C3.ai - AI Stock Analysis

Analysis generated January 22, 2026

C3.ai, a leading enterprise AI software provider, specializes in large-scale data aggregation through its expansive AI platform, which serves a variety of sectors including healthcare, energy, financial services, and manufacturing. The company is committed to accelerating digital transformation and empowering businesses with predictive analytics and machine learning capabilities. Despite a promising portfolio, recent market behaviors and internal changes necessitate a closer look for potential investors.

Fundamental Analysis

Recent financial results provide both positive and negative signals. Revenue for the last quarter was $75 million, marking a 6.95% increase from the previous quarter, suggesting short-term growth. However, year-over-year revenue fell by 20.34%, which is concerning for long-term prospects.

Net income for the last quarter was $105 million, reflecting a 10.36% increase quarter-over-quarter but a significant decrease of 58.66% compared to the same period last year. Similarly, EBITDA also saw a spike of 3.74% from the previous quarter, settling at $112 million, but it was down by 55.03% year-over-year.

Another red flag is insider selling activity in the last few months, typically considered a bearish signal of the stock's future performance. These indicators point towards short-term resilience but raise questions about sustainable long-term growth.

Technical Analysis

C3.ai’s stock price currently stands at $12.62, representing a 13.68% decrease over the past month, which might be worrisome over the short term. Over the course of a year, the stock has plummeted by 62.93%, signaling potential long-term problems.

The bearish trend is further highlighted by the current Simple Moving Average (SMA10) of 13.09, which is lower than the previous SMA10 of 13.24. This decay in moving averages suggests continued downward momentum. The RSI stands at 48.2, indicating a neutral condition but closely leaning towards potentially oversold territory.

Alternative Data Analysis

A review of alternative data offers mixed insights. C3.ai has 108 open positions, down by 13% over the past couple of months, indicating possible cost-cutting measures, not a great sign for a company striving for growth. Additionally, employee sentiment has dipped by 7%, reinforcing a cautious outlook.

Conversely, the website visitor count has improved by 29%, reaching an estimated 350,000 visitors, which is a bullish indicator as it may suggest increased customer interest. However, social media engagement appears sluggish. The company's Twitter follower count has dropped by 1%, which could suggest waning public interest.

Taking into account AltIndex’s AI score of 43, C3.ai's stock holds a 'Hold' signal, reflecting a precarious balance between its current achievements and future uncertainties.

Conclusion

C3.ai presents a complex investment case. The company's robust AI technology and uptick in short-term metrics demonstrate potential. However, significant year-over-year declines in financial performance, insider selling, and bearish technical indicators raise concern about long-term growth and stability. Decreasing job postings and neutral employee sentiment further add to the cautious outlook, although increasing website traffic provides a glimmer of hope.

Given these diverse data points, the current recommendation would be to hold the stock. Potential investors should monitor upcoming financial results, industry developments, and internal corporate actions for any signs of sustained improvement.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.