C3.ai (AI) Stock Forecast & Price Target
C3.ai (AI) Analyst Ratings
Bulls say
C3.ai Inc. reported a robust 26% year-over-year revenue increase to $98.8 million, with subscription revenue rising 22% to $85.7 million, indicating strong demand for its AI solutions. The company experienced significant traction with 28 agreements signed in partnership with Microsoft, and its new pilot initiatives grew to 50, reflecting heightened interest and engagement in its offerings. Additionally, non-Baker Hughes revenue growth accelerated to 43% year-over-year, supported by expanded partnerships with industry leaders, which is expected to further enhance sales cycles and increase the agreement closure rate.
Bears say
C3.ai Inc. is experiencing near-term revenue depression as new customer onboarding typically requires 3-4 quarters to ramp up consumption, which diminishes immediate growth prospects. The company's recent revenue of $98.8 million, while slightly above consensus estimates, indicates a decline in subscription revenue, exacerbated by a shift to consumption pricing and dependence on a large customer for over 10% of revenue, posing additional risk. Furthermore, potential volatility in government spending and external macroeconomic shocks could significantly impact the company's guidance and investor sentiment towards its stock, contributing to a negative outlook.
This aggregate rating is based on analysts' research of C3.ai and is not a guaranteed prediction by Public.com or investment advice.
C3.ai (AI) Analyst Forecast & Price Prediction
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