Wall Street Analysts Are Bullish on This Artificial Intelligence (AI) Stock. Here's Why I'm Not.
After years of struggle, SoundHound AI (NASDAQ: SOUN) seems to have found its place in the tech industry. As the company settles on becoming a leader in voice recognition software, it has won contracts from various companies and an investment from AI chip leader Nvidia.
Despite those successes, SoundHound faces ongoing losses and significant difficulties on the financial side of the business. Given the severity of those challenges, investors and analysts appear to have taken an overly bullish stance on the SaaS stock.
The company's $1.6 billion market cap makes SoundHound AI a small-cap stock. However, despite its size, companies as varied as Qualcomm, Stellantis, and have contracted with the company.
Source Fool.com