SoundHound and Navitas Anticipate Strong AI Sales Growth
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 22h ago
0mins
Source: NASDAQ.COM
- SoundHound Sales Surge: SoundHound reported a record revenue of $42 million in Q3 2025, marking a 68% year-over-year increase, with full-year sales projected between $165 million and $180 million, nearly doubling 2024's figures, indicating strong growth potential in the AI voice solutions market.
- Navitas Transformation Challenges: Navitas pivoted to focus on the AI market in 2025, resulting in a dramatic revenue drop to $10.1 million in Q3 2025 from $21.7 million in 2024, highlighting significant challenges during its transition.
- Rising Cost Risks: Despite SoundHound's revenue growth, its operating costs surged by 243% in Q3 2025 to $115.9 million, raising concerns about the sustainability of such expense growth and its long-term profitability.
- Investment Considerations: Between SoundHound and Navitas, the former is viewed as the more attractive investment due to its lower valuation and rising sales, while Navitas requires cautious evaluation due to its high valuation and declining sales.
Analyst Views on SOUN
Wall Street analysts forecast SOUN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SOUN is 16.60 USD with a low forecast of 11.00 USD and a high forecast of 26.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
5 Buy
2 Hold
0 Sell
Moderate Buy
Current: 9.840
Low
11.00
Averages
16.60
High
26.00
Current: 9.840
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.
