The Scorecard: 1 Month Update: SOUN Sell — Correct so far

Revisiting our Sell call on SOUN: entry $7.33, latest $6.69, -8.7%.

This is a Scorecard review, revisiting a past LF0 research call against what actually happened.

Ticker: SOUN Rating: Sell Published: 2026-06-14 Checkpoint: 2026-07-14 Entry price: $7.33 Latest price: $6.69 as of 2026-07-14 Stock return since entry: -8.7% Signal return: +8.7% Verdict: Correct so far

This is the 1-month checkpoint for this call. LF0 publishes monthly Scorecard updates through month 6, using the closest available daily close on or before the checkpoint date.

Read the original LF0 analysis

What I Said

I argued that SoundHound had real product differentiation and patent protection, but that those positives were already outweighed by a financial profile still marked by negative margins and negative cash flow. My core point was that the valuation was pricing in a much faster move to operating leverage than the reported numbers justified, so I thought the stock was vulnerable on a Sell rating.

Peer Comparison

CompanyReturn Since Entry
SOUN (this call)-8.7%
AI-4.5%
PATH+68.2%
PLTR+38.3%
S+41.8%
TWLO+17.7%

Why It’s Working (Or Not)

So far, that call has worked: if I had shorted SOUN at my entry price, I would be up about 8.7% after one month. The stock has moved lower while the peer set has been mostly higher, which supports my view that SOUN was not being rewarded for a stronger fundamental setup than its comparable names. What has held up most clearly is the valuation-and-profitability argument: the market has not yet shown evidence that negative margins and negative cash flow are being converted into durable earnings power fast enough to justify the price I was looking at. I cannot claim the thesis is fully proven after only one month, but the early tape is consistent with my original concern.

The June 2026 Cohort

Other directional calls published the same month:

TickerRatingEntryLatestStock ReturnSignal ReturnVerdict
SKYHSell$9.37$10.52+12.3%-12.3%Incorrect so far
BSXBuy$46.76$46.67-0.2%-0.2%Incorrect so far
AEHRSell$115.30$90.46-21.5%+21.5%Correct so far
CARSell$186.28$139.49-25.1%+25.1%Correct so far
BWSell$17.76$7.68-56.8%+56.8%Correct so far

Live LF0 scorecard: The Scorecard | Research Performance dashboard

Past performance does not guarantee future results. Nothing here is investment advice or a recommendation to buy or sell securities. Returns use LF0’s daily-close scorecard methodology.

Research disclaimer

This material is provided for research and educational purposes only. It is not investment advice, a recommendation, or an offer to buy or sell any security or strategy.

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