SoundHound AI Stock Down 71% as Short Sellers Hold 35%
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- SoundHound AI's stock fell 71% from its October peak, trading below $7 per share as of March 25.
- Short sellers now hold more than 35% of SoundHound AI’s shares on loan, intensifying downward pressure.
- SoundHound AI doubled its 2025 sales and secured over 100 new contracts in Q4, expanding voice‑AI deployments across vehicles, drive‑throughs, and corporate phone menus.
- SoundHound AI’s balance sheet shows virtually no debt and $248 million in cash, indicating financial stability despite the stock decline.
- NASDAQ’s risk‑off environment has pushed investors away from high‑beta, volatile stocks like SoundHound AI, whose beta exceeds 3, making it a prime target for short‑selling.
Why it matters: Short sellers gain from the steep price decline, while investors who bought at the October peak incur heavy losses; the stock’s discount may attract value‑oriented buyers, but the broader risk‑off sentiment continues to pressure high‑beta tech names and could limit upside for the company’s equity.
Ask SkimNews
