Stock markets have renewed speculation on artificial intelligence stocks. After Super Micro Computer (SMCI) more than doubled in less than a month, two AI-related stocks soared.
SoundHound AI Inc. (SOUN) gained 61.22% last week, closing at $15.01. Investors cheered after Torchy’s Tacos said it would roll out SoundHound’s voice AI Smart Ordering product.
SoundHound said the product would handle all incoming calls. This includes multiple calls and simultaneous orders.
In Q3, SoundHound posted a non-GAAP EPS loss of four cents, despite revenue growth of 88.6% Y/Y to $25.09 million. The growth is due mostly to its acquisition.
Bigbear.ai (BBAI) added 48.68% last week on no company-specific news. This suggests that the SOUN stock rally lifted BBAI stock.
In the third quarter, the firm lost $0.05 a share GAAP. Revenue grew by 22.1% Y/Y to $41.51 million.
Exercise Caution
SMCI gained the market’s confidence in the last month. The firm’s forensic accountant said that SMCI does not need to restate any of its financials. However, SMCI will still replace its Chief Financial Officer. In addition, its newly hired auditor did not sign off on SMCI’s statements.
SMCI must file quarterly and annual reports. Without doing so, the exchange would delist the stock and SMCI would trade over the counter.
