Soundhound Overvalued; Wait for a Better Entry

about 2 months ago

Parkev Tatevosian, CFA

"And right now, it's the current market price is $11.50. Sound stock has been in rally mode in 2025, but the intrinsic value per share I calculated is just $5.72. So, at the current market price, Sound AI stock looks overvalued to me. But that doesn't take away from the company's excellent prospects in the future. I just think that most of those prospects are already priced into the current valuation. So, if I was an investor that was interested in buying this stock, I would wait for a better price to enter."

The speaker explains that despite Soundhound's strong revenue and future prospects, the current $11.50 market price is overvalued compared to his calculated intrinsic value of $5.72. He advises investors to wait for a better entry point rather than buying at current levels.

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