SoundHound AI - New Opportunities Await. What's Next for the Stock?

Momentum Investor
25 Mar 202405:04

TLDRThe video discusses SoundHound's potential in the market, highlighting its underappreciated value and possible expansion into the hotel industry using voice AI technology to reduce labor costs. It also touches on the company's existing presence in the automotive and restaurant sectors and speculates on its potential as the next 'meme stock.' The speaker forecasts a period of consolidation for SoundHound's stock, emphasizing the importance of low volatility and volume as indicators of a potential future rally, with an eye on the upcoming Core PCE report's impact on market sentiment.

Takeaways

  • 📉 NASDAQ experienced a quiet day with low volume and a minor dip in SoundHound's stock price.
  • 🚀 The video discusses potential catalysts that could push SoundHound's stock price back up.
  • 🗓️ The forecast for the week ahead is provided, with expectations for stock price consolidation.
  • 🏨 SoundHound's potential expansion into the hotel industry is highlighted as a significant opportunity for growth.
  • 🤖 AI technology, specifically voice AI, could be utilized in the hotel industry to reduce labor costs and improve efficiency.
  • 🍽️ Room service and reception could be automated using voice AI, which SoundHound is well-positioned to provide.
  • 📈 The adaptation of SoundHound's technology to new industries could boost its long-term valuation.
  • 🔮 The video suggests that Wall Street may be overlooking the future potential of companies like SoundHound.
  • 📊 The anticipation of a top 15 restaurant announcement is mentioned as a near-term catalyst for SoundHound's stock.
  • 📈 The resurgence of speculative stocks and meme stocks could influence SoundHound's stock performance.
  • 📅 The core PCE report release and its potential impact on the stock market is discussed, with expectations for a market rally if the report is cooler than expected.

Q & A

  • What was the state of the NASDAQ on the day mentioned in the transcript?

    -The NASDAQ was relatively quiet on the day mentioned, with minimal movement and low trading volume.

  • What is SoundHound's current market performance like?

    -SoundHound's stock price has been quite volatile recently, but on the day of the transcript, it experienced a small movement of under 5%.

  • What potential industry expansion for SoundHound is discussed in the transcript?

    -The transcript discusses the potential for SoundHound to expand into the hotel industry by utilizing its voice AI technology.

  • What challenges are hotels facing post-pandemic according to the transcript?

    -Hotels are facing labor shortages, rising wages, and the need to restore reduced or eliminated services like daily housekeeping and room service.

  • How could AI technology, specifically voice AI, benefit the hotel industry?

    -Voice AI could automate certain services like room service ordering and reception inquiries, reducing the need for staff to handle these tasks and potentially lowering wage costs.

  • What is SoundHound's current involvement in the automotive and restaurant industries?

    -SoundHound is already implementing its voice AI technology in the automotive and restaurant industries, suggesting it has the potential to adapt its technology for the hotel industry as well.

  • What short-term catalyst is SoundHound waiting for according to the speaker?

    -SoundHound is waiting for a top 15 restaurant announcement, which could potentially impact its stock price.

  • How does the speaker view Wall Street's approach to investing?

    -The speaker believes Wall Street is too focused on past performance rather than future potential, which is important for investors to consider when trading stocks based on future expectations.

  • What is the speaker's forecast for SoundHound's stock price action in the short term?

    -The speaker expects SoundHound's stock to undergo consolidation between $7 and $5, with low volatility and volume, indicating a period of stability before potential movement.

  • What economic report is anticipated to influence the stock market, and how might it affect SoundHound?

    -The Core PCE report is anticipated, and if it shows cooler than expected inflation, the market could rally hard, which might positively influence SoundHound's stock price.

  • What does the speaker suggest about the potential for SoundHound to become a 'meme stock'?

    -The speaker speculates that SoundHound could potentially become the next meme stock, like GameStop or AMC, which could drive its stock price up if the market is looking for such an opportunity.

Outlines

00:00

📉 Market Analysis and SoundHound's Potential in the Hospitality Industry

The video begins with a discussion on the quiet market activity on Monday, particularly focusing on SoundHound's stock performance. The speaker highlights the potential of SoundHound to expand its technology into the hotel industry, which is currently facing labor shortages and increasing wage costs. The idea is that AI, specifically voice AI, could help automate certain services like room service and reception, thus reducing costs. The speaker also mentions that Wall Street might be overlooking the future potential of companies like SoundHound, which could lead to undervaluation. The video then transitions to discussing short-term catalysts for SoundHound's stock, including the anticipated top 15 restaurant announcement and the general resurgence of speculative stocks, suggesting that SoundHound could be the next 'meme stock' to watch. The speaker concludes with an analysis of the stock's current price action, predicting consolidation and a potential upward movement in the future.

05:01

🚀 Speculative Stock Resurgence and SoundHound's Market Position

The speaker continues the discussion on speculative stocks, noting a resurgence led by Reddit's IPO and the performance of stocks like DWAC and GameStop. The focus then shifts to SoundHound, which is currently experiencing a period of consolidation. The speaker suggests that despite the short-term movement of traders to other stocks, SoundHound could still be a strong candidate for the next 'meme stock.' The video ends with a brief mention of the upcoming Core PC report and its potential impact on the market, with the expectation that a cooler-than-expected report could lead to a market rally.

