SoundHound AI (SOUN) Shares Jump 20% on Strong Twilio Voice AI Earnings Report

TLDR

• SoundHound AI (SOUN) experienced a 20.1% intraday surge to $9.56, with trading volume reaching 67.6 million units, which was 151% higher than average.
• The increase was primarily fueled by Twilio’s robust earnings report, which indicated a 20% year-over-year growth in voice AI revenues.
• Q4 revenue reached $55.06M, exceeding estimates and representing a 59.4% year-over-year increase; EPS was in line with expectations at ($0.02).
• Analysts maintain a “Moderate Buy” consensus for SOUN, with an average price target of $14.93.
• SoundHound AI’s Q1 2026 earnings report is scheduled for the following Thursday.

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(SeaPRwire) –   On Friday, May 1, SoundHound AI (SOUN) climbed 20.1%, reaching an intraday price of $9.56 after closing the previous session at $7.96. Trading volume surged to 67.6 million units, a figure 151% above the average.

SoundHound AI, Inc., SOUN

During the session, the stock hit a high of $9.60, a level not seen since late January.

The primary driver for the move was not internal news from SoundHound, but rather the blowout earnings reported by Twilio (TWLO) on Thursday night. Twilio surpassed Wall Street’s revenue and earnings forecasts, issued strong guidance for 2026, and saw its own stock leap more than 22%.

Voice AI featured prominently in Twilio’s report. Voice revenues increased by 20% compared to the previous year, demonstrating consistent acceleration over the past six quarters. CEO Khozema Shipchandler stated the company anticipates voice AI will evolve to become more conversational and cross-channel.

While SoundHound and Twilio are not direct competitors, their offerings overlap in the area of conversational AI tools. The strong demand indicated by Twilio’s results points to a healthy market for voice AI, leading investors to draw a positive connection to SOUN.

With SoundHound’s Q1 2026 earnings call scheduled for the next Thursday, the positive results from Twilio are generating optimism ahead of the report.

Recent Business Moves

SoundHound has been pursuing several initiatives. The company finalized the $43 million acquisition of LivePerson and has deployed voice AI ordering systems to 90% of Casey’s General Stores (CASY) locations—announcements made just the week before.

The Q4 results, released on February 26, revealed revenue of $55.06 million, which beat the consensus estimate of $53.88 million and was up 59.4% from the prior year. EPS matched estimates at ($0.02). For the full year, analysts are projecting an EPS of ($0.34).

The company continues to operate at a loss, with a negative return on equity of 3.63% and a negative net margin of 8.71%. Its shares trade at a steep multiple of 23 times trailing sales.

Analyst Views

Wall Street maintains a cautiously optimistic stance. On April 22, DA Davidson reaffirmed a “Buy” rating with a $14.00 price target. HC Wainwright has a “Buy” rating with a $20.00 target. Piper Sandler maintained a “Neutral” rating with a $9.00 target.

The average analyst price target is $14.93, with an overall consensus rating of “Moderate Buy.”

The breakdown of analyst ratings is one Strong Buy, five Buy, three Hold, and one Sell.

SOUN has a market capitalization of $4.04 billion. Its 50-day moving average is $7.49, and its 200-day moving average is $10.55.

Insider trading activity has recently favored selling. In March, both SVP Majid Emami and CFO Nitesh Sharan reduced their holdings at approximately $6.79 per share. Total insider sales over the last 90 days amount to roughly $2.09 million.

Conversely, several hedge funds have recently increased their positions. Rakuten Securities boosted its stake by 877.9% in the fourth quarter. Institutional investors now own 19.28% of the company.

The next significant event for SOUN will be the Q1 earnings report next Thursday.