SoundHound AI Falls Below $7 Despite Reported Growth

Overview

• Shares trade under $7 and are down about 71% from October highs, reflecting a deep reset in investor appetite for the stock.
• More than 35% of shares are on loan to short sellers, a sign that many traders are betting the price will keep falling.
• Management reported sharp operational gains in 2025, including a doubling of sales, over 100 fourth‑quarter deals, and rollouts in cars, drive‑throughs, and corporate phone menus.
• The company says it carries virtually no debt and holds about $248 million in cash, which suggests near‑term funding needs are limited even as losses draw scrutiny.
• An SEC filing showed NVIDIA fully exited its stake, and a Jim Cramer segment called the shares “a little elevated,” developments that helped fuel sharp swings in sentiment.