Core Viewpoint - C3 AI, Inc. experienced a significant stock decline of over 20% following the release of disappointing preliminary financial results and organizational changes within the sales and services teams [1]. Financial Performance - For the fiscal first quarter of 2026, C3 AI anticipates revenue to be between $70.2 million and $70.4 million, a decrease from $87.2 million in the same quarter of the previous year [2]. - The company expects a GAAP operational loss of approximately $124.7 million to $124.9 million for the quarter, which is a substantial increase from last year's loss of $72.59 million [3]. Leadership and Management Issues - CEO Thomas Siebel described the sales results as "completely unacceptable," attributing the poor performance to disruptions from the reorganization and his own health challenges [3]. - Siebel disclosed that he has been diagnosed with an autoimmune disease affecting his vision, which he believes has impacted his ability to contribute to sales more than expected [4]. - C3 AI's board is actively searching for a new CEO, although Siebel has expressed confidence in finding strong leadership candidates and believes his health has improved [5]. Market Reaction - Following the negative news, DA Davidson analyst Lucky Schreiner downgraded C3 AI's stock rating from Neutral to Underperform and reduced the price target from $25 to $13 [4]. - On the day of the announcement, C3 AI shares fell by 22.3%, closing at $17.20 [5].

Core Viewpoint - C3.ai experienced a significant decline of over 23%, reaching a new low for the year at $16.86, following disappointing preliminary revenue results for the first quarter [1] Financial Performance - C3.ai reported preliminary revenue of approximately $70.3 million for the first quarter, which is substantially below analysts' expectations of $104.3 million for the quarter ending July 31 [1] - The company anticipates a GAAP operating loss of between $124.7 million and $124.9 million, while the non-GAAP operating loss is expected to be between $57.7 million and $57.9 million [1] - As of July 31, C3.ai held cash, cash equivalents, and marketable securities totaling $711.9 million [1] Management Commentary - Thomas Siebel, Chairman and CEO of C3.ai, acknowledged the completion of a comprehensive restructuring of the sales and services department, but expressed disappointment with the first quarter's sales performance, describing it as "completely unacceptable" [1]

Market Trends & Sentiment - The market is rallying on expectations of a Federal Reserve interest rate cut in September, despite bearish attempts to lower stock prices [2] - A Bank of America survey indicates that 91% of fund managers believe US stocks are overvalued, suggesting a rotation into utilities and energy sectors [3] - Fund manager surveys from BFA show the "Magnificent Seven" long trade remains crowded, indicating continued investor preference for these stocks [12][30][31] - Bitcoin prices rallied to nearly $123,000, reflecting a broader risk-on sentiment in the markets [12][34] Company Specific News & Analysis - Apple's stock rebounded after a deal with President Trump involving a $600 billion investment in the US [8] - Nvidia and AMD agreed to give the government 15% of their China chip sales as a condition for obtaining export licenses [9][10][11] - C3 AI's stock is crashing due to terrible guidance and CEO health issues, highlighting the need to check the quality of AI stocks [40][41][42][63] - Palantir posted good earnings and raised guidance, contrasting with C3 AI's performance and underscoring the importance of execution in the AI sector [45][46] Economic Factors & Policy Impact - Concerns exist that a hot CPI reading could reignite stagflationary fears [3] - The consumer price index (CPI) is expected to rise to 3% for July, a full percentage point above the Fed's 2% target [22][23] - Tariffs are expected to impact inflation, with Goldman Sachs suggesting consumers will be walled by tariff inflation [55] - The Trump administration's policies, including tariffs and deals with companies, are significantly influencing market dynamics and corporate behavior [17][18][27]

Key Takeaways C3.ai, Inc. (AI) , a leader in enterprise AI application software, has reported dismal preliminary results for its fiscal first quarter, ended July 31, 2025. Following the preliminary results, the stock declined 27% in the pre- market trading session today. Revenues are expected to be in the range of $70.2 million to $70.4 million. The Zacks Consensus Estimate for revenues is pegged at $104 million. GAAP operating loss is estimated at $124.7 million to $124.9 million, while non-GAAP operating ...

Core Insights - C3.ai Inc's stock has experienced a significant decline, dropping 26% to $16.40, following a pre-announcement of first-quarter earnings and revenue that are expected to be dramatically below estimates [1] - This decline marks the company's worst single-session drop ever, with shares reaching a two-year low of $14.70 and being 53% lower in 2025 [2] - D.A. Davidson downgraded the stock to "underperform" from "neutral," reducing the price target from $25 to $13, while UBS and Wedbush also lowered their price targets to $23 [1] Trading Activity - Options traders have shown a strong preference for call options, with 60,362 calls bought to open in the past two weeks compared to only 5,494 puts, resulting in a call/put volume ratio of 10.99, indicating a peak in call buying activity [3] - Today, 214,000 calls have been traded, which is 11 times the average intraday volume, with the August 23.50 call being the most popular among traders [4] - Approximately 20% of C3.ai's total available float is sold short, suggesting that some call purchases may be hedging against short positions [3]

Welcome back. We got seven minutes before we get started with trading for the week uh right here at Post9, of course, at the New York Stock Exchange. Let's get into Mad Dash.We mentioned very briefly C3 AI. It's one of the names we're focused on in part because it's going to be down a lot. >> Right now, if we go back, say, to December of 2020, we will see that this was one of that great high flyers during that period where everyone was so excited about anything AI.Uh I always thought it was interesting that ...

