AI|Earnings Snapshot
EPS
| Qtr | Est | Actual | +/− |
|---|---|---|---|
| Q1'27 | $-0.25 | - | - |
| Q4'26 | $-0.38 | $-0.33 | +14.1% |
| Q3'25 | $-0.33 | $-0.25 | +24.8% |
| Q2'25 | $-0.21 | $-0.37 | -75.3% |
| Q1'25 | $-0.20 | $-0.16 | +20.4% |
| Q4'24 | $-0.25 | $-0.12 | +52.0% |
Revenue
| Qtr | Est | Actual | +/− |
|---|---|---|---|
| Q1'27 | $54M | - | - |
| Q4'26 | $52M | $52M | -0.3% |
| Q3'25 | - | $75M | - |
| Q2'25 | - | $70M | - |
| Q1'25 | - | $109M | - |
| Q4'24 | - | $99M | - |
Market Data
AI Stock Snapshot
AI is currently trading at $10.24, giving C3.ai Inc. a market cap of 1.55B. Today's range spans $9.87–$10.44, with shares opening at $10.03 and moving up $0.02 (0.2%) from the prior close. DailyIQ's technical score sits at 68/100 (BUY) with a news sentiment reading of 33/100.
Over the past year AI has traded between $7.67 and $23.68 - the current price is +33.5% off the 52-week low and -56.8% from the high.
At 1.55B in Technology market cap, AI isn't on every institutional screen - yet. The current setup (BUY, 68/100, bearish sentiment at 33/100, price $10.24 (near 52-week lows)) is the kind of data profile that changes that. When small-cap Technology names show bullish technicals with aligned news sentiment, discovery buying and fundamental upgrades can accelerate the move beyond what the signal alone predicts. Range: $7.67–$23.68.
Small-cap BUY setups (68/100) like AI — 1.55B in Technology market cap — offer a different risk/reward profile than larger peers: the re-rating potential on a positive catalyst is larger in percentage terms, but the position-sizing discipline needs to account for thinner liquidity. At $10.24 (near 52-week lows in $7.67–$23.68), with bearish sentiment (33/100) supporting the directional read, this is a name that rewards concentrated attention rather than casual exposure.
Company Insights: C3.ai Inc. (AI)
C3.ai, Inc. is a software provider focused on enterprise artificial intelligence applications, offering the C3 agentic AI platform and pre-built solutions designed to enhance operational efficiency and data-driven decision-making across various industries. The company's strategy involves leveraging partnerships with cloud providers and consulting firms to effectively deliver its AI solutions to a broad client base. This approach aims to position C3.ai as a key player in the rapidly evolving AI software landscape. Its core value proposition centers on accelerating AI adoption for businesses seeking to optimize complex operations.
The company's financial performance has shown a mixed trajectory, with revenue growth observed from Q4 2024 to Q1 2025, reaching $108.7 million. However, this growth decelerated significantly in subsequent quarters, with Q2 2025 revenue falling to $70.3 million before a modest recovery to $75.1 million in Q3 2025. A consistent challenge has been earnings per share (EPS), which has missed analyst estimates in the last three reported quarters, indicating ongoing profitability concerns. These financial trends underscore the importance of operational execution and market adoption for future performance.
Recent strategic shifts signal a significant pivot for C3.ai, including a substantial restructuring, workforce reductions, and a change in leadership, alongside a renewed focus on the defense AI sector. This strategic realignment is highlighted by a major contract with the US Missile Defence Agency, aiming to bolster profitability and address prior stock performance issues. The company is prioritizing cost reduction and a decrease in cash burn as part of this turnaround effort. Investors will closely monitor how this defense-centric strategy impacts revenue generation and the company's ability to achieve consistent profitability and improve its EPS beat rate.
AI Platform
Offers the C3 agentic AI platform for building and deploying enterprise AI solutions.
Provides pre-built AI applications for CRM, supply chain, sustainability, and financial services.
Aims to accelerate AI adoption and improve operational efficiency for clients.
Revenue Trends
Experienced revenue growth from Q4 2024 ($98.8M) to Q1 2025 ($108.7M).
Revenue decelerated significantly in Q2 2025 ($70.3M) before a partial recovery in Q3 2025 ($75.1M).
Future revenue trajectory is closely tied to the success of its strategic pivot.
Profitability Concerns
Consistently missed EPS estimates in the last three reported quarters.
Reported EPS of -$0.16 in Q1 2025 and -$0.37 in Q2 2025.
Restructuring efforts aim to improve profitability and reduce cash burn.
Defense AI Focus
Undergoing a strategic pivot towards the defense artificial intelligence sector.
Secured a significant contract with the US Missile Defence Agency.
This shift is intended to drive future growth and enhance financial performance.
Positioning AI
C3.ai stock performance has been volatile, reflecting challenges in revenue growth and profitability. Investors considering an entry should monitor the execution of its defense AI strategy and its impact on revenue acceleration and cost management. Reducing exposure may be warranted if the company fails to demonstrate consistent progress in improving its EPS beat rate or if cash burn remains elevated without clear signs of sustained revenue recovery.
