SoundHound AI (SOUN) shares dropped 1.74% to $7.33 on Tuesday, underperforming major indexes as the S&P 500 gained 0.1% and the Nasdaq rose 0.14%. The stock has plunged 32.79% over the past month, significantly underperforming both the Computer and Technology sector's 4.05% decline and the S&P 500's 1.43% loss.

Investors are watching SoundHound's February 26 earnings report closely, with analysts projecting a quarterly loss of $0.02 per share on $53.96 million in revenue - representing 97.1% earnings growth and 56.22% revenue growth year-over-year. For the full year, estimates call for a loss of $0.13 per share on $167.84 million in revenue, indicating 87.5% earnings improvement and 98.17% revenue growth compared to last year.

The stock currently holds a Zacks Rank #2 (Buy), with no changes to consensus EPS estimates in the past 30 days. Despite recent underperformance, the quantitative model suggests positive estimate revisions typically correlate with near-term stock price movements. The Computers - IT Services industry ranks in the top 36% of all industries according to Zacks' methodology.