New York, May 28, 2026, 05:04 (EDT)
- SoundHound AI last traded at $8.08 ahead of Thursday’s regular session on Nasdaq.
- A filing on May 27 brought back the company’s $300 million share sale plan and assumptions from the LivePerson deal.
- Investors look at the pace of revenue gains but also worry about dilution, ongoing losses, and whether the company can deliver.
SoundHound AI Inc. traded close to $8 in Thursday’s early premarket, after investors got another look at the company’s capital-raising plans and the LivePerson buy math with a new filing out.
SoundHound stock last indicated at $8.08, putting its market cap close to $3.47 billion. Nasdaq regular session hasn’t started yet.
SoundHound shares finished Wednesday at $8.08, down 0.62%. Volume hit 17.84 million shares. The stock is seeing a supply overhang. The Nasdaq Composite edged up 0.07%.
SoundHound filed an 8-K after the close Wednesday, attaching its equity distribution agreement for selling up to $300 million in Class A shares. The filing also reported annual meeting votes, bylaw updates, and showed pro forma first-quarter numbers with LivePerson—$101.2 million in combined revenue and a net loss of $25.1 million based on deal terms.
An at-the-market program, or ATM, allows a company to issue new shares directly into the market as needed, at current prices. This gives executives more flexibility. The shares can put pressure on a stock if traders think more supply is still in the pipeline.
Timing matters here. SoundHound sold 6.23 million shares back in April, averaging $7.78 per share and pulling in $48.5 million before using up its old ATM. The company set up a new $300 million ATM program on May 11.
Growth is still the main story for SoundHound. The company posted first-quarter revenue of $44.2 million, up 52% year over year. It also turned in a GAAP net loss of $25.0 million and an adjusted EBITDA loss of $26.7 million. CEO Keyvan Mohajer called out “top line growing 52%,” and CFO James Hom pointed to a “strong balance sheet” at the quarter’s end. SoundHound kept its 2026 revenue outlook at $225 million to $260 million. SoundHound AI
LivePerson is the main variable here. SoundHound announced in April it would buy LivePerson in a $43 million stock transaction, with the goal of merging its voice and agentic AI technology—software that executes tasks as well as answers prompts—with LivePerson’s digital messaging operations. “Complementary conversational AI pioneers,” is how Mohajer put it. LivePerson CEO John Sabino said it’s getting harder to see a line between “talking” and “typing.” SoundHound AI
SoundHound is looking to expand further into customer-experience software, an area where large vendors are already strong. NICE sells AI tools for automating customer service, while Five9 provides cloud contact-center and AI products focused on customer interactions.
Wall Street is still in, but optimism has faded a bit. TipRanks said this month that Northland Securities analyst Michael Latimore knocked his SoundHound price target down to $12 from $14, sticking with an Outperform. D.A. Davidson’s Gil Luria also went to $12 from $14, still at Buy. Wedbush stayed at Buy with a $12 target too, according to TipRanks.
Risks are clear here. In its shelf filing, SoundHound said future stock sales could dilute holders, and even the idea of selling could hurt the share price. The filing noted the LivePerson deal could fall through if requirements, like LivePerson shareholder approval, aren’t met or if it misses certain deadlines.
Right now, the stock isn’t trading much on AI hopes. It’s about mechanics—how much equity SoundHound puts out, the speed of the LivePerson deal, and if revenue can pick up enough to get to profits without adding a lot of new shares. Growth hasn’t gone away. The bill hasn’t either.
