C3.ai (NYSE:AI) Shares Gap Up After Analyst Upgrade

C3.ai, Inc. (NYSE:AI) shares gapped up before the market opened on Monday after Northland Securities upgraded the stock from a market perform rating to an outperform rating. The stock had previously closed at $11.53, but opened at $12.30. Northland Securities now has a $16.00 price target on the stock, up from their previous price target of $10.00. C3.ai shares last traded at $12.1790, with a volume of 3,511,581 shares trading hands.

A number of other equities analysts have also issued reports on the stock. Wall Street Zen raised shares of C3.ai from a “sell” rating to a “hold” rating in a research report on Sunday. Citizens Jmp reissued a “market perform” rating on shares of C3.ai in a report on Tuesday, September 29th. Citigroup restated a “market perform” rating on shares of C3.ai in a research report on Thursday, September 3rd. Canaccord Genuity Group restated a “hold” rating and issued a $10.00 price target on shares of C3.ai in a research report on Thursday, September 3rd. Finally, Weiss Ratings upgraded shares of C3.ai from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday, August 4th. Two investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and seven have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Reduce” and a consensus price target of $9.36.

Insider Buying and Selling at C3.ai

In related news, CEO Thomas Siebel sold 162,247 shares of the business’s stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $10.54, for a total value of $1,710,083.38. Following the sale, the chief executive officer owned 722,362 shares of the company’s stock, valued at $7,613,695.48. The trade was a 18.34% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Hitesh Lath sold 21,077 shares of the company’s stock in a transaction on Wednesday, September 16th. The shares were sold at an average price of $10.48, for a total value of $220,886.96. Following the completion of the sale, the chief financial officer owned 371,036 shares in the company, valued at $3,888,457.28. This trade represents a 5.38% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 1,117,809 shares of company stock worth $11,724,230. 19.80% of the stock is owned by insiders.

Trending Headlines about C3.ai

Here are the key news stories impacting C3.ai this week:

• Positive Sentiment: Northland upgrades C3.ai to Outperform: Northland Securities raised its rating from Market Perform to Outperform and increased its price target from $10 to $16. Analyst Mike Latimore views the enterprise AI platform launch as a potential “new growth engine,” while easier comparisons could improve the company’s growth outlook. C3.ai rallies after Northland upgrades stock on enterprise AI platform launch
• Positive Sentiment: Higher valuation expectations: Northland’s $16 target implies meaningful upside from the stock’s recent trading level and has helped attract buying interest across enterprise software and AI stocks. The firm estimates a quarterly loss of $0.42 per share and expects C3.ai to remain unprofitable, but still maintains an Outperform rating. Northland Securities Upgrades C3.ai to Strong-Buy
• Neutral Sentiment: Increased investor attention: C3.ai has recently ranked among the most-watched stocks on Zacks, which may boost near-term trading activity. However, the coverage does not provide a new fundamental estimate or company-specific catalyst. C3.ai is Attracting Investor Attention
• Negative Sentiment: UBS remains cautious: UBS said C3.ai needs several more quarters to stabilize its business, tempering the optimism from Northland’s upgrade. The caution highlights execution risk, especially as the company continues to report substantial losses and declining revenue. C3.ai Needs More Quarters to Stabilize, UBS Says

Hedge Funds Weigh In On C3.ai

Several institutional investors have recently added to or reduced their stakes in the company. Sequoia Financial Advisors LLC bought a new stake in C3.ai during the second quarter worth about $106,000. Engineers Gate Manager LP acquired a new stake in shares of C3.ai during the second quarter worth approximately $2,855,000. Allworth Financial LP increased its holdings in shares of C3.ai by 13.6% during the second quarter. Allworth Financial LP now owns 26,660 shares of the company’s stock worth $242,000 after buying an additional 3,185 shares in the last quarter. Arizona State Retirement System raised its stake in shares of C3.ai by 3.7% in the second quarter. Arizona State Retirement System now owns 37,168 shares of the company’s stock valued at $338,000 after acquiring an additional 1,310 shares during the last quarter. Finally, Nykredit A S bought a new position in shares of C3.ai in the second quarter valued at approximately $84,000. 38.96% of the stock is owned by institutional investors.

C3.ai Stock Up 3.2%

The firm has a fifty day moving average price of $10.58 and a 200 day moving average price of $9.75.

C3.ai (NYSE:AI) last released its quarterly earnings results on Wednesday, September 2nd. The company reported ($0.20) EPS for the quarter, topping analysts’ consensus estimates of ($0.26) by $0.06. C3.ai had a negative return on equity of 61.25% and a negative net margin of 192.10%. The business had revenue of $52.38 million for the quarter, compared to analyst estimates of $52.06 million. During the same period in the prior year, the company earned ($0.37) EPS. C3.ai’s revenue for the quarter was down 25.4% on a year-over-year basis. Research analysts anticipate that C3.ai, Inc. will post -2.21 earnings per share for the current fiscal year.

C3.ai Company Profile

C3.ai, Inc is an enterprise artificial intelligence software company that develops applications and tools designed to help organizations use AI and machine learning to analyze data, automate processes and support business decision-making. The company’s offerings are intended for large commercial enterprises, government agencies and other organizations managing complex operational and data environments.

Its product portfolio includes the C3 AI Platform, which provides capabilities for developing, deploying and operating AI applications, as well as prebuilt enterprise applications.