In a momentum bull market, stocks move vertically on a breakout. SOUN stock did just that. It’s up 1.5x in over a month.
SoundHound AI SOUN – The Breakout
SoundHound AI SOUN is an artificial intelligence voice technology firm. Its technology is used by companies to interact with customers in call centers and restaurant drive-thrus. Its voice-response technology also can be found in cars and televisions. It’s a company with a promising future, where NVidia has made sizeable investments.
The stock broke out above 6.3 post-Trump election victory but saw a major dip post-earnings announcement. The dip was to retest the breakout point. The stock then took off, and from $6.5 back in the middle of Nov, the stock is near $17 over a month.
Earnings reflected growth: Q3 sales rose 89% year over year to $25.1 million. The company lost 6 cents a share in the period, vs. a loss of 9 cents a share a year earlier. The company also guided sales of $165 million for 2025.
I recommended the stock near $6.5. I will ride the stock for now and take profit if it dips below $15.
Chart Source: Finviz.com
Please do your own due diligence before trading. Nothing here or in the newsletters constitutes financial advice. These are just my views based on my experience.
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