SOUNWCAUTIOUS

SOUNW Debt-to-Equity Ratio Analysis

0.01x

Higher than 13% of Technology sector peers

Updated 1299h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio compares a company’s total debt to its shareholders’ equity, showing how much leverage it uses.

Sector Performance

13th percentile

SOUNW

0.01x

Sector Median

0.27x

Sector Avg

0.24x

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Deep Analysis

The debt-to-equity ratio compares a company’s total debt to its shareholders’ equity, showing how much leverage it uses.

SoundHound AI’s current ratio of 0.01x means it has minimal debt relative to equity — a conservative financial position. Among technology sector peers, the sector median is 0.27x, and SoundHound’s 0.01x places it at the 12th percentile, meaning it has lower debt than 88% of its peers. Trend data is not available: the year-over-year change, quarter-over-quarter change, and last eight quarters are all listed as N/A, so no directional movement can be assessed. The combination of an extremely low debt level with no trend information implies that the company faces very low financial risk from leverage, but the absence of historical context makes it impossible to judge whether this is stable or shifting. This metric supports the overall CAUTIOUS verdict — while the minimal debt reduces bankruptcy risk, the lack of trend data alongside other unknown factors justifies a cautious stance rather than a clear positive

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about SOUNW?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does SOUNW's Debt-to-Equity Ratio compare to its sector?

SOUNW's Debt-to-Equity Ratio of 0.01x compares to a Technology sector median of 0.27x, placing it in the 13th percentile.

Who are SOUNW's closest peers by Debt-to-Equity Ratio?

The closest Technology peers by Debt-to-Equity Ratio include: IAC (0.31x), CDNS (0.44x), PCTY (0.07x), ZS (0.72x), BR (1.14x).

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Learn More About Debt-to-Equity Ratio

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Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.