# SoundHound AI is down 71%, is that too far?

> The stock got crushed while revenue grew 45%, and a fresh acquisition just changed the math again.
- Title: SoundHound AI is down 71%, is that too far? · Yahoo Finance
- Summary: The stock got crushed while revenue grew 45%, and a fresh acquisition just changed the math again. SoundHound's headline growth is real but bought, so the…
- Keywords: soundhound, voice ai, stocks, acquisitions, cash burn, business, finance, too, far, Yahoo Finance
- Source: Yahoo Finance — https://finance.yahoo.com/markets/stocks/articles/artificial-intelligence-stock-down-71-202000751.html
- Published: 2026-09-12T20:20:00+00:00
- Read time: 1 min
- Topics: soundhound, voice ai, stocks, acquisitions, cash burn, business, finance
## A 71% haircut
SoundHound AI peaked at $22.17 intraday in October 2025. As of Sept. 9 it had given back nearly 71% of that, even as the underlying business kept growing.

> shares have tanked nearly 71% from their $22.17 intraday high from October 2025
## The business held up
Q2 revenue rose 45% year over year to $61.9 million, adjusted EBITDA loss narrowed 33% to $9.6 million, and the company ended the quarter with $203 million in cash and no debt.
## Growth you can buy
Subscription revenue jumped 47% to $47 million, but mostly on the back of acquisitions rather than organic demand. The headline number flatters the real growth rate.

> SoundHound's revenue growth was not entirely organic
## Cash going out the door
SoundHound burned close to $60 million in operating cash in the first half of fiscal 2026. Management guides to $230 million to $260 million of revenue for the year.
## LivePerson changes the reach
The deal closed Sept. 4 and puts SoundHound in front of 25 of the Fortune 100. Management sees $350 million to $400 million in 2027 revenue and a path to $500 million.

> The combined company now serves 25 of the Fortune 100 companies
## The catch in the deal
LivePerson's own Q2 revenue fell 12% on cancellations and downsells. SoundHound has to cross-sell into a shrinking base and cut its burn for the selloff to look overdone.

> the stock looks attractive but still speculative
## Key takeaway

SoundHound's headline growth is real but bought, so the LivePerson cross-sell and cash burn decide whether the 71% drop was an overreaction.