Mindmap

Keywords

💡SoundHound

SoundHound is a company that specializes in voice AI technology, which is used in various industries such as automotive and restaurant sectors. In the context of the video, the speaker discusses the potential for SoundHound to expand into the hotel industry, leveraging its technology to automate services like room service and reception, thereby reducing labor costs and potentially increasing the company's valuation.

💡NASDAQ

NASDAQ, or the National Association of Securities Dealers Automated Quotations, is an American stock exchange that hosts the trading of various securities, including stocks of technology companies. In the video, it is mentioned as the platform where SoundHound's stock is traded, and the speaker discusses its recent performance, noting that it has been quite stable with low volume.

💡volatility

Volatility refers to the degree of variation of a trading price series over time as measured by the standard deviation of returns. In the context of the video, the speaker is interested in low volatility for SoundHound's stock, which indicates a stable and predictable price movement, suggesting a lack of significant market impact or investor uncertainty.

💡valuation

Valuation is the process of determining the economic value of an asset or a company, often based on financial analysis. In the video, the speaker speculates that SoundHound's expansion into the hotel industry could increase its valuation by introducing new use cases for its voice AI technology, potentially leading to higher stock prices and market value.

💡AI technology

AI, or Artificial Intelligence, refers to the development of computer systems that can perform tasks typically requiring human intelligence, such as visual perception, speech recognition, decision-making, and language translation. In the video, AI technology is discussed as a potential solution to the labor shortage in the hotel industry, with voice AI specifically being highlighted for its ability to automate certain services.

💡labor shortage

Labor shortage occurs when the demand for workers exceeds the supply of labor available in the job market. In the video, the speaker references a labor shortage in the hotel industry post-pandemic, where many staff members quit and have not returned, leading to increased wages and reduced services, which creates an opportunity for AI technology to fill the gap.

💡Reddit IPO

Reddit IPO refers to the initial public offering of Reddit, the online platform where users can discuss various topics and communities. An IPO is the first sale of a company's stock to the public, which allows the company to raise capital by selling shares to investors. In the video, the speaker mentions the resurgence in speculative stocks led by Reddit's IPO, indicating increased investor interest in such stocks.

💡meme stocks

Meme stocks are shares in companies that experience significant price increases and volumes due to hype and social media attention, rather than strong financial performance. In the video, the speaker speculates that SoundHound could become the next meme stock, following in the footsteps of GameStop and AMC, which saw dramatic price increases fueled by retail investor enthusiasm.

💡price action

Price action refers to the movement of a security's price over time, which includes various patterns and trends that traders and investors analyze to predict future price movements. In the video, the speaker discusses SoundHound's price action, specifically its consolidation phase and the potential for future price movements based on market conditions and investor sentiment.

💡core PCE

Core PCE, or Core Personal Consumption Expenditures, is an economic indicator that measures inflation by excluding food and energy prices from the PCE price index. It is the Federal Reserve's preferred measure of inflation. In the video, the speaker anticipates the release of the core PCE report and its potential impact on the stock market, suggesting that a lower-than-expected reading could lead to a market rally.

💡consolidation

In financial markets, consolidation refers to a period of time when a stock's price moves within a relatively narrow trading range, indicating a balance between buying and selling pressure. In the video, the speaker expects SoundHound's stock to undergo consolidation, which would involve the stock price fluctuating within a specific range, suggesting a period of stability before potential future price movements.

Highlights

It was a quiet Monday on the markets with NASDAQ barely moving on low volume.

SoundHound's stock fell under 5%, a small move considering its recent volatility.

The video discusses potential catalysts that may push SoundHound's stock price back up.

The speaker is not a financial advisor and advises viewers to seek professional financial advice if needed.

SoundHound's potential in the automotive and restaurant industries is mentioned.

An expansion of SoundHound into the hotel industry is proposed as a growth opportunity.

Post-pandemic labor shortage in hotels and rising wages are discussed.

AI technology, specifically voice AI, could reduce the wage bill in the hotel industry.

SoundHound's existing technology in automotive and restaurant divisions could be adapted to the hotel industry.

The potential for voice AI in room service and reception in hotels is highlighted.

Wall Street's focus on past events rather than future potential is critiqued.

The anticipation for SoundHound's top 15 restaurant announcement is mentioned.

The resurgence of speculative stocks led by the Reddit IPO is discussed.

SoundHound's stock is undergoing consolidation and may stay quiet for a while.

The speaker expects low volatility and low volume for SoundHound's stock to indicate consolidation.

The Core PC report's impact on the market and SoundHound's stock is anticipated.

The video ends with a call to action for viewers to like and subscribe for daily updates.

Casual Browsing

Massive News for SoundHound AI Stock Investors! | SOUN Stock Analysis | SoundHound Stock Update

2024-03-28 04:00:00

Soundhound AI Stock

2024-03-28 05:05:00

Soundhound AI stock

2024-03-28 05:15:01

Where Will SoundHound AI Stock Be in 2 Years? | SOUN Stock Prediction | SoundHound Stock Analysis |

2024-03-28 05:30:01

Why did Soundhound AI stock crash?

2024-03-28 04:00:00

SOUN SoundHound AI Stock Analysis, AI Lie?!

2024-03-28 03:30:00