Recap: SoundHound AI Q4 Earnings
Portfolio Pulse from Benzinga Insights
SoundHound AI (NASDAQ:SOUN) reported Q4 earnings with a miss on estimated earnings by -17.0%, posting an EPS of $-0.07 against an estimate of $-0.06. Revenue increased by $7.65 million from the same period last year. Despite missing EPS estimates last quarter, the share price increased by 3.0% the following day. The company has shown a pattern of revenue growth over the past quarters.
February 29, 2024 | 9:25 pm
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SoundHound AI missed Q4 earnings estimates with an EPS of $-0.07, underperforming the expected $-0.06. However, it reported a significant year-over-year revenue increase of $7.65 million.
Although SoundHound AI missed its EPS estimate for Q4, the significant increase in revenue compared to the same period last year indicates a positive growth trajectory. Historically, the company's stock price has shown resilience and even growth following earnings misses, suggesting that investors may focus more on revenue growth and future potential rather than short-term earnings misses. Therefore, the short-term impact on SOUN's stock price is assessed as neutral, considering both the negative impact of the earnings miss and the positive revenue growth.
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