#c3ai

#c3ai

C3.ai ( NYSE: AI) reports after the close, last quarter's results were sharply disappointing, with revenue falling 19 percent year over year and management openly characterizing execution as "completely unacceptable." The stock has since become a referendum on whether C3.ai can convert its vast pilot activity into predictable subscription revenue while restoring confidence in its sales organization. With a new CEO installed, a fully restructured commercial org and a refreshed partner-led strategy, this quarter is positioned as an inflection point where the company must demonstrate that stabilization is underway.

Despite the hype surrounding artificial intelligence, C3.ai seems stuck in neutral, failing to capitalize on the sector's explosive growth. The old Wall Street adage, "buy the rumor, sell the news," doesn't quite fit here. With C3.ai, the strategy appears to be sell the rumor, sell the news, and, frankly, just sell the stock. The company's inability to turn AI enthusiasm into sales or profits, coupled with leadership turmoil, paints a grim picture for its future.