C3.ai (NYSE:AI) Trading Down 5.3% - What's Next?

Key Points

• C3.ai shares fell 5.3% on Wednesday, dipping to a low of $16.31, with trading volume down 37% from the average.
• Analysts have mixed ratings on C3.ai, with one strong buy, two buy, eight hold, and five sell ratings, and a consensus target price of $27.43.
• The company reported a quarterly revenue of $108.72 million, surpassing estimates, but has a negative net margin of 74.21%.

C3.ai, Inc. (NYSE:AI - Get Free Report)'s stock price dropped 5.3% on Wednesday . The stock traded as low as $16.31 and last traded at $16.46. Approximately 3,802,394 shares changed hands during trading, a decline of 37% from the average daily volume of 6,056,349 shares. The stock had previously closed at $17.38.

Analyst Upgrades and Downgrades

AI has been the subject of several analyst reports. JMP Securities restated a "market outperform" rating and set a $50.00 price target on shares of C3.ai in a report on Friday, July 25th. Northland Capmk downgraded C3.ai from a "strong-buy" rating to a "hold" rating in a report on Monday, August 11th. Piper Sandler reduced their price target on C3.ai from $28.00 to $27.00 and set a "neutral" rating for the company in a report on Thursday, May 29th. Northland Securities downgraded C3.ai from an "outperform" rating to a "market perform" rating and set a $17.00 price target for the company. in a report on Tuesday, August 12th. Finally, KeyCorp restated a "mixed" rating on shares of C3.ai in a report on Thursday, May 29th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, eight have assigned a Hold rating and five have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Reduce" and a consensus target price of $27.43.

C3.ai Trading Up 2.9%

The firm has a fifty day moving average of $23.84 and a 200 day moving average of $23.92. The company has a market capitalization of $2.33 billion, a P/E ratio of -7.75 and a beta of 1.98.

C3.ai (NYSE:AI - Get Free Report) last released its quarterly earnings data on Wednesday, May 28th. The company reported ($0.16) EPS for the quarter, topping the consensus estimate of ($0.20) by $0.04. The company had revenue of $108.72 million during the quarter, compared to the consensus estimate of $107.85 million. C3.ai had a negative return on equity of 33.51% and a negative net margin of 74.21%.C3.ai's revenue for the quarter was up 25.5% on a year-over-year basis. During the same period last year, the company earned ($0.11) EPS. C3.ai has set its Q1 2026 guidance at EPS. FY 2026 guidance at EPS. Sell-side analysts anticipate that C3.ai, Inc. will post -2.44 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Richard C. Levin sold 36,000 shares of C3.ai stock in a transaction on Thursday, May 29th. The shares were sold at an average price of $28.17, for a total transaction of $1,014,120.00. Following the transaction, the director owned 161,664 shares in the company, valued at $4,554,074.88. This trade represents a 18.21% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Stephen M. Ward, Jr. sold 42,382 shares of the business's stock in a transaction on Thursday, May 29th. The shares were sold at an average price of $26.32, for a total transaction of $1,115,494.24. Following the sale, the director directly owned 546,495 shares of the company's stock, valued at approximately $14,383,748.40. The trade was a 7.20% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 2,257,074 shares of company stock valued at $53,260,950 in the last 90 days. 33.54% of the stock is owned by insiders.

Hedge Funds Weigh In On C3.ai

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Russell Investments Group Ltd. increased its position in C3.ai by 100.7% in the fourth quarter. Russell Investments Group Ltd. now owns 909 shares of the company's stock worth $31,000 after buying an additional 456 shares in the last quarter. Raymond James Financial Inc. bought a new position in shares of C3.ai during the 4th quarter valued at approximately $3,942,000. Mariner LLC increased its holdings in C3.ai by 5.6% in the 4th quarter. Mariner LLC now owns 23,717 shares of the company's stock worth $817,000 after acquiring an additional 1,262 shares in the last quarter. Canada Pension Plan Investment Board increased its holdings in C3.ai by 191.3% in the 4th quarter. Canada Pension Plan Investment Board now owns 30,300 shares of the company's stock worth $1,043,000 after acquiring an additional 19,900 shares in the last quarter. Finally, Natixis raised its stake in C3.ai by 12.1% during the 4th quarter. Natixis now owns 19,290 shares of the company's stock worth $664,000 after acquiring an additional 2,085 shares during the period. 38.96% of the stock is currently owned by hedge funds and other institutional investors.

C3.ai Company Profile

C3.ai, Inc operates as an enterprise artificial intelligence (AI) software company in North America, Europe, the Middle East, Africa, the Asia Pacific, and internationally. The company provides C3 AI platform, an application development and runtime environment that enables customers to design, develop, and deploy enterprise AI applications; C3 AI Ex Machina for analysis-ready data; C3 AI CRM, an industry specific customer relationship management solution; and C3 Generative AI Product Suite that enables to locate, retrieve, and present information.