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Kirby McInerney LLP Announces Investigation Against SoundHound AI, Inc. (SOUN) on Behalf of Investors

1. Kirby McInerney LLP is investigating SoundHound for potential securities law violations. 2. SoundHound delayed filing its 10-K for 2024 due to complex accounting issues. 3. Material weaknesses in internal controls over financial reporting were identified by SoundHound. 4. SoundHound's stock fell from $10.32 to $9.72 following the late filing announcement. 5. Company expects to submit its 10-K by March 18, 2025.

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FAQ

Why Bearish?

The investigation implies significant risks and uncertainties, similar to past SEC probes of other companies like Nikola Corporation, which faced severe backlash and market value loss due to investigations.

How important is it?

The investigation and late filing potentially indicate deeper financial issues, which investors treat as critical.

Why Short Term?

The immediate impact has been observed in stock valuation, likely persisting until resolution or further clarity on financial reporting.

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NEW YORK, March 07, 2025 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP is investigating potential claims against SoundHound AI, Inc. (“SoundHound” or the “Company”) (NASDAQ:SOUN). The investigation concerns whether SoundHound and/or certain of its officers have violated the federal securities laws and/or engaged in other unlawful business practices. [LEARN MORE ABOUT THE INVESTIGATION] On March 4, 2025, SoundHound filed a Notification of Late Filing on Form 12b-25 with the SEC, stating that the Company would be unable to file its 10-K annual report for the fiscal year ended December 31, 2024, within the prescribed time period. The Notification of Late Filing said that “[d]ue to the complexity of accounting for [the Company’s prior acquisitions of Synq3, Inc. and Amelia Holdings, Inc.], the Company requires additional time to prepare financial statement and accompanying notes.” The Notification of Late Filing further stated that the Company “has identified material weaknesses in its internal control over financial reporting. These material weaknesses continue to exist as of December 31, 2024. The Company expects to file its Form 10-K within the fifteen-day period provided under Rule 12b-25, no later than by March 18, 2025.” On this news, the price of SoundHound shares declined by $0.60 per share, from $10.32 per share on March 3, 2025, to close at $9.72 on March 4, 2025. If you purchased or otherwise acquired SoundHound securities, have information, or would like to learn more about this investigation, contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out the form below to discuss your rights or interests with respect to these matters without any cost to you. [CONTACT US] Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules. ContactsKirby McInerney LLPThomas W. Elrod, Esq.212-699-1180https://www.kmllp.cominvestigations@kmllp.com

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