REDWOOD CITY, Calif.—Lath Hitesh, the Chief Financial Officer of C3.ai, Inc. (NYSE:AI), recently sold a significant portion of the company's stock. According to a recent SEC filing, Hitesh sold 11,339 shares of Class A Common Stock on December 9, 2024, at a price of $42 per share, amounting to a total transaction value of $476,238. The sale comes as C3.ai's stock has shown remarkable momentum, with a 21% gain over the past six months and a market capitalization of approximately $4.9 billion.
Following this transaction, Hitesh retains ownership of 851 shares in the company. The sale was conducted under a pre-established Rule 10b5-1 trading plan, which allows company insiders to set up a predetermined plan for selling stocks in compliance with insider trading laws. According to InvestingPro data, C3.ai maintains strong liquidity with a current ratio of 7.5, though technical indicators suggest the stock may be in overbought territory.
C3.ai, Inc., a leading provider of enterprise AI software, continues to be a focal point for investors, especially with the active trading activities by its executives. The company has demonstrated robust revenue growth of 22% in the last twelve months, though InvestingPro analysis indicates current trading levels may be above Fair Value. For deeper insights, investors can access 12 additional ProTips and comprehensive financial analysis through InvestingPro's detailed research reports.
In other recent news, C3 AI has been making significant strides in the AI industry. The company recently announced an expanded partnership with Collins Aerospace to develop AI solutions for the defense and intelligence sectors. This collaboration will utilize applications from the C3 AI Defense and Intelligence Suite to enhance operational efficiency and decision-making capabilities. Additionally, C3 AI has entered into a partnership with IT systems integrator ECS to enhance the U.S. Army's intelligence processes, deploying the C3 AI Decision Advantage application suite.
In terms of financial performance, C3 AI's third-quarter earnings exceeded expectations, with revenue reaching $94.3 million, marking an 8.2% increase quarter-over-quarter. This growth has been attributed to the company's performance in both federal and commercial sectors, and potential benefits from its expanded collaboration with Microsoft (NASDAQ:MSFT).
However, the company's performance has been met with mixed analyst ratings. Canaccord Genuity and Piper Sandler have both increased their price targets for C3.ai, maintaining a Hold rating. Conversely, JPMorgan downgraded the company from Neutral to Underweight, citing concerns over uneven performance and high growth costs