15 AI Stocks That Skyrocketed in Q4

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2. SoundHound AI, Inc. (NASDAQ:SOUN)

Number of Hedge Fund Holders: 11

Stock Price Performance in Q4 2024: ~326%

SoundHound AI, Inc. (NASDAQ:SOUN) provides voice AI solutions that help businesses create conversational experiences. Its offerings include platforms for building voice assistants, tools for real-time data integration, and AI-powered customer service solutions. The company also provides technologies like speech recognition, natural language understanding, and text-to-speech to enhance functionality.

The start of 2025 has not been so good for SoundHound (NASDAQ:SOUN) but it had quite the run in the fourth quarter of 2024. It achieved some notable milestones in the quarter including its Amelia conversational AI platform winning the XCelent Advanced Technology 2024 Award from Celent for its exceptional functionality and generative AI capabilities in retail banking. Moreover, the company’s AI was integrated into Lancia Ypsilon vehicles’ S.A.L.A. infotainment system, enhancing driver experience with conversational AI features across several European countries.

In November, SoundHound’s (NASDAQ:SOUN) voice technology was integrated into Kia vehicles in India, offering Hindi language support and advanced conversational capabilities for a personalized in-car experience. The company also announced in the same month that its Amelia AI agents have helped Apivia Courtage handle over 100,000 customer calls, reducing direct inquiries by 20% and enhancing employee productivity.

In December 2024, SoundHound AI launched its Smart Ordering system at all 130 Torchy’s Tacos locations, enabling customers to place accurate, natural voice orders. Additionally, SoundHound’s Dynamic Drive-Thru solution was deployed at Church’s Texas Chicken, enhancing order accuracy and reducing wait times through AI-powered, real-time feedback. Meanwhile, SoundHound’s Amelia Conversational AI Platform was recognized as a leader in Frost & Sullivan’s 2024 Radar for Enterprise Conversational AI in Healthcare, showing its innovative solutions that improve patient engagement and streamline healthcare operations.

However, it is important to note that despite posting record third-quarter 2024 results, including an 89% revenue increase to $25.1 million, on November 12, the company stock dropped around 17% by the next day. Analysts had mixed views about the stock. For example, Wedbush remained positive on the stock, while Ladenburg Thalmann downgraded the stock to Neutral due to concerns about the Amelia AI acquisition’s impact on margins and higher expected losses.

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