SoundHound has become a top AI stock recently, as its share price soared by 777% over the past 12 months. While the company is clearly a leader in conversational AI, its recent gains have given the stock a price-to-sales ratio of 74, which is a hefty premium.

A great example of that is the highly volatile SoundHound AI (NASDAQ: SOUN). The voice AI company surged an incredible 836% in 2024 after investors learned chipmaker Nvidia was an investor in the business.

Down 29.4% in the first two-and-a-half weeks of the New Year, SoundHound AI (Nasdaq: SOUN) stock is off to a rocky start in 2025. One thing you cannot say about SoundHound stock though, is that it’s been boring ride.

SoundHound AI (NASDAQ: SOUN) stock is surging higher in Tuesday's trading thanks to a duo of catalysts. The conversational artificial intelligence (AI) specialist's share price was up 11.7% at 1:10 p.

NVIDIA Corporation NVDA has been around for decades. However, with the advent of artificial intelligence (AI), the company has witnessed explosive business growth. In the past year, NVDA stock has surged 149%, becoming one of the top S&P 500 performers of 2024.

There may not be a hotter stock heading into 2025 than SoundHound AI (NASDAQ: SOUN). While there are some key risks to understand with SoundHound, this could be a chance to get in on the stock before it heads higher.