Marvell and SoundHound: AI Growth Potential
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Should l Buy SOUN?
Source: NASDAQ.COM
- Marvell Revenue Growth: Marvell's revenue increased by 22% year-over-year in Q4 of fiscal 2026, driven by strong demand in its data center business, which accounts for 74% of its revenue, with expectations for continued acceleration in the coming quarters.
- Margin Expansion: The company's non-GAAP operating margin improved by 640 basis points year-over-year in the last quarter due to an enhanced product mix, indicating a steady rise in profitability alongside growing demand for its data center components.
- SoundHound Market Outlook: Despite a more than 20% decline in SoundHound's stock this year, the company signed over 100 contracts in Q4 2025, and its revenue doubled to $169 million, suggesting sustained growth driven by customer productivity gains.
- AI Market Potential: The conversational AI market is forecasted to grow nearly fourfold between 2024 and 2030, reaching $41 billion in annual revenue, positioning SoundHound to potentially outperform market growth expectations and emerge as a long-term winner.
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Analyst Views on SOUN
Wall Street analysts forecast SOUN stock price to rise
7 Analyst Rating
5 Buy
2 Hold
0 Sell
Moderate Buy
Current: 7.820
Low
11.00
Averages
16.60
High
26.00
Current: 7.820
Low
11.00
Averages
16.60
High
26.00
About SOUN
SoundHound AI, Inc. is engaged in conversational intelligence, offering voice and conversational artificial intelligence (AI) solutions that let businesses offer experiences to their customers. Through its proprietary technology, its voice AI delivers speed and accuracy in numerous languages to product creators and service providers across retail, financial services, healthcare, automotive, smart devices, and restaurants via AI-driven products, such as Smart Answering, Smart Ordering, Dynamic Drive Thru, and Amelia AI Agents. Along with SoundHound Chat AI, a voice assistant with integrated Generative AI, it powers various products and services, and processes billions of interactions each year for businesses. Its developer platform, Houndify, is an open-access platform that allows developers to leverage its Voice AI technology and a library of over 100 content domains, including commonly used domains for points of interest, weather, flight status, sports and more.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
SoundHound's LivePerson Acquisition Boosts Stock Price
- Stock Performance: SOUN stock surged 26% this week, marking its best performance since August 2025, reflecting market optimism surrounding its acquisition of LivePerson, which is expected to enhance the company's competitive edge in customer interactions.
- Acquisition Details: SoundHound announced the acquisition of LivePerson for $43 million, a deal anticipated to create a strong foundation for annual customer interactions, with analysts expecting it to drive future revenue growth.
- Revenue Projections: SoundHound projects revenues of $350 million to $400 million by 2027, with at least $100 million expected from LivePerson's existing customer base, highlighting the strategic value of the acquisition.
- Partnership Expansion: SoundHound also announced the renewal and expansion of its long-standing partnership with Casey's, the third-largest convenience retailer in the U.S., planning to deploy its services in 2,600 stores, further enhancing market penetration.
See More
SoundHound AI Faces Market Confidence Challenge
- Market Confidence Lacking: While SoundHound AI may have unlocked a larger path for scaling, the market remains skeptical about its execution capabilities, leading to cautious investor expectations for future growth.
- Competitive Analysis: Compared to industry giants like Nvidia and Intel, SoundHound AI is perceived as lacking sufficient market appeal, failing to make it onto The Motley Fool's list of top stocks, indicating a weaker position in investors' minds.
- Historical Review: Looking back, Netflix and Nvidia saw investment returns of 500,572% and 1,223,900% respectively when recommended, while SoundHound AI's performance has not reached similar investment attractiveness, reflecting potential market risks.
- Investor Advisory: Despite the strong past performance of stocks recommended by The Motley Fool, SoundHound AI was not included, prompting investors to carefully assess its future growth potential and market competitiveness before investing.
See More
SoundHound AI Faces Growth Slowdown and Challenges
- Revenue Growth Slowdown: SoundHound AI's revenue is projected to rise from $31 million in 2022 to $169 million by 2025, but this growth is largely driven by acquisitions rather than organic expansion, raising concerns about the sustainability of its growth trajectory.
- Declining Gross Margin: The integration of lower-margin acquisitions has led to a drop in SoundHound's gross margin from 69% in 2022 to 42% in 2025, which not only impacts profitability but may also weaken investor confidence in its future performance.