The C3.ai logo is seen near a computer motherboard in this illustration taken on Jan. 8, 2024. Thomas Siebel, C3 AI's CEO, said in a statement that sales results during the quarter were "completely unacceptable." He attributed the performance to the "disruptive effect" of the reorganization, as well as his ongoing health issues. The company expects to report a GAAP loss from operations for the quarter between $124.7 million and $124.9 million, a much wider loss than a year ago, when C3 AI had a loss of $72. ...

Market Overview - Major U.S. stock index futures are showing slight gains, with Dow futures up 0.23%, S&P 500 futures up 0.10%, and Nasdaq futures up 0.05% [1] Cryptocurrency Sector - Cryptocurrency-related stocks are experiencing a pre-market rally, with BMNR surging over 14%, SBET and BTCS rising over 10%, and Coinbase and Strategy increasing over 4% [2] Semiconductor Industry - Most semiconductor stocks are declining, with AMD down 1.97%, Nvidia down 0.95%, and TSMC down 0.21% [3] - Intel's CEO, Chen Lifeng, is scheduled to visit the White House, leading to a 1.4% increase in Intel's stock price [3] Investor Sentiment - A recent Bank of America survey indicates that approximately 91% of respondents believe U.S. stocks are overvalued, marking the highest level of concern since 2001 [3] Automotive Sector - Tesla plans to launch Robotaxi services in select Asian markets, resulting in a 1.33% increase in its stock price [4] AI Sector - C3.ai has significantly reduced its revenue forecast for Q1 FY2025 to between $70.2 million and $70.4 million, a decrease of about 33% from previous expectations, leading to a drop of over 28% in its stock price [4] - Baidu's AI search has reached over 322 million monthly active users, maintaining its position as the leader in the domestic AI search industry, with a slight stock increase of 0.15% [4]

Market Overview - US stock index futures are all up, with Dow futures rising by 0.29%, S&P 500 futures up by 0.14%, and Nasdaq futures increasing by 0.05% [1] - The German DAX index is down by 0.42%, while the UK FTSE 100 index is up by 0.27%. The French CAC40 index and the European Stoxx 50 index are both down by 0.42% and 0.28%, respectively [2][3] - WTI crude oil has increased by 0.44%, priced at $64.16 per barrel, and Brent crude oil is up by 0.42%, priced at $66.87 per barrel [3][4] Economic Data and Events - The US July CPI and other economic data are set to be released this week, which may reshape the Federal Reserve's interest rate outlook. Investors are closely watching the upcoming economic indicators, including July PPI, retail sales, and consumer confidence [5] - A record proportion of fund managers believe US stocks are "too expensive," with 91% of respondents indicating that current valuations are high, the highest level since 2001 [7] Company News - Apple (AAPL.US) announced an additional $100 billion investment in the US, boosting tech stocks and pushing the US market back to historical highs [5] - C3.ai (AI.US) has cut its revenue forecast by 33% and is restructuring its global sales team after announcing preliminary revenue of approximately $70.3 million, significantly below analyst expectations [10][11] - Niu Technologies (NIU.US) reported a 33.5% increase in Q2 revenue, turning a profit with a net income of 5.9 million RMB, driven by a 53.6% surge in sales in the Chinese market [10] Regulatory and Market Reactions - The return of former FDA vaccine regulator Prasad has led to a decline in biotech stocks, with Capricor Therapeutics (CAPR.US) dropping nearly 9% and Sarepta (SRPT.US) down nearly 5% in pre-market trading [6] - Goldman Sachs reported that 64% of tariff costs are borne by US companies, with only 22% passed on to consumers, indicating a potential impact on inflation rates [8] Cryptocurrency Market - Bitcoin is poised to challenge its historical high, with a target price of $150,000 by year-end, driven by positive macroeconomic conditions and speculative buying [9] - BitMine (BMNR.US) has become a favorite among South Korean retail investors, with a significant increase in Ethereum holdings valued at $3.6 billion [13]

Group 1: Tariff Impact on U.S. Businesses - U.S. businesses are absorbing 64% of tariff costs, with consumers and foreign exporters absorbing 22% and 14% respectively [3] - Tariffs have contributed an estimated 0.2 percentage points to the core PCE price index through June, and are projected to add 0.66 percentage points for the remainder of the year [4] - The core PCE inflation is expected to be at 3.2% year over year, indicating a softer underlying trend of 2.4% when excluding tariff effects [5] Group 2: Nvidia and AMD Revenue Sharing - Nvidia and AMD will pay 15% of their revenues from Chinese AI chip sales to the U.S. government in exchange for export licenses [5][6] - Nvidia's revenue share will come from its H20 AI accelerator sales, while AMD will contribute from its MI308 chip revenues [6] Group 3: C3.ai Revenue Outlook and Restructuring - C3.ai has restructured its global sales team and projects preliminary revenue of $70.2 million to $70.4 million, which is approximately 33% below previous forecasts [8] - The company anticipates a GAAP loss from operations between $124.7 million and $124.9 million, and a non-GAAP loss from operations of $57.7 million to $57.9 million [8] - C3.ai reported having $711.9 million in cash, cash equivalents, and marketable securities as of July 31 [8]