The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 56.2% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is momentum reading overbought.
SoundHound AI, Inc.
SOUNW · Nasdaq · USD · 954 employees
SoundHound AI, Inc.
FAIL · Does not pass the screenScreen close, 2026-09-18 · not a live quote
Last reviewed 18 days ago
Screened 2026-09-18 · the tape above runs as of 15:50 UTC · two dates, stated on purpose · verdict and workings shown in full · never trimmed
What this means: price 0.72 against the desk's fair-value range, over the last year.
- Trend Distribution
- Insiders no filings inside 60 days, left as found
- Positioning no disclosures inside 60 days, left as found
- Options no verdict drawn today, left as found
- Ethical does not pass the values gate
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
This name holds its distribution label.
SoundHound AI, Inc. holds its Distribution at $0.72.
| Phase | Distribution · caution |
| Price at the screen | $0.72 |
| Valuation | N/A trailing · N/A forward price to earnings |
| Values screen | FAIL · score 70.0 |
| Beta | 2.81 |
Five Screens, Shown in Full
Does not pass. Revenue purity
| Test | Figure | Limit | What it means | Status |
|---|---|---|---|---|
| Business activity | Permissible | Core business clean | Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending. | Pass |
| Debt load | 0.61% | Below 33% | Interest-bearing debt is just 0.6% of its assets, well under the one-third ceiling: it does not run on borrowed money. | Pass |
| Interest-bearing cash | 0.00% | Below 33% | Cash held in interest-bearing accounts and securities is 0.0% of assets, under the one-third limit. | Pass |
| Receivables | 40.81% | Below 49% | Money owed to the company is 40.8% of assets, under the 49% limit. | Pass |
| Revenue purity | 5.80% | Below 5% | 5.8% of revenue comes from non-compliant sources, over the 5% line. | Fail |
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical ReadWhy It Falls Short, in Plain English
SoundHound AI, clears the business-activity screen, and its debt is near-nil. Where it falls short is income purity: around 6% of its income right now is interest earned on a large cash position, against a roughly 5% ceiling, so it does not pass. That reflects what it earns today, not the business itself, and it could clear the screen if its operating revenue grows and the interest share falls.
Read as at 2026-10-04. It updates when the underlying figures move, and past reads are kept below.
The Business, in Plain Words| EPS, trailing | -6.57 |
| Revenue growth | +51.7%growing very fast |
| Profit margin | -91.8%currently unprofitable |
| Return on equity | -39.4%not currently earning a positive return on equity |
| Debt to equity | 1.35a meaningful debt load worth watching |
| Current ratio | 3.94comfortably covers its short-term bills |
| Beta | 2.81much more volatile than the market |
| 52-week range | 1.47 - 1.70 |
| Employees | 954 |
The risks · The things to watch: it already moves more than the market on an average day.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to TradeSOUNW trades on Nasdaq. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
Every Entry, As Written
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D, carrying a low risk profile. Technically it is momentum reading overbought.
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it C. Technically it is momentum reading overbought.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
| Period | Price then | Price return | Divs per share | $1,000 became | Total return |
|---|---|---|---|---|---|
| 1 month | $2.70 | -23.3% | · | $767 | -23.3% |
| 2 months | $2.70 | -23.3% | · | $767 | -23.3% |
| 3 months | $2.70 | -23.3% | · | $767 | -23.3% |
Historical returns from market close data. Past performance does not guarantee future results.
This entry now belongs to the ledger. Whatever SOUNW does next, these words stay.
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Join the deskScreening is research, not a fatwa and not financial advice. Figures are drawn from public accounts at the screen date shown. Always manage your risk.