LOS ANGELES, April 2, 2025 /PRNewswire/ -- The Schall Law Firm, a national shareholder rights litigation firm, reminds investors of a class action lawsuit against SoundHound AI, Inc. ("SoundHound" or "the Company") (NASDAQ: SOUN) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.Investors who purchased the Company's securities between May 10, 2024 and March 3, 2025, inclusive (the "Class Period"), a ...

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired SoundHound securities during the Class Period to seek appointment as lead plaintiff in the SoundHound class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the SoundHo ...

The filed complaint alleges that throughout the Class Period, the defendants made materially false, misleading and potentially damaging statements regarding the Business Operations of SoundHound AI. These include unvalidated claims about the Company''s status, capabilities, and prospects, which have had considerable adverse effects on investors who relied on the information shared. On March 4, 2025, SoundHound disclosed in a filing with the United States Securities and Exchange Commission ("SEC") that it wo ...

Core Viewpoint - A class action lawsuit has been filed against SoundHound AI, Inc. for failing to disclose material weaknesses in its internal controls over financial reporting, which affected its ability to account for acquisitions and led to inflated goodwill [1][3]. Summary by Sections Lawsuit Details - The lawsuit is on behalf of all individuals and entities who purchased SoundHound securities between May 10, 2024, and March 3, 2025, with a deadline of May 27, 2025, for investors to apply as lead plaintiffs [1]. - The law firm Bragar Eagel & Squire, P.C. is representing the plaintiffs in this case [1][6]. Allegations Against SoundHound - The complaint alleges that SoundHound did not disclose material weaknesses in its internal controls, which impaired its ability to account for corporate acquisitions [3]. - It is claimed that the company overstated its remediation efforts regarding these weaknesses [3]. - The reported goodwill following the Amelia Acquisition was inflated and would require correction [3]. - SoundHound is expected to need additional time and resources to account for the SYNQ3 and Amelia Acquisitions [3]. - There is an increased risk that the company would be unable to file certain financial reports with the SEC on time [3]. Stock Market Reaction - Following the disclosure on March 4, 2025, that SoundHound would be unable to timely file its Annual Report for 2024, the company's stock price fell by $0.61, or 5.86%, closing at $9.72 per share [4].

Core Viewpoint - The article discusses a class action lawsuit against SoundHound AI, Inc. for alleged violations of the Securities Exchange Act of 1934, focusing on internal control weaknesses and misleading statements made by the company and its executives during the class period from May 10, 2024, to March 3, 2025 [1][3]. Group 1: Lawsuit Details - The class action lawsuit is titled Liles v. SoundHound AI, Inc., and it allows purchasers of SoundHound securities during the specified class period to seek appointment as lead plaintiff by May 27, 2025 [1][5]. - Allegations include that SoundHound had material weaknesses in its internal controls over financial reporting, which affected its ability to account for corporate acquisitions [3][4]. - The lawsuit claims that SoundHound overstated its remediation efforts regarding these internal control weaknesses, leading to inflated reported goodwill from its acquisition of Amelia Holdings, Inc. [3][4]. Group 2: Impact on Financial Reporting - On March 4, 2025, SoundHound announced it would be unable to timely file its annual report for 2024 due to complexities in accounting for its acquisitions, which resulted in a nearly 6% drop in its stock price [4]. - The company identified material weaknesses in its internal control over financial reporting, which further exacerbated concerns regarding its financial statements [4]. Group 3: Legal Representation - Robbins Geller Rudman & Dowd LLP is representing investors in this class action lawsuit and has a strong track record in securities fraud litigation, having recovered over $2.5 billion for investors in 2024 alone [6]. - The firm has been ranked 1 in securing monetary relief for investors in securities class action cases for four out of the last five years [6].

Then, on March 11, 2025, SoundHound filed its 2024 10-K. In the 2024 10-K, SoundHound stated, in relevant part, that, as of December 31, 2024, "[t]he Company did not design and maintain effective controls related to the identification of and accounting for certain non-routine, unusual or complex transactions, including the accounting for complex financing transactions and acquisitions"—disclosing for the first time that the Company's lack of effective controls was impairing its ability to account for corpor ...

A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/SOUN. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 332-239-2660. If you suffered a loss in SoundHound you have until May 27, 2025, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff. There is No Co ...

NEW YORK, March 31, 2025 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against SoundHound AI, Inc. ("SoundHound" or the "Company") (NASDAQ: SOUN) and certain officers. The class action, filed in the United States District Court for the Northern District of California, and docketed under 25-cv-02915, is on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired SoundHound securities between May 10, 2024 and March ...

CONTACT: Corey Holzer, Esq. (888) 508-6832 (toll-free) cholzer@holzerlaw.com ATLANTA, March 31, 2025 (GLOBE NEWSWIRE) -- A shareholder class action lawsuit has been filed against SoundHound AI, Inc. ("SoundHound" or "the Company") (NASDAQ: SOUN). The lawsuit alleges that Defendants made materially false and/or misleading statements, and/or failed to disclose material adverse facts regarding SoundHound's business, operations, and prospects, including allegations that: (i) the material weaknesses in SoundHoun ...

Core Viewpoint - SoundHound AI's stock has significantly declined, down approximately 60% from its December highs, raising questions about potential buying opportunities for investors [1] Company Overview - SoundHound AI has been in the public market for several years and gained attention when Nvidia owned shares, which initially boosted its stock price [2] - Nvidia no longer holds shares in SoundHound AI, leading to speculation about the reasons behind their initial investment [3][4] - SoundHound AI is working towards profitability and has raised capital multiple times, with management expecting to achieve adjusted EBITDA profitability by the end of 2025 [5] Financial Performance - SoundHound AI experienced a remarkable revenue growth of 101% in Q4, with projected revenue for 2025 expected to be between $157 million and $177 million, indicating a growth rate of 97% [6] - The company's valuation has decreased from over 100 times sales at its peak to 41 times sales, which, while still high, is more justifiable given the expected revenue growth [7][8] Market Position and Future Outlook - SoundHound AI's revenue backlog was reported at $1.2 billion in Q4, suggesting significant future revenue potential, not including new deals that may be signed [10] - The stock could be a solid investment opportunity, with potential strong performance over the next five years if management's projections are met [11]