Why SoundHound AI Inc. (SOUN) Skyrocketed Yesterday

We recently compiled a list of the 10 Hottest Stocks: What’s Fueling Their Rise. In this article, we are going to take a look at where SoundHound AI Inc. (NASDAQ:SOUN) stands against the other stocks that skyrocketed yesterday.

Ten companies—predominantly involved in the quantum computing sector—have taken the spotlight on Thursday, booking significant gains despite a lackluster performance from Wall Street’s main indices.

To come up with Thursday’s top gainers, we considered only the stocks that have at least $2 billion in market capitalization and $5 million in daily trading volume.

A software engineer focused on a computer screen, writing code to create a conversational assistant.

SoundHound AI Inc. (NASDAQ:SOUN)

SoundHound AI continued to be in the stock market spotlight, recording an impressive 19.71-percent increase in Thursday’s trading to finish at $24.33 each.

The year-to-date stock price also marked a whopping 1,064 percent rally, indicating a very positive reception from investors.

According to analysts, the company’s performance was fueled by the booming AI industry, which allowed for a more bullish coverage.

On Monday, SoundHound AI earned a buy rating and a higher target price from HC Wainwright from $8 per share to $26 apiece.

While Wainwright’s analysts noted that recent valuation gains were primarily driven by market excitement, they believed that the company will perform well enough to support its growth-dependent valuation.

Disclosure: None. This article is originally published at Insider Monkey.