C3.ai (NYSE:AI) Shares Down 8.9% – Here’s Why

C3.ai, Inc. (NYSE:AI)’s share price was down 8.9% during mid-day trading on Friday . The stock traded as low as $11.53 and last traded at $11.1660. Approximately 1,290,391 shares were traded during mid-day trading, a decline of 79% from the average daily volume of 6,281,436 shares. The stock had previously closed at $12.26.

Wall Street Analysts Forecast Growth

AI has been the subject of a number of recent analyst reports. DA Davidson restated an “underperform” rating and issued a $13.00 price objective on shares of C3.ai in a report on Thursday, December 4th. Weiss Ratings reissued a “sell (d-)” rating on shares of C3.ai in a report on Wednesday, January 21st. Wedbush reaffirmed an “outperform” rating and set a $20.00 price target on shares of C3.ai in a report on Thursday, December 4th. Canaccord Genuity Group reissued a “hold” rating and issued a $16.00 target price on shares of C3.ai in a research report on Thursday, December 4th. Finally, Needham & Company LLC reaffirmed a “hold” rating on shares of C3.ai in a report on Thursday, December 4th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, six have assigned a Hold rating and five have given a Sell rating to the company’s stock. According to MarketBeat, C3.ai has a consensus rating of “Reduce” and an average target price of $19.00.

C3.ai Trading Down 10.3%

The stock has a market cap of $1.55 billion, a P/E ratio of -3.89 and a beta of 1.97. The company’s 50 day moving average price is $13.93 and its two-hundred day moving average price is $17.00.

C3.ai (NYSE:AI) last announced its earnings results on Wednesday, December 3rd. The company reported ($0.25) EPS for the quarter, beating analysts’ consensus estimates of ($0.33) by $0.08. The business had revenue of $75.15 million during the quarter, compared to analysts’ expectations of $74.86 million. C3.ai had a negative net margin of 108.06% and a negative return on equity of 46.51%. The firm’s revenue was down 20.3% on a year-over-year basis. During the same period in the prior year, the company earned ($0.06) earnings per share. On average, sell-side analysts anticipate that C3.ai, Inc. will post -2.44 earnings per share for the current year.

Insider Buying and Selling

In related news, CFO Hitesh Lath sold 15,042 shares of the stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $14.38, for a total value of $216,303.96. Following the completion of the sale, the chief financial officer directly owned 223,120 shares of the company’s stock, valued at approximately $3,208,465.60. This represents a 6.32% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Chairman Thomas M. Siebel sold 543,706 shares of C3.ai stock in a transaction that occurred on Tuesday, November 11th. The shares were sold at an average price of $15.24, for a total transaction of $8,286,079.44. Following the transaction, the chairman directly owned 1,437,174 shares in the company, valued at $21,902,531.76. This represents a 27.45% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 1,916,218 shares of company stock valued at $27,468,077. 26.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in AI. Bogart Wealth LLC grew its holdings in C3.ai by 22.7% during the 2nd quarter. Bogart Wealth LLC now owns 2,700 shares of the company’s stock worth $66,000 after acquiring an additional 500 shares in the last quarter. ProShare Advisors LLC boosted its stake in C3.ai by 2.4% in the second quarter. ProShare Advisors LLC now owns 25,548 shares of the company’s stock valued at $628,000 after acquiring an additional 593 shares in the last quarter. Moors & Cabot Inc. grew its stake in C3.ai by 5.2% during the 2nd quarter. Moors & Cabot Inc. now owns 14,263 shares of the company’s stock worth $350,000 after buying an additional 700 shares during the last quarter. Ameritas Investment Partners Inc. grew its stake in shares of C3.ai by 6.8% during the second quarter. Ameritas Investment Partners Inc. now owns 12,365 shares of the company’s stock worth $304,000 after acquiring an additional 791 shares during the last quarter. Finally, NewEdge Advisors LLC boosted its stake in C3.ai by 48.7% in the 1st quarter. NewEdge Advisors LLC now owns 2,442 shares of the company’s stock worth $51,000 after purchasing an additional 800 shares in the last quarter. 38.96% of the stock is currently owned by institutional investors.

About C3.ai

C3.ai, Inc is a leading enterprise software provider focused on delivering scalable artificial intelligence (AI) and Internet of Things (IoT) solutions to large organizations. The company’s core offering, the C3 AI Suite, is a comprehensive, model-driven platform that unifies data ingestion, model development, and application deployment. Through its suite of tools, C3.ai enables customers to accelerate digital transformation initiatives by applying advanced machine learning, predictive analytics, and AI-driven insights across a broad range of business functions.

The C3 AI Suite provides a low-code environment for data scientists and application developers to rapidly design, test, and deploy enterprise-scale AI applications.