9%-31.9%—8.22-37.5%
BBAI$2.46-7.2%-13.1%-65.7%—8.34-1.5%

SOUN history: what happened after similar moves

Since 2023, SOUN fell 24.0% or more in a month 9 times (separate episodes, not counting the current one). Three months later it was higher in 4 of 9 cases; the median change was -8.9%.

Past moves don't predict the next one; they show how volatile the stock has been.

Month endingMove in that month1 month later3 months later
2025-02-20-34.0%-9.6%-13.2%
2025-03-31-25.0%+14.4%+29.1%
2025-11-06-24.6%-10.9%-38.1%
2026-02-04-26.6%0.0%+16.1%
2026-03-26-28.9%+34.7%+5.8%
2026-06-29-25.2%-10.9%-8.9%
The bottom line

Whether a stock is overvalued depends on what you expect next; these are the numbers investors usually compare. SOUN trades at no P/E (the company is not profitable over the last 12 months). It trades at 0.38× sales. Revenue rose +54.6% year over year in the latest quarter, Jun 2026.

Questions people also ask

What is SOUN's 52-week high and low?

Over the past year SOUN closed as high as $18.15 and as low as $4.24. At $4.44 (Oct. 28, 2026) it is down 75.5% from the high and 4.7% above the low. More →

When does Soundhound AI, Inc. report earnings next?

The next report is expected on Nov. 5, 2026, 7 days from now. Soundhound AI, Inc. beat the average estimate in 2 of its last 4 reports. More →

Does SOUN pay a dividend?

Soundhound AI, Inc. reported no dividend payments over the last 12 months in its SEC filings.

Are SOUN insiders buying or selling?

Insiders sold $1.8 million of SOUN on the open market in 90 days and bought none. Sales are often routine (taxes, diversification, pre-planned plans); purchases with their own money are the stronger signal.

Who is the largest shareholder of SOUN?

Among investment managers that file Form 13F, BlackRock Inc. reported the largest SOUN position ($219.9 million). 443 institutions reported holding SOUN for Q2 2026.

Is Soundhound AI, Inc. issuing new shares?

Dilution risk reads high (55/100). That is based on 5 offering-related filing(s) in 12 months.

Dates to watch for SOUN

Insider trades can come any day: they must be filed on Form 4 within two business days.

DateEventWhy it matters
Mon Nov 2, 2026PLTR earningsA read-through for SOUN: results from a peer often move the group.
Thu Nov 5, 2026Soundhound AI, Inc. earningsResults and guidance; the biggest scheduled event for the stock.
Mon Nov 16, 202613F filing deadlineFunds disclose what they held on 2026-09-30, including SOUN.
Fri Nov 20, 2026Monthly options expirationOften heavier trading and bigger swings in widely traded stocks.
Wed Dec 2, 2026AI earningsA read-through for SOUN: results from a peer often move the group.
Wed Dec 9, 2026Federal Reserve rate decisionMarket odds: 19% hold, 1% cut, 80% hike.

Key terms on this page

P/E ratio
Price divided by the last 12 months of earnings per share. A P/E of 20 means investors pay $20 for each $1 of yearly profit. It is only defined when the company is profitable.
Price-to-sales
Market value divided by the last 12 months of revenue. Useful for companies with little or no profit, but it ignores margins.
Form 4
The SEC form a company's officers, directors and 10% owners must file within two business days of buying or selling its stock.
Open-market trade
A purchase or sale on the exchange at the market price, paid with the insider's own money (code P or S on Form 4), as opposed to option exercises, grants or gifts.
Form 13F
A quarterly SEC report listing the U.S. stock holdings of every investment manager with more than $100 million. It is due 45 days after each quarter ends, so it shows positions with a delay.
Dilution
When a company issues new shares, each existing share owns a smaller piece of the company. Common sources: stock offerings, convertible debt and large stock-based pay.
Form 8-K
The SEC form for material events between quarterly reports: earnings releases, deals, executive changes, stock offerings and similar news.

Where these numbers come from

Every number on this page is computed from the data when the page is refreshed (usually daily); nothing is typed in by hand. This is information, not investment advice.

  • Price: daily closing prices through Oct. 28, 2026; changes use 5, 21 and 63 trading days; the 52-week range uses the last 252 closes.
  • Insider trades: SEC Form 4 filings for the last 90 days. The count includes only open-market purchases (code P) and sales (code S). Option exercises, grants, gifts and filings with data errors are left out.
  • Analyst ratings: counts of current ratings from 15 analysts, compared with three months ago.
  • Earnings dates and estimates: a market-data calendar; reported vs expected EPS for the last 4 quarters.
  • Valuation and growth figures include revenue, earnings, margins and share counts from the company's SEC filings (XBRL data, latest quarter Jun 2026). P/E and price/sales use the latest close.
  • Fund ownership: SEC Form 13F filings for Q2 2026.
  • Dilution: share-count changes and offering-related SEC filings (shelf registrations, prospectus supplements, convertible notes) over two years, scored 0-100.
  • History: 21-trading-day moves over about three years of daily closes, counted once per episode.

People and companies connected to SOUN

Public, widely reported roles and business ties as of 2026-10-17.

In the news

Short summaries of recent market headlines about these companies, their leaders and partners; not verified by CapitalSnitch.

Track SOUN insider trades, dilution and 8-K filings as they're filed. CapitalSnitch puts SEC insider trading, 13F fund ownership and Congress trades inside ChatGPT, Claude, Gemini, Grok and Copilot — ask "Are insiders buying SOUN?" and get the answer with links to the filings. Free plan, no card; paid plans from $29/month, with instant alerts on Edge.
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More questions about SOUN

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How this article was made: it was generated from SEC filings and market data with automated tools and is published under Tessa Caldwell's editorial responsibility. Spotted an error? Tell us and we will correct it.

Sources: SEC EDGAR (Form 4, 8-K/6-K, prospectuses, XBRL share counts) and daily closing prices. Insider sales are often routine (taxes, diversification, pre-planned 10b5-1 plans). Not investment advice.

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