Jim Cramer Got These 10 Stocks All Wrong

3. SoundHound AI (NASDAQ:SOUN)

Number of Hedge Fund Holders: 21

SoundHound AI Inc. (NASDAQ:SOUN), a voice recognition software company operating in the crowded AI space, was quickly dismissed by Cramer last year despite a brief surge tied to Nvidia’s investment. At the time, he wasn’t impressed with the stock’s volatility or fundamentals.

“SoundHound AI, no, I mean, this thing is, I know what happened, Nvidia put a little money with it, it spiked up, and then it’s been drifting down, down, down, trades furiously in after-hours trading. I do not think you should own the stock.”

Since then, the company’s shares have exploded 64.4%, driven by renewed AI optimism and speculative buying in small-cap tech.

Surprisingly, Jim Cramer has not changed his opinion on the stock ever since. During an episode that aired on the 14^th of March, he doubled down on his call saying:

“I think it’s a meme stock and I’m just going to call them as meme stocks from now on because… look, you can’t really value it… I can’t help you with something like SoundHound, because it’s a meme stock. It’s going to go wherever the meme people want it to go and good luck with them.”