Sound Group stock: why did it more than double on Wednesday?

Sound Group Inc (NASDAQ: SOGP) just launched new artificial intelligence enabled applications for the international market. Its shares are up more than 100% in premarket today.

Details of Sound Group’s new offerings

The audio-centric entertainment company is convinced the new offerings will help boost user productivity and creativity.

Sound Group remains committed to further “enrich its suite of AI products by actively integrating AIGC technologies” as well, as per its press release on Wednesday.

The news arrives months after the Nasdaq-listed firm said its revenue came in down 25% on a year-over-year basis in its third financial quarter. $SOGP ended Q3 with 402.6 thousand monthly paying users – down from 476.7 thousand a year ago.

Sound Group stock is still down close to 50% versus its 52-week high in June of 2023.

Wall Street rates Sound Group stock at ‘buy’

Note that Sound Group has already achieved a bunch of breakthroughs in the likes of text-to-speech, automatic speech recognition, large language models, and AI voice.

The company headquartered in Singapore is committed to not only “upgrading its existing AI products” but also incubating applications that “deeply integrated AI capabilities”, the press release added.

$SOGP announced a $3.0 billion stock buyback programme in December of 2023. As of earlier this month, it had repurchased close to $0.8 million worth of its shares.

Wall Street currently has a consensus “buy” rating on Sound Group stock that does not pay a dividend yield at writing.