AI Competitive Positioning
C3.ai Inc. (AI) is tracked alongside these names in Software - Infrastructure on DailyIQ.
What Moves AI Stock?
C3.ai's stock performance is primarily driven by its ability to secure large enterprise AI contracts and its progress in transitioning to a more profitable business model.
Defense AI Contracts
C3.ai is strategically shifting its focus towards the lucrative defense sector, aiming to leverage its AI platform for government applications.
Securing significant contracts, such as the recent US Missile Defence Agency deal, is crucial for revenue growth and demonstrating the platform's viability, directly impacting investor confidence and stock valuation.
Profitability Turnaround
The company is undergoing a significant restructuring, including cost reductions and a CEO change, to improve its financial performance and reduce cash burn.
Investors are closely monitoring the effectiveness of these measures in achieving profitability and a positive EPS beat rate, as past performance has shown consistent misses.
Enterprise AI Adoption
C3.ai's core business relies on selling its agentic AI platform and pre-built applications to enterprises across various industries.
The pace of enterprise AI adoption and the company's success in converting pipeline into recurring revenue are key indicators for sustained growth and market position.
Key insight: C3.ai's future hinges on its successful pivot to defense AI and its ability to achieve sustainable profitability. Investors will scrutinize contract wins and the impact of restructuring efforts on financial results.
Analyst Price Targets for AI
Wall Street's current consensus view on C3.ai Inc. (AI), based on the most recently tracked analyst coverage.
Reflects the most recently tracked analyst ratings for AI and may lag real-time updates. Not a recommendation to buy or sell.
Risk Factors
AI Recent Earnings History
- Q3 2025
EPS: $-0.25 actual vs $-0.33 estimate (beat) · Revenue: $75M actual
- Q2 2025
EPS: $-0.37 actual vs $-0.21 estimate (miss) · Revenue: $70M actual
- Q1 2025
EPS: $-0.16 actual vs $-0.2 estimate (beat) · Revenue: $109M actual
- Q4 2024
EPS: $-0.12 actual vs $-0.25 estimate (beat) · Revenue: $99M actual
Key Metrics for AI
Frequently Asked Questions About AI
What is C3.ai (AI) stock's investment thesis?
The investment thesis for C3.ai (AI) stock centers on its position as an enterprise AI software provider. The company's agentic AI platform and pre-built applications aim to drive efficiency and data-driven decisions across industries. Investors may consider its strategic partnerships and its focus on areas like defense AI as key growth drivers.
What drives C3.ai (AI) stock price?
C3.ai's stock price is influenced by its ability to secure new enterprise AI contracts and expand its customer base. Revenue growth, progress in its strategic pivot towards defense AI, and the successful deployment of its platform are key factors. Market sentiment towards AI companies and competitive pressures also play a significant role.
Does C3.ai (AI) pay a dividend?
C3.ai, Inc. (AI) does not currently pay a dividend to its shareholders. The company is focused on reinvesting its capital into growth initiatives and platform development. Investors seeking income through dividends would need to look at other investment opportunities.
What are the risks of investing in C3.ai (AI) stock?
Risks associated with C3.ai (AI) stock include intense competition in the AI software market, the company's history of missing earnings estimates, and its reliance on securing large, long-term contracts. A significant strategic shift, such as the pivot to defense AI, also carries execution risk and uncertainty.
How is C3.ai (AI) performing financially?
C3.ai has shown revenue growth in some recent periods, but has also experienced deceleration and declines in others. The company has consistently missed earnings per share (EPS) estimates, indicating profitability challenges. Investors are closely monitoring its restructuring efforts and the impact on its financial performance.
What is C3.ai's (AI) valuation outlook?
Valuation for C3.ai (AI) stock is often assessed based on its revenue growth potential and market share in the enterprise AI space. Given its current market capitalization and revenue figures, its valuation may be considered high by some metrics, especially if profitability remains elusive. The company's strategic pivot and future growth prospects will heavily influence its valuation.
What is C3.ai's (AI) strategy in the defense sector?
C3.ai's strategy in the defense sector involves leveraging its AI platform to provide solutions for military applications, such as intelligence, surveillance, and reconnaissance. The company has secured a significant contract with the US Missile Defence Agency, signaling a strong focus on this market to drive future revenue and growth.
How does C3.ai (AI) compete with larger tech companies?
C3.ai competes by focusing on specialized enterprise AI applications and its agentic AI platform, aiming to offer solutions that are more tailored than those from larger, more generalist tech providers. Its strategic partnerships with cloud giants also help it reach a broader market and integrate its solutions.
What impact has the CEO change had on C3.ai (AI)?
The recent CEO change at C3.ai (AI) is part of a broader restructuring aimed at improving profitability and focusing the company's strategy, particularly towards defense AI. Investors will be looking for this leadership transition to translate into improved operational execution and financial results.
How does C3.ai (AI) address its revenue growth challenges?
C3.ai is addressing revenue growth challenges through a strategic pivot, notably focusing on the defense sector with significant contract wins, and by implementing cost-saving measures and workforce reductions. The company aims to improve its financial footing and demonstrate a clearer path to sustained growth.
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