1. C3.ai faces a class action lawsuit for failing to disclose information. 2. Disappointing financial results attributed to leadership changes and health issues. 3. Stock price dropped 25.58% following the bad news and revised guidance.
The significant drop in stock price reflects investor concerns regarding C3.ai's financial health. Similar historical trends have shown that poor earnings announcements can lead to long-lasting declines in stock performance.
The lawsuit's implications for C3.ai could influence investor sentiment towards the AI sector overall. As major AI players face scrutiny, investor behavior could shift, impacting prices across the industry.
Immediate investor reactions suggest a short-term negative impact, especially before upcoming legal proceedings. As the lawsuit develops, stock volatility may persist but could stabilize if future disclosures improve.
NEW YORK and NEW ORLEANS, Aug. 29, 2025 /PRNewswire/ -- Kahn Swick & Foti, LLC ("KSF") and KSF partner, former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors that they have until October 21, 2025 to file lead plaintiff applications in a securities class action lawsuit against C3.ai, Inc. ("C3" or the "Company") (NYSE:AI), if they purchased the Company's securities between February 26, 2025 to August 8, 2025, inclusive (the "Class Period"). This action is pending in the United States District Court for the Northern District of California.
What You May Do
If you purchased securities of C3 and would like to discuss your legal rights and how this case might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, contact KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850 or via email (lewis.kahn@ksfcounsel.com), or visit https://www.ksfcounsel.com/cases/nyse-ai/ to learn more. If you wish to serve as a lead plaintiff in this class action, you must petition the Court by October 21, 2025.
About the Lawsuit
C3 and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On August 8, 2025, the Company disclosed disappointing preliminary financial results for 1Q 2026 and reduced its revenue guidance for the full fiscal year 2026, attributing its poor sales results and lowered guidance to "the reorganization with new leadership" as well as the health ailments of its Chief Executive Officer.
On this news, the price of C3's shares fell from a closing price of $22.13 per share on August 8, 2025 to $16.47 per share on August 11, 2025, a decline of about 25.58%.
The case is John Liggett Sr. v. C3.ai, Inc., et al., No. 25-cv-07129.
About Kahn Swick & Foti, LLC
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. This past year, KSF was ranked by SCAS among the top 10 firms nationally based upon total settlement value. KSF serves a variety of clients, including public and private institutional investors, and retail investors - in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, Delaware, California, Louisiana, Chicago, New Jersey, and a representative office in Luxembourg.
TOP 10 Plaintiff Law Firms - According to ISS Securities Class Action Services
To learn more about KSF, you may visit www.ksfcounsel.com.
Contact:
Kahn Swick & Foti, LLC
Lewis Kahn, Managing Partner
lewis.kahn@ksfcounsel.com
1-877-515-1850
1100 Poydras St., Suite 960
New Orleans, LA 70163
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