C3.ai (NYSE:AI) Upgraded by Wall Street Zen to “Sell” Rating

Wall Street Zen upgraded shares of C3.ai (NYSE:AI) from a strong sell rating to a sell rating in a report released on Saturday,Wall Street Zen reports.

A number of other equities research analysts have also recently issued reports on AI. KeyCorp restated an “underweight” rating on shares of C3.ai in a research note on Thursday, June 4th. Citizens Jmp reiterated a “market perform” rating on shares of C3.ai in a research note on Thursday. UBS Group reissued an “underperform” rating on shares of C3.ai in a research report on Tuesday. DA Davidson reissued an “underperform” rating and set a $7.00 price objective on shares of C3.ai in a report on Tuesday, September 1st. Finally, Citigroup restated a “market perform” rating on shares of C3.ai in a research note on Thursday. One investment analyst has rated the stock with a Buy rating, four have assigned a Hold rating and seven have given a Sell rating to the stock. According to data from MarketBeat, C3.ai presently has a consensus rating of “Reduce” and an average target price of $8.70.

C3.ai Price Performance

NYSE:AI opened at $10.45 on Friday. The business has a fifty day simple moving average of $9.55 and a two-hundred day simple moving average of $9.43. C3.ai has a 1 year low of $7.68 and a 1 year high of $20.22. The company has a market capitalization of $1.62 billion, a P/E ratio of -3.39 and a beta of 2.10.

C3.ai (NYSE:AI) last issued its earnings results on Wednesday, September 2nd. The company reported ($0.20) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.26) by $0.06. The firm had revenue of $52.38 million for the quarter, compared to analyst estimates of $52.06 million. C3.ai had a negative return on equity of 60.82% and a negative net margin of 192.10%.The business’s revenue was down 25.4% on a year-over-year basis. During the same period in the previous year, the company posted ($0.37) earnings per share. As a group, analysts anticipate that C3.ai will post -2.28 earnings per share for the current year.

Insider Activity

In related news, CEO Stephen Ehikian sold 50,542 shares of the stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $9.45, for a total value of $477,621.90. Following the sale, the chief executive officer owned 651,130 shares in the company, valued at approximately $6,153,178.50. This trade represents a 7.20% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Hitesh Lath sold 48,619 shares of C3.ai stock in a transaction on Tuesday, June 30th. The shares were sold at an average price of $8.77, for a total value of $426,388.63. Following the sale, the chief financial officer directly owned 383,106 shares of the company’s stock, valued at $3,359,839.62. This represents a 11.26% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 1,258,650 shares of company stock worth $13,258,862 in the last three months. Corporate insiders own 26.50% of the company’s stock.

Institutional Trading of C3.ai

Institutional investors and hedge funds have recently modified their holdings of the business. NewEdge Advisors LLC grew its holdings in shares of C3.ai by 48.7% during the first quarter. NewEdge Advisors LLC now owns 2,442 shares of the company’s stock worth $51,000 after purchasing an additional 800 shares in the last quarter. Parallel Advisors LLC lifted its position in C3.ai by 76.4% during the third quarter. Parallel Advisors LLC now owns 1,849 shares of the company’s stock valued at $32,000 after purchasing an additional 801 shares during the last quarter. BOKF NA lifted its position in C3.ai by 20.7% during the third quarter. BOKF NA now owns 4,709 shares of the company’s stock valued at $82,000 after purchasing an additional 809 shares during the last quarter. Farther Finance Advisors LLC grew its stake in C3.ai by 66.1% in the 4th quarter. Farther Finance Advisors LLC now owns 2,141 shares of the company’s stock worth $29,000 after buying an additional 852 shares in the last quarter. Finally, Envestnet Asset Management Inc. grew its stake in C3.ai by 8.8% in the 3rd quarter. Envestnet Asset Management Inc. now owns 12,560 shares of the company’s stock worth $218,000 after buying an additional 1,018 shares in the last quarter. Hedge funds and other institutional investors own 38.96% of the company’s stock.

Key Stories Impacting C3.ai

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

• Positive Sentiment: Bookings surged 73% sequentially in fiscal Q1 2027, helped by sales-force restructuring and renewed demand. C3.ai signed 22 new customer agreements, including Ford and several U.S. government agencies, while federal-sector bookings rose 138% year over year. C3.ai Posts 73% Bookings Growth As Free Cash Flow Turns Positive
• Positive Sentiment: Free cash flow returned to positive territory, and the company retains approximately $650 million in cash. That liquidity gives C3.ai additional time to execute its turnaround and pursue enterprise and government opportunities.
• Positive Sentiment: C3.ai reported a quarterly loss of $0.20 per share, better than the expected $0.26 loss, while revenue of $52.38 million modestly exceeded estimates. Seeking Alpha upgraded the stock to Buy, citing stronger bookings and founder Thomas Siebel’s renewed leadership. C3.ai: Early Turnaround Signals Are Here
• Neutral Sentiment: CEO Thomas Siebel sold 16,890 shares worth about $174,000 to cover tax withholding tied to equity vesting. The sale reduced his direct ownership by 2.24%, but its stated purpose makes it a weaker bearish signal than a discretionary insider sale. C3.ai CEO Thomas Siebel Sells Shares
• Negative Sentiment: Revenue fell approximately 25% year over year to $52.4 million, and subscription revenue also declined. Management’s fiscal 2027 revenue outlook of $210 million to $240 million is broadly cautious, while quarterly revenue guidance of $53 million came in below analyst expectations. C3.ai Posts Sales In Line but Guidance Misses Expectations
• Negative Sentiment: Analyst opinion remains unfavorable: Canaccord reiterated Hold with a $10 target, Citizens JMP and Citigroup maintained Market Perform, while DA Davidson and UBS kept Underperform ratings. The reported consensus rating is Reduce, with an average target of $8.70.

C3.ai Company Profile

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.