C3.ai(US:AI) Globenewswireยท2025-10-08 16:00Core Viewpoint - C3.ai, Inc. is facing a class action lawsuit due to disappointing financial results and misleading statements made by the company's leadership during the class period from February 26, 2025, to August 8, 2025 [1][4]. Financial Performance - On August 8, 2025, C3.ai announced preliminary financial results for Q1 of fiscal 2026 that were below expectations and reduced its revenue guidance for the full fiscal year 2026, attributing this to a reorganization with new leadership and the health issues of its CEO [2][4]. Stock Market Reaction - Following the announcement of disappointing results, C3.ai's stock price dropped by $5.66, or 25.6%, closing at $16.47 per share on August 11, 2025, which negatively impacted investors [3]. Allegations in the Lawsuit - The class action complaint alleges that C3.ai's leadership made materially false and misleading statements and failed to disclose significant adverse facts about the company's business and prospects. Key allegations include: 1. The company's optimistic growth and earnings reports were overly reliant on the CEO's health and effectiveness, which were not as robust as claimed [4]. 2. The CEO had not sufficiently recovered from health issues to fulfill his role effectively, contrary to repeated assurances [4]. 3. Positive statements made by the leadership lacked a reasonable basis and were materially misleading throughout the class period [4]. Legal Proceedings - Investors who purchased C3.ai securities during the class period have until October 21, 2025, to file a lead plaintiff motion in the class action lawsuit [1][5].