- EBITDA Improvement: Despite facing challenges, SoundHound's adjusted EBITDA improved from negative $73 million in 2022 to negative $58 million in 2025, indicating efforts to narrow losses by reducing cloud infrastructure costs and increasing the share of higher-margin revenues.
- Market Valuation Pressure: With a market cap of $3.3 billion and a sales multiple of 14 times, SoundHound's stock appears pricey, and the lack of insider buying over the past three months could exacerbate investor concerns regarding its growth potential.
See More
Analysis of SoundHound AI's Future Growth Prospects
- Revenue Growth Through Acquisitions: SoundHound AI's revenue is projected to rise from $31 million in 2022 to $169 million by 2025, although much of this growth is driven by acquisitions rather than organic expansion, indicating challenges in market competitiveness.
- Declining Gross Margins: The integration of lower-margin businesses and intense competition from larger firms are expected to reduce SoundHound's gross margin from 69% in 2022 to 42% in 2025, which will impact its profitability and market appeal.
- EBITDA Improvement: Despite facing challenges, SoundHound's adjusted EBITDA is expected to improve from negative $73 million in 2022 to negative $58 million in 2025, reflecting the company's efforts in cost control and optimizing its revenue mix.
- Uncertain Market Outlook: Analysts anticipate SoundHound's revenue to grow at a 16% CAGR from 2025 to 2028, but with fewer enterprise customers and acquisitions, its growth may decelerate, leading to a pessimistic outlook for future market performance.
See More
SoundHoundAI Acquires LivePerson to Expand Business Reach
- Acquisition Agreement: SoundHoundAI has entered into a definitive agreement to acquire LivePerson for $43 million in equity, and while investors reacted tepidly to the news, management believes this move will significantly boost revenue.
- Revenue Potential: By integrating LivePerson's AI messaging solutions, SoundHound expects to generate $500 million in cross-selling revenue, a substantial increase from its nearly $169 million revenue reported in 2025, indicating strong market expansion potential.
- Wide Industry Applications: LivePerson's technology provides services in finance, including loan applications and pre-approvals, and has extensive applications in healthcare, automotive, retail, and travel, enhancing SoundHound's competitive edge in the market.
- Investor Concerns: Despite the potential for long-term gains from the acquisition, investors are worried about SoundHound's unprofitability and the payment method for the acquisition, raising concerns about the return on investment and the time required to validate integration success.
See More
SoundHound Unlocks Potential Growth Path
- Market Confidence Challenge: While SoundHound may have unlocked a larger path for expansion, the market's confidence in its execution remains low, leading to stock price volatility that reflects investor caution regarding future growth.
- Need for Execution Improvement: Should SoundHound achieve significant improvements in execution moving forward, the market's perception of its growth potential could fundamentally shift, driving stock price increases and attracting more investor interest.
- Stock Price Volatility Analysis: As of April 17, 2026, SoundHound's stock performance indicates market uncertainty about its future development, prompting investors to closely monitor the company's progress in executing its strategic initiatives.
- Strategic Implications of Growth Outlook: The potential growth path for SoundHound not only pertains to the company's market performance but could also influence the competitive landscape of the entire industry, necessitating investor assessment of its adaptability to technological innovation and changing market demands.
See More
SoundHound's LivePerson Acquisition Boosts Stock Price
- Stock Performance: SOUN stock surged 26% this week, marking its best performance since August 2025, reflecting market optimism surrounding its acquisition of LivePerson, which is expected to enhance the company's competitive edge in customer interactions.
- Acquisition Details: SoundHound announced the acquisition of LivePerson for $43 million, a deal anticipated to create a strong foundation for annual customer interactions, with analysts expecting it to drive future revenue growth.
- Revenue Projections: SoundHound projects revenues of $350 million to $400 million by 2027, with at least $100 million expected from LivePerson's existing customer base, highlighting the strategic value of the acquisition.
- Partnership Expansion: SoundHound also announced the renewal and expansion of its long-standing partnership with Casey's, the third-largest convenience retailer in the U.S., planning to deploy its services in 2,600 stores, further enhancing market penetration.
See More
SoundHound AI Faces Market Confidence Challenge
- Market Confidence Lacking: While SoundHound AI may have unlocked a larger path for scaling, the market remains skeptical about its execution capabilities, leading to cautious investor expectations for future growth.
