Stock Track | SoundHound AI Plunges 12.05% in After-Hours Trading on Mixed Q1 Earnings and Acquisition Concerns

Stock Track
May 08

SoundHound AI Inc (SOUN) shares plummeted 12.05% in after-hours trading on Thursday, following the release of the company's first-quarter 2026 financial results.

The voice-AI company reported revenue of $44.2 million for the March quarter, representing a 52% increase from a year ago and beating analyst expectations of $42.6 million. However, SoundHound's adjusted loss of 6 cents per share came in below expectations for a loss of 4 cents per share. Additionally, the company's adjusted EBITDA loss of $26.7 million significantly missed estimates of a $12 million loss.

Analysts noted that SoundHound's recent acquisition spree has weighed on earnings results, with the company making four acquisitions in the past two years. The wider-than-expected losses overshadowed the strong revenue growth and business developments, including the launch of its new OASYS agentic AI platform and the announced agreement to acquire LivePerson for an equity value of $43 million.

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