We recently compiled a list of the 10 Stocks Outperform Wall Street Indices on Wednesday. In this article, we are going to take a look at where SoundHound AI, Inc. (NASDAQ:SOUN) stands against the other stocks.
The stock market ended on a mixed note on Wednesday, with the Dow Jones the sole loser during the session, as investor caution persisted amid confusing tariff policies from President Donald Trump.
The Dow Jones dropped by 0.43 percent, while in contrast, the S&P and Nasdaq finished in the green territory, albeit the S&P inched up by only 0.01 percent, and the Nasdaq ended higher by 0.26 percent.
On Wednesday, Trump raised hopes for another month of delay for the imposition of tariffs on goods from Mexico and Canada, while signaling a 25-percent reciprocal tariff on European cars and goods.
Meanwhile, ten companies defied the broader market pessimism, posting modest to strong gains during the day.
To come up with Wednesday’s top gainers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.
A software engineer focused on a computer screen, writing code to create a conversational assistant.
SoundHound AI, Inc. (NASDAQ:SOUN)
SoundHound AI, Inc. (NASDAQ:SOUN) firmed up on Wednesday, finishing the day up by 7.53 percent to close at $9.57 apiece as investors bought up shares ahead of the release of its earnings performance on Thursday, February 27.
In addition, funds poured into quantum computing stocks, including SoundHound AI, Inc. (NASDAQ:SOUN), following Nvidia Corp.’s announcement of its fourth-quarter earnings release after market close on Wednesday.
It can be recalled that SoundHound AI, Inc. (NASDAQ:SOUN) was one of the stocks sold off by NVDA over the past few months, but the outlook remained bullish for the company following earlier statements from NVDA CEO Jensen Huang that the giant chipmaker will support the growth of quantum computing stocks over the next few years.
Also on Tuesday, SoundHound AI, Inc. (NASDAQ:SOUN) announced the next generation of its voice AI-powered platform for restaurants, enhancing its Dynamic Drive-Thru solution’s accuracy and speed, and adding seamless omnichannel ordering.
With the new service, restaurants can now extend their AI automation beyond the drive-thru to include Call-to-Order, Text-to-Order, Scan-to-Order, and In-Car Voice Ordering.
Overall SOUN ranks 7th on our list of Wednesday’s top gainers. While we acknowledge the potential of SOUN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as SOUN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.