Why SoundHound AI Stock Is Skyrocketing Today

SoundHound AI (NASDAQ: SOUN) stock is surging Wednesday thanks to multiple bullish catalysts. The artificial intelligence (AI) company's share price was up 11.2% as of 1:45 p.m. ET. Meanwhile, the S&P 500 (SNPINDEX: ^GSPC) was flat on the day, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) was up 0.3%.

SoundHound and other AI stocks are getting a valuation boost today as investors adopt more bullish positions ahead of the imminent release of Nvidia's fourth-quarter report. SoundHound AI's share price is also getting a boost from its recently unveiled new restaurant platform and upcoming earnings report.

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SoundHound AI stock is seeing a significant rebound today

SoundHound has been hit with a wave of sell-offs lately, but the stock is quickly regaining some ground in today's trading. Following a recent bearish shift, investors are pouring back into AI stocks ahead of Nvidia's Q4 report -- due to be released after market close today.

SoundHound AI stock is also getting a boost from the company's new restaurant-ordering platform. The conversational AI specialist published a press release yesterday detailing its updated Dynamic Drive-Thru platform and AI-powered improvements that are taking the service's capabilities to the next level.

What's next for SoundHound AI?

Nvidia isn't the only hot AI company set to publish earnings results this week. SoundHound AI is set to publish its own Q4 results after market close tomorrow, potentially setting the stage for the stock to see more big moves this week.

With its last guidance update, the company said that it expected sales between $82 million and $85 million for its most recently completed fiscal year -- suggesting growth of 82% at the midpoint of the target range. For the current year, SoundHound AI last guided for sales to be between $155 million and $175 million, suggesting that revenue growth could accelerate significantly in the period.

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Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy.