SoundHound’s conversational and agentic AI solutions are already embedded in real-world, high-volume workflows of multiple companies across diverse industries.
The company exited the third quarter with impressive revenue visibility.
There is a possibility that SoundHound’s shares can more than double in the next five years.
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SoundHound AI (NASDAQ: SOUN) is already operating at production scale, with its conversational and agentic artificial intelligence (AI) solutions deployed across millions of devices (endpoints) globally and embedded in real-world workflows across industries.
But can this operational momentum translate into share price gains over the next five years? Let’s find out.
SoundHound AI’s recent financial performance has been impressive. In the first nine months of fiscal 2025, revenue jumped 127% year over year to $114 million. While not yet profitable, management expects near-break-even adjusted EBITDA profitability through 2026.
SoundHound had previously disclosed a contractual backlog of nearly $1.2 billion exiting fiscal 2024, which highlighted its multi-year demand visibility beyond near-term revenue recognition. The revenue visibility is further reinforced by a large Internet of Things (IoT) and robotics agreement with a Chinese player to integrate SoundHound Chat AI solutions in double-digit millions of AI-powered smart devices over the next two or three years.
SoundHound differentiates itself from many third-party voice AI players with its proprietary multimodal, multilingual Polaris speech foundation model, which has enabled lower latency and higher accuracy in voice communication while lowering the infrastructure costs. Enterprise adoption has also accelerated with the rollout of its Amelia 7 agentic AI platform, while SoundHound also expects voice commerce to transition from pilot programs into full production in 2026.
Management has previously indicated annual organic revenue growth of over 50% for the foreseeable future. Assuming fiscal 2025 revenue to be $172.5 million, which is the midpoint of the company’s revenue guidance of $165 million to $180 million, SoundHound’s fiscal 2030 revenue can reach nearly $1.3 billion. Applying a price-to-sales multiple of around 7.4x, in line with the average multiple of the application software industry in 2025, the company’s market cap can reach $9.6 billion in fiscal 2030, nearly 2.1 times its current market cap of $4.6 billion.
Hence, if SoundHound manages to grow revenue and profits, investors can expect the stock price to more than double in the next five years.