- Competitive Analysis: Compared to industry giants like Nvidia and Intel, SoundHound AI is perceived as lacking sufficient market appeal, failing to make it onto The Motley Fool's list of top stocks, indicating a weaker position in investors' minds.
- Historical Review: Looking back, Netflix and Nvidia saw investment returns of 500,572% and 1,223,900% respectively when recommended, while SoundHound AI's performance has not reached similar investment attractiveness, reflecting potential market risks.
- Investor Advisory: Despite the strong past performance of stocks recommended by The Motley Fool, SoundHound AI was not included, prompting investors to carefully assess its future growth potential and market competitiveness before investing.
See More
SoundHound AI Faces Growth Slowdown and Challenges
- Revenue Growth Slowdown: SoundHound AI's revenue is projected to rise from $31 million in 2022 to $169 million by 2025, but this growth is largely driven by acquisitions rather than organic expansion, raising concerns about the sustainability of its growth trajectory.
- Declining Gross Margin: The integration of lower-margin acquisitions has led to a drop in SoundHound's gross margin from 69% in 2022 to 42% in 2025, which not only impacts profitability but may also weaken investor confidence in its future performance.
- EBITDA Improvement: Despite facing challenges, SoundHound's adjusted EBITDA improved from negative $73 million in 2022 to negative $58 million in 2025, indicating efforts to narrow losses by reducing cloud infrastructure costs and increasing the share of higher-margin revenues.
- Market Valuation Pressure: With a market cap of $3.3 billion and a sales multiple of 14 times, SoundHound's stock appears pricey, and the lack of insider buying over the past three months could exacerbate investor concerns regarding its growth potential.
See More
Analysis of SoundHound AI's Future Growth Prospects
- Revenue Growth Through Acquisitions: SoundHound AI's revenue is projected to rise from $31 million in 2022 to $169 million by 2025, although much of this growth is driven by acquisitions rather than organic expansion, indicating challenges in market competitiveness.
- Declining Gross Margins: The integration of lower-margin businesses and intense competition from larger firms are expected to reduce SoundHound's gross margin from 69% in 2022 to 42% in 2025, which will impact its profitability and market appeal.
- EBITDA Improvement: Despite facing challenges, SoundHound's adjusted EBITDA is expected to improve from negative $73 million in 2022 to negative $58 million in 2025, reflecting the company's efforts in cost control and optimizing its revenue mix.
- Uncertain Market Outlook: Analysts anticipate SoundHound's revenue to grow at a 16% CAGR from 2025 to 2028, but with fewer enterprise customers and acquisitions, its growth may decelerate, leading to a pessimistic outlook for future market performance.
See More
SoundHoundAI Acquires LivePerson to Expand Business Reach
- Acquisition Agreement: SoundHoundAI has entered into a definitive agreement to acquire LivePerson for $43 million in equity, and while investors reacted tepidly to the news, management believes this move will significantly boost revenue.
- Revenue Potential: By integrating LivePerson's AI messaging solutions, SoundHound expects to generate $500 million in cross-selling revenue, a substantial increase from its nearly $169 million revenue reported in 2025, indicating strong market expansion potential.
- Wide Industry Applications: LivePerson's technology provides services in finance, including loan applications and pre-approvals, and has extensive applications in healthcare, automotive, retail, and travel, enhancing SoundHound's competitive edge in the market.
- Investor Concerns: Despite the potential for long-term gains from the acquisition, investors are worried about SoundHound's unprofitability and the payment method for the acquisition, raising concerns about the return on investment and the time required to validate integration success.
See More
SoundHound Unlocks Potential Growth Path
- Market Confidence Challenge: While SoundHound may have unlocked a larger path for expansion, the market's confidence in its execution remains low, leading to stock price volatility that reflects investor caution regarding future growth.
- Need for Execution Improvement: Should SoundHound achieve significant improvements in execution moving forward, the market's perception of its growth potential could fundamentally shift, driving stock price increases and attracting more investor interest.
- Stock Price Volatility Analysis: As of April 17, 2026, SoundHound's stock performance indicates market uncertainty about its future development, prompting investors to closely monitor the company's progress in executing its strategic initiatives.
- Strategic Implications of Growth Outlook: The potential growth path for SoundHound not only pertains to the company's market performance but could also influence the competitive landscape of the entire industry, necessitating investor assessment of its adaptability to technological innovation and changing market demands.
See More
