Upcoming Earnings Report: C3.ai (NYSE:AI) is set to announce its earnings results this Wednesday after market hours, with investors keenly awaiting the outcome.
Previous Quarter Performance: In the last quarter, C3.ai reported revenues of $108.7 million, surpassing analysts' expectations by 0.8% and marking a 25.6% year-on-year growth. The company also exceeded EBITDA estimates and provided optimistic revenue guidance for the next quarter.
Analyst Expectations
Projected Revenue Growth: Analysts anticipate a revenue growth of 7.9% year-on-year for the upcoming quarter, estimating revenues at $94.1 million, a slowdown from the 20.5% increase seen in the same quarter last year.
Expected Loss: The adjusted loss per share is projected to be -$0.21. Analysts have largely maintained their estimates over the past month, indicating confidence in the company's performance.
Market Context
Peer Performance: In the data infrastructure sector, Teradata reported a 6.4% year-on-year revenue decline but beat expectations, while Elastic saw a 19.5% revenue increase, also exceeding estimates. Teradata's stock rose by 8%, while Elastic's fell by 3%.
Investor Sentiment: The data infrastructure segment has seen a positive sentiment, with average share prices increasing by 3.2% over the last month. In contrast, C3.ai's stock has dropped by 27% during the same period.
Stock Analysis
Current Stock Price vs. Analyst Target: C3.ai's current share price stands at $16.93, with an average analyst price target of $21.75, suggesting potential upside.
Generative AI Impact: The rise of generative AI is expected to significantly influence corporate operations, with major semiconductor companies like Nvidia and AMD reaching near all-time highs. There is also mention of a lesser-known semiconductor stock that is benefiting from this trend.
Company Growth and Opportunities
StockStory Hiring: StockStory is expanding and looking to fill equity analyst and marketing roles, targeting individuals passionate about markets and AI.
AI
$14.635+Infinity%1D
Analyst Views on AI
Wall Street analysts forecast AI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AI is 30.45 USD with a low forecast of 18.00 USD and a high forecast of 50.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
13 Analyst Rating
Wall Street analysts forecast AI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AI is 30.45 USD with a low forecast of 18.00 USD and a high forecast of 50.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Buy
6 Hold
3 Sell
Hold
Current: 15.270
Low
18.00
Averages
30.45
High
50.00
Current: 15.270
Low
18.00
Averages
30.45
High
50.00
Roth Capital
Buy
downgrade
$11 -> $8
2025-12-08
Reason
Roth Capital
Price Target
$11 -> $8
2025-12-08
downgrade
Buy
Reason
Roth Capital lowered the firm's price target on Airship AI to $8 from $11 and keeps a Buy rating on the shares. After a period of prolonged decision making and government-induced delays, technology investment for safety and security is entering what appears to be a record period of growth, the analyst tells investors in a research note. Expanding government budgets and a recovering approval process with a record validated pipeline should be further complemented by more widespread adoption of Airship's solutions in commercial applications, which could ultimately expand into new markets such as robotics, the firm added.
UBS
Radi Sultan
Neutral
maintain
$16 -> $17
2025-09-12
Reason
UBS
Radi Sultan
Price Target
$16 -> $17
2025-09-12
maintain
Neutral
Reason
UBS analyst Radi Sultan raised the firm's price target on C3 AI to $17 from $16 and keeps a Neutral rating on the shares.
Morgan Stanley
Sanjit Singh
Underweight -> Underweight
downgrade
$22 -> $11
2025-09-09
Reason
Morgan Stanley
Sanjit Singh
Price Target
$22 -> $11
2025-09-09
downgrade
Underweight -> Underweight
Reason
Morgan Stanley analyst Sanjit Singh lowered the firm's price target on C3 AI to $11 from $22 and keeps an Underweight rating on the shares. Following Q1 results that included a 19% year-over-year decline in revenue and 82% lower operating margin, the firm is lowering its estimates to reflect the new growth trajectory, the analyst tells investors.
Canaccord
David Hynes
Hold
downgrade
$28 -> $16
2025-09-05
Reason
Canaccord
David Hynes
Price Target
$28 -> $16
2025-09-05
downgrade
Hold
Reason
Canaccord analyst David Hynes lowered the firm's price target on C3 AI to $16 from $28 and keeps a Hold rating on the shares. The firm said after pre-announcing headline Q1 results nearly a month ago, most of today's print doesn't come as a surprise. That said, the confluence of materially lower non-GAAP gross margins the lack of clarity around a FY26 guide, and a generally sour tone on the call have combined to push shares lower.
About AI
C3.ai, Inc. is an enterprise artificial intelligence (AI) application software company. The Company has built a solution that enables its customers to rapidly develop, deploy, and operate enterprise AI applications. It offers families of software solutions, which it collectively refers to as its C3 AI software: The C3 AI Platform, C3 AI Applications, and C3 Generative AI. The C3 AI Platform, its core technology, is a comprehensive, end-to-end application development and runtime environment that is designed to allow its customers to rapidly design, develop, and deploy Enterprise AI applications of any type. Its C3 AI Applications, built using the C3 AI Platform, is a portfolio of pre-built, extensible, industry-specific, and application-specific software-as-a-service offerings (SaaS) Enterprise AI applications that can be rapidly installed and deployed. Its C3 Generative AI combines the utility of large language models, generative AI, reinforcement learning, natural language processing.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
