Why SoundHound AI (SOUN) and Quantum Computing (QUBT) are on the rise today

Why SoundHound AI (SOUN) and Quantum Computing (QUBT) are on the rise today

SoundHound AI (SOUN) and Quantum Computing (QUBT) are both up well over 20% today.

SoundHound develops voice-based AI solutions, while Quantum Computing sells quantum machines that solve extremely complex problems and process data.

SOUN stock has been on a tear since Monday, when Wedbush Securities analyst Dan Ives raised his price target on the stock to $22 from $10 while maintaining an “Outperform” rating on the name.

Ives called SOUN “an underrated pure-play AI company” and predicted that both the company’s total addressable market and growth would increase in 2025. Specifically, the analyst wrote that the company, whose customers include Chip0tle (CMG) and Panda Express, will enter the nest year of the e-commerce sector.

As for Quantum Computing, the stock has been on an upward trend since yesterday when the company announced that it had received a contract from NASA. Under the agreement, the space agency will use the company’s entropy quantum optimization engine to facilitate its advanced imaging and data processing activities.

In the last month, SOUN is up 270%, while QUBT is up 531% over the same period.

While we recognize SOUN’s potential, we believe some AI stocks are more promising to deliver higher returns, and within a shorter time frame. If you’re looking for an AI stock that has more promise than SOUN but trades at less than 5x earnings, check out our report on it cheapest AI stock.

READ ALSO The 8 Best Wide Moat Stocks to Buy Now And The 30 most important AI stocks according to BlackRock

Disclosure: None. This article was originally published on Insider Monkey.

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