Earnings are slated for today, with analysts expecting a consensus EPS of -$0.17 and revenue of $71.6mil.
The whisper number appears to be -$0.12 which would be a decent beat on expectations. This may lead to small uptick for AI but concerns remain on whether C3.ai is a mere bit player in the AI space riding on a meme-ish stock symbol.
As a company that has chameleon-like properties of changing it's focus area from energy to IoT to AI. It seems to lack a core business focus and is more intent on drawing attention and pulling in the crowd as the crowd shifts from one fad to another.
While punters may be keen on riding the expected earning beat, it may be prudent to stay away as knowledge on the nature of the company is a relatively open knowledge and the any upward movement may simply be a short lived pump before being met with a forceful dump, either within the week or in due time.
TDLR: May see some upward movement post earnings but mid to long term massively bearish.
Source:
https://www.earningswhispers.com/
https://www.forbes.com/sites/adamsarhan/2023/09/06/what-to-expect-from-c3ais-earnings-today/
Comments
As of today, AI development companies have signed contracts to purchase more than $4 billion of capacity in Oracle's Gen2 Cloud. That's twice as much as we had booked at the end of Q4
C3.ai trades at a 30% discount to its IPO price, but its enterprise value (EV) of $3 billion is still 10 times higher than its projected sales for fiscal 2024.
C3 Generative artificial intelligence for ORCL ERP, and C3 Generative artificial intelligence for ORCL NetSuit. If ORCL reports strong demand for generative artificial intelligence this means business for C3.
Over time I’ll continue to make money invested in AI, and when it’s back to triple digits, today’s price will be of little significance.
C3 is now stepping up its sales effort in Europe.