Northland Securities Forecasts C3.ai Q1 Earnings

Key Points

• Northland Securities expects C3.ai to remain unprofitable: The firm forecasts a Q1 2028 loss of $0.51 per share and a full-year 2028 loss of $1.85 per share, while maintaining an “Outperform” rating and a $16 price target.
• Analyst sentiment remains broadly cautious: C3.ai has a consensus “Reduce” rating and an average price target of $9.36, with seven analysts rating the stock a Sell compared with two Buys.
• Operating performance is under pressure: The company recently reported a narrower-than-expected quarterly loss but revenue declined 25.4% year over year, while insiders sold more than 1.1 million shares worth approximately $11.7 million over the past 90 days.

C3.ai, Inc. (NYSE:AI - Free Report) - Research analysts at Northland Securities issued their Q1 2028 EPS estimates for shares of C3.ai in a research note issued to investors on Monday, October 12th. Northland Securities analyst M. Latimore anticipates that the company will earn ($0.51) per share for the quarter. Northland Securities has an "Outperform" rating and a $16.00 price objective on the stock. The consensus estimate for C3.ai's current full-year earnings is ($2.21) per share. Northland Securities also issued estimates for C3.ai's Q2 2028 earnings at ($0.48) EPS, Q3 2028 earnings at ($0.44) EPS and FY2028 earnings at ($1.85) EPS.

A number of other equities research analysts have also commented on the company. Canaccord Genuity Group reiterated a "hold" rating and issued a $10.00 price target on shares of C3.ai in a research report on Thursday, September 3rd. Needham & Company LLC restated a "hold" rating on shares of C3.ai in a research report on Thursday, September 3rd. Citizens Jmp restated a "market perform" rating on shares of C3.ai in a research report on Tuesday, September 29th. DA Davidson reaffirmed an "underperform" rating and issued a $7.00 price objective on shares of C3.ai in a research note on Tuesday, September 1st. Finally, Weiss Ratings upgraded C3.ai from a "sell (e+)" rating to a "sell (d-)" rating in a report on Tuesday, August 4th. Two research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and seven have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Reduce" and a consensus target price of $9.36.

C3.ai Stock Up 3.2%

Shares of NYSE:AI opened at $11.98 on Wednesday. C3.ai has a 12-month low of $7.68 and a 12-month high of $19.80. The business has a fifty day simple moving average of $10.58 and a 200 day simple moving average of $9.75.

C3.ai (NYSE:AI - Get Free Report) last issued its quarterly earnings results on Wednesday, September 2nd. The company reported ($0.20) EPS for the quarter, topping analysts' consensus estimates of ($0.26) by $0.06. C3.ai had a negative net margin of 192.10% and a negative return on equity of 61.25%. The company had revenue of $52.38 million for the quarter, compared to analyst estimates of $52.06 million. During the same quarter in the previous year, the business earned ($0.37) earnings per share. C3.ai's revenue was down 25.4% compared to the same quarter last year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Sequoia Financial Advisors LLC bought a new stake in shares of C3.ai during the 2nd quarter valued at about $106,000. Engineers Gate Manager LP bought a new stake in C3.ai in the second quarter worth approximately $2,855,000. Allworth Financial LP increased its holdings in C3.ai by 13.6% in the second quarter. Allworth Financial LP now owns 26,660 shares of the company's stock worth $242,000 after purchasing an additional 3,185 shares in the last quarter. Arizona State Retirement System increased its holdings in C3.ai by 3.7% in the second quarter. Arizona State Retirement System now owns 37,168 shares of the company's stock worth $338,000 after purchasing an additional 1,310 shares in the last quarter. Finally, Nykredit A S bought a new stake in C3.ai in the second quarter worth approximately $84,000. 38.96% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling at C3.ai

In other C3.ai news, 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 completion of the sale, the chief executive officer directly owned 722,362 shares in the company, valued at approximately $7,592,024.62. This trade represents a 38.56% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Hitesh Lath sold 21,077 shares of the stock in a transaction dated Wednesday, September 16th. The stock was sold at an average price of $10.48, for a total value of $220,886.96. Following the sale, the chief financial officer owned 371,036 shares of the company's stock, valued at approximately $3,888,457.28. The trade was a 5.38% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 1,117,809 shares of company stock worth $11,724,230. 19.80% of the stock is owned by company insiders.

C3.ai News Summary

Here are the key news stories impacting C3.ai this week:

• Positive Sentiment: Northland upgrades C3.ai to Outperform: Northland Securities raised its rating from Market Perform to Outperform and increased its price target from $10 to $16. Analyst Mike Latimore views the enterprise AI platform launch as a potential “new growth engine,” while easier comparisons could improve the company’s growth outlook. C3.ai rallies after Northland upgrades stock on enterprise AI platform launch
• Positive Sentiment: Higher valuation expectations: Northland’s $16 target implies meaningful upside from the stock’s recent trading level and has helped attract buying interest across enterprise software and AI stocks. The firm estimates a quarterly loss of $0.42 per share and expects C3.ai to remain unprofitable, but still maintains an Outperform rating. Northland Securities Upgrades C3.ai to Strong-Buy
• Neutral Sentiment: Increased investor attention: C3.ai has recently ranked among the most-watched stocks on Zacks, which may boost near-term trading activity. However, the coverage does not provide a new fundamental estimate or company-specific catalyst. C3.ai is Attracting Investor Attention
• Negative Sentiment: UBS remains cautious: UBS said C3.ai needs several more quarters to stabilize its business, tempering the optimism from Northland’s upgrade. The caution highlights execution risk, especially as the company continues to report substantial losses and declining revenue. C3.ai Needs More Quarters to Stabilize, UBS Says

About C3.ai

C3.ai, Inc is an enterprise artificial intelligence software company that develops applications and tools designed to help organizations use AI and machine learning to analyze data, automate processes and support business decision-making. The company's offerings are intended for large commercial enterprises, government agencies and other organizations managing complex operational and data environments.

Its product portfolio includes the C3 AI Platform, which provides capabilities for developing, deploying and operating AI applications, as well as prebuilt enterprise applications.

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