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Benzinga
173 days

C3.ai Sees Stronger Revenue But Analyst Concerned Over Profitability And Scale

1. C3.ai's revenue increased 26%, exceeding estimates at $98.8 million. 2. Analyst maintains Underweight rating, lowers price target to $27. 3. C3.ai forecasts fourth-quarter revenue between $103.6M to $113.6M. 4. C3.ai's adjusted operating margin is projected at -24%, lower than peers. 5. Price Action: AI stock down 6.24% to $25.05.

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FAQ

Why Bearish?

C3.ai's declining price target and profitability issues indicate investor concerns. Historical precedents show significant price declines with similar analyst downgrades.

How important is it?

Profitability and growth assessments are critical for AI investment decisions. The analyst's rating may affect investment flows toward AI companies.

Why Short Term?

Immediate market reaction to downgrades usually affects stock prices quickly. Analysts' ratings can heavily influence trading in the short term.

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