C3.ai’s CFO sold 3,949 shares, leaving him with 851 shares, amidst the stock’s recent dip below $50.
The company reported a revenue increase to $94.4 million in the fiscal second quarter of 2025, with year-over-year growth accelerating from 11% to 21%.
Despite challenges, analyst optimism remains high with a raised price target, and C3.ai maintains a strong liquidity position with a current ratio of 7.52.
On December 17, 2024, Lath Hitesh, the Chief Financial Officer of C3.ai (NYSE:AI), sold 3,949 shares of Class A Common Stock at $42.36 each. This transaction leaves him with 851 shares. C3.ai, established in 2009, is a leader in enterprise artificial intelligence, offering over 100 applications across 19 industries to aid AI adoption.
C3.ai’s stock has recently dipped below $50, despite a 3.16% increase, prompting investor interest. The company has faced stock volatility, with fluctuations following its latest quarterly results. Despite this, C3.ai’s stock has risen about 45% for the year, recovering from earlier losses, as highlighted by its strong performance since mid-November.
In the fiscal second quarter of 2025, C3.ai reported a revenue increase to $94.4 million, with year-over-year growth accelerating from 11% to 21%. This growth momentum has contributed to the stock’s performance, raising questions about investment opportunities. Despite a 6.4% decline since the December 9 earnings report, revenue grew by 29% year over year.
Analyst Aaron Kimson from JMP Securities remains optimistic, raising the price target from $40 to $55, suggesting a 41% upside from the current $39 share price. C3.ai’s consistent growth over seven quarters highlights the expanding market for generative AI applications. A strategic partnership with Microsoft is expected to enhance growth prospects, expanding C3.ai’s reach through Azure’s global sales force.
Despite a negative P/E ratio of -20 and challenges in generating positive cash flow, C3.ai maintains a strong liquidity position with a current ratio of 7.52. This indicates ample current assets to cover liabilities, reflecting investor confidence in the company’s potential, despite its current unprofitability.
