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C3.ai Stock Plummets 25% After ‘Completely Unacceptable' Preliminary Results

1. C3.ai's shares fell over 25% due to weak preliminary sales figures. 2. CEO Tom Siebel called the results 'completely unacceptable' and cited leadership issues. 3. Revenue expectations dropped significantly from $100-109 million to $70.2-70.4 million. 4. D.A. Davidson analysts downgraded C3.ai stock to 'underperform' after the results. 5. Wedbush analysts lowered their target price but maintained an 'outperform' rating.

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FAQ

Why Very Bearish?

Significant drops in stock values often indicate loss of investor confidence. C3.ai's plunge aligns with historical precedents like Snap Inc.'s post-IPO declines in 2017 after poor performance.

How important is it?

The company's performance directly impacts the AI market's perception and future investments. High-profile drops like this often lead to reevaluation across the industry.

Why Short Term?

Immediate investor reactions can vary, but recovery may take significant time; similar instances in tech stocks show initial reactions dominate.

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