C3.ai, Inc. (NYSE:AI) Given Average Rating of "Reduce" by Brokerages

Key Points

• Analyst sentiment is bearish: Eleven analysts give C3.ai an average “Reduce” rating, including six sells, four holds and one buy. The average 12-month price target is $10.09.
• Insiders have been selling: Executives sold 1.37 million shares worth approximately $14.25 million over the past 90 days, including substantial sales by both CEOs.
• Operating results remain weak: Quarterly revenue fell 52.5% year over year to $51.6 million, while the company posted a $0.33 per-share loss and analysts expect a full-year loss of $2.28 per share.

C3.ai, Inc. (NYSE:AI - Get Free Report) has received an average recommendation of "Reduce" from the eleven analysts that are presently covering the company, Marketbeat.com reports. Six investment analysts have rated the stock with a sell recommendation, four have given a hold recommendation and one has assigned a buy recommendation to the company. The average twelve-month price target among brokerages that have issued a report on the stock in the last year is $10.0909.

A number of research firms have recently commented on AI. Canaccord Genuity Group increased their target price on C3.ai from $8.00 to $10.00 and gave the company a "hold" rating in a research report on Thursday, June 4th. DA Davidson restated an "underperform" rating and issued a $7.00 price target on shares of C3.ai in a research report on Thursday, June 4th. Weiss Ratings raised shares of C3.ai from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Tuesday, August 4th. KeyCorp reiterated an "underweight" rating on shares of C3.ai in a research report on Thursday, June 4th. Finally, Wedbush reissued an "outperform" rating and issued a $15.00 price objective on shares of C3.ai in a research note on Thursday, June 4th.

Insider Transactions at C3.ai

In other C3.ai news, CEO Stephen Bradley Ehikian sold 50,542 shares of the stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $9.45, for a total transaction of $477,621.90. Following the transaction, the chief executive officer directly owned 651,130 shares in the company, valued at $6,153,178.50. This represents a 7.20% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Thomas M. Siebel sold 453,314 shares of the stock in a transaction dated Tuesday, August 11th. The stock was sold at an average price of $10.51, for a total transaction of $4,764,330.14. Following the transaction, the chief executive officer owned 722,362 shares in the company, valued at approximately $7,592,024.62. The trade was a 38.56% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 1,371,124 shares of company stock worth $14,250,218. 26.50% of the stock is currently owned by insiders.

Institutional Investors Weigh In On C3.ai

Hedge funds have recently modified their holdings of the business. Vanguard Group Inc. boosted its stake in shares of C3.ai by 0.8% during the fourth quarter. Vanguard Group Inc. now owns 14,469,953 shares of the company's stock valued at $195,055,000 after purchasing an additional 108,011 shares in the last quarter. Morgan Stanley lifted its holdings in C3.ai by 1.9% during the fourth quarter. Morgan Stanley now owns 4,824,499 shares of the company's stock worth $65,034,000 after buying an additional 91,802 shares during the period. Bank of America Corp DE lifted its holdings in C3.ai by 55.1% during the first quarter. Bank of America Corp DE now owns 3,282,183 shares of the company's stock worth $27,636,000 after buying an additional 1,166,302 shares during the period. State Street Corp lifted its holdings in C3.ai by 3.3% during the fourth quarter. State Street Corp now owns 2,976,389 shares of the company's stock worth $40,122,000 after buying an additional 94,086 shares during the period. Finally, Geode Capital Management LLC boosted its position in C3.ai by 0.8% during the 4th quarter. Geode Capital Management LLC now owns 2,868,578 shares of the company's stock valued at $38,675,000 after acquiring an additional 21,451 shares in the last quarter. Hedge funds and other institutional investors own 38.96% of the company's stock.

C3.ai Trading Down 2.8%

NYSE:AI opened at $9.89 on Friday. The company has a market capitalization of $1.54 billion, a P/E ratio of -2.96 and a beta of 2.08. C3.ai has a 12 month low of $7.68 and a 12 month high of $20.22. The business's 50-day moving average is $9.53 and its 200 day moving average is $9.56.

C3.ai (NYSE:AI - Get Free Report) last released its quarterly earnings results on Wednesday, June 3rd. The company reported ($0.33) earnings per share for the quarter, beating the consensus estimate of ($0.38) by $0.05. C3.ai had a negative return on equity of 62.44% and a negative net margin of 187.95%.The business had revenue of $51.60 million during the quarter, compared to analysts' expectations of $51.60 million. During the same quarter last year, the business posted ($0.16) EPS. The firm's revenue for the quarter was down 52.5% compared to the same quarter last year. On average, research analysts forecast that C3.ai will post -2.28 earnings per share for the current year.

About C3.ai

C3.ai, Inc is a leading enterprise software provider focused on delivering scalable artificial intelligence (AI) and Internet of Things (IoT) solutions to large organizations. The company's core offering, the C3 AI Suite, is a comprehensive, model-driven platform that unifies data ingestion, model development, and application deployment. Through its suite of tools, C3.ai enables customers to accelerate digital transformation initiatives by applying advanced machine learning, predictive analytics, and AI-driven insights across a broad range of business functions.

The C3 AI Suite provides a low-code environment for data scientists and application developers to rapidly design, test, and deploy enterprise-scale AI applications.

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