AI PE Ratio & Valuation,Is AI Overvalued

AI Relative Valuation

AI's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, AI is overvalued; if below, it's undervalued.

Historical Valuation

C3.ai Inc (AI) is now in the Fair zone, suggesting that its current forward PS ratio of 7.39 is considered Fairly compared with the five-year average of -47.88. The fair price of C3.ai Inc (AI) is between 4.59 to 37.33 according to relative valuation methord.

Relative Value

Fair Zone

4.59-37.33

Current Price：13.66

Fair

-70.79

-36.47

EV/EBITDA

C3.ai Inc. (AI) has a current EV/EBITDA of -36.47. The 5-year average EV/EBITDA is -30.10. The thresholds are as follows: Strongly Undervalued below -76.16, Undervalued between -76.16 and -53.13, Fairly Valued between -7.06 and -53.13, Overvalued between -7.06 and 15.97, and Strongly Overvalued above 15.97. The current Forward EV/EBITDA of -36.47 falls within the Historic Trend Line -Fairly Valued range.

-31.36

EV/EBIT

C3.ai Inc. (AI) has a current EV/EBIT of -31.36. The 5-year average EV/EBIT is -27.54. The thresholds are as follows: Strongly Undervalued below -71.28, Undervalued between -71.28 and -49.41, Fairly Valued between -5.66 and -49.41, Overvalued between -5.66 and 16.21, and Strongly Overvalued above 16.21. The current Forward EV/EBIT of -31.36 falls within the Historic Trend Line -Fairly Valued range.

7.39

C3.ai Inc. (AI) has a current PS of 7.39. The 5-year average PS is 12.77. The thresholds are as follows: Strongly Undervalued below -9.13, Undervalued between -9.13 and 1.82, Fairly Valued between 23.72 and 1.82, Overvalued between 23.72 and 34.67, and Strongly Overvalued above 34.67. The current Forward PS of 7.39 falls within the Historic Trend Line -Fairly Valued range.

-117.49

P/OCF

C3.ai Inc. (AI) has a current P/OCF of -117.49. The 5-year average P/OCF is -625.92. The thresholds are as follows: Strongly Undervalued below -6043.85, Undervalued between -6043.85 and -3334.88, Fairly Valued between 2083.05 and -3334.88, Overvalued between 2083.05 and 4792.01, and Strongly Overvalued above 4792.01. The current Forward P/OCF of -117.49 falls within the Historic Trend Line -Fairly Valued range.

-99.37

P/FCF

C3.ai Inc. (AI) has a current P/FCF of -99.37. The 5-year average P/FCF is -75.32. The thresholds are as follows: Strongly Undervalued below -656.86, Undervalued between -656.86 and -366.09, Fairly Valued between 215.45 and -366.09, Overvalued between 215.45 and 506.22, and Strongly Overvalued above 506.22. The current Forward P/FCF of -99.37 falls within the Historic Trend Line -Fairly Valued range.

C3.ai Inc (AI) has a current Price-to-Book (P/B) ratio of 4.07. Compared to its 3-year average P/B ratio of 3.72 , the current P/B ratio is approximately 9.51% higher. Relative to its 5-year average P/B ratio of 3.17, the current P/B ratio is about 28.40% higher. C3.ai Inc (AI) has a Forward Free Cash Flow (FCF) yield of approximately -1.29%. Compared to its 3-year average FCF yield of -3.72%, the current FCF yield is approximately -65.19% lower. Relative to its 5-year average FCF yield of -3.97% , the current FCF yield is about -67.38% lower.

4.07

P/B

Median3y

3.72

Median5y

3.17

-1.29

FCF Yield

Median3y

-3.72

Median5y

-3.97

Competitors Valuation Multiple

The average P/S ratio for AI's competitors is 4.70, providing a benchmark for relative valuation. C3.ai Inc Corp (AI) exhibits a P/S ratio of , which is -100% above the industry average. Given its robust revenue growth of 25.56%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of AI decreased by 56.43% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 86.59M to 108.72M.

The secondary factor is the Margin Expansion, contributed -12.95%to the performance.

Overall, the performance of AI in the past 1 year is driven by Revenue Growth. Which is more sustainable.

25.56%

86.59M → 108.72M

Revenue Growth

-12.95%

-84.22 → -73.31

Margin Expansion

-69.04%

-36.99 → -11.45

P/E Change

-56.43%

31.35 → 13.66

Mkt Cap Growth

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Frequently Asked Questions

Is C3.ai Inc (AI) currently overvalued or undervalued?

What is C3.ai Inc (AI) fair value?

AI's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of C3.ai Inc (AI) is between 4.59 to 37.33 according to relative valuation methord.

How does AI's valuation metrics compare to the industry average?

The average P/S ratio for AI's competitors is 4.70, providing a benchmark for relative valuation. C3.ai Inc Corp (AI) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 25.56%, this premium appears sustainable.

What is the current P/B ratio for C3.ai Inc (AI) as of Jan 09 2026?

As of Jan 09 2026, C3.ai Inc (AI) has a P/B ratio of 4.07. This indicates that the market values AI at 4.07 times its book value.

What is the current FCF Yield for C3.ai Inc (AI) as of Jan 09 2026?

As of Jan 09 2026, C3.ai Inc (AI) has a FCF Yield of -1.29%. This means that for every dollar of C3.ai Inc’s market capitalization, the company generates -1.29 cents in free cash flow.

What is the current Forward P/E ratio for C3.ai Inc (AI) as of Jan 09 2026?

As of Jan 09 2026, C3.ai Inc (AI) has a Forward P/E ratio of -70.79. This means the market is willing to pay $-70.79 for every dollar of C3.ai Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for C3.ai Inc (AI) as of Jan 09 2026?

As of Jan 09 2026, C3.ai Inc (AI) has a Forward P/S ratio of 7.39. This means the market is valuing AI at $7.39 for every dollar of expected revenue over the next 12 months.

AI Valuation