Northland Lowers SoundHound (SOUN) Price Target, Keeps Outperform Rating

SoundHound AI, Inc. (NASDAQ:SOUN) is one of the 10 AI Stocks That Are About to Explode. On May 8, Northland cut its price target on SoundHound AI, Inc. (NASDAQ:SOUN) from $14 to $12 while maintaining an Outperform rating on the stock.

The research firm said it is maintaining its revenue estimates but reducing its adjusted EBITDA expectations after the company slightly beat its first-quarter revenue forecast but missed EBITDA estimates due to investments in technology and growth efforts.

Northland Lowers SoundHound (SOUN) Price Target, Keeps Outperform Rating

SoundHound AI, Inc. (NASDAQ:SOUN) reported Q1 revenue of $44.2 million, up 52% year-over-year. The company also announced an agreement to acquire LivePerson. According to SoundHound AI, Inc. (NASDAQ:SOUN), the deal will combine its voice and agentic AI capabilities with LivePerson’s digital messaging services. The combined business is expected to create a $500 million revenue opportunity, strengthen the balance sheet, and accelerate the path to profitability.

This acquisition would significantly expand SoundHound AI, Inc.’s (NASDAQ:SOUN) enterprise customer base in the conversational AI sector, giving the combined company relationships with 25 companies in the Fortune 100. The company also expects 2027 revenue range to reach at least $350 million to $400 million, including more than $100 million in potential growth contribution from LivePerson’s long-standing customers. The transaction is expected to close in the second half of 2026.

SoundHound AI, Inc. (NASDAQ:SOUN) is a leader in conversational intelligence and voice AI solutions for creators and service providers across retail, financial services, healthcare, automotive, smart devices, and restaurants.

While we acknowledge the risk and potential of SOUN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SOUN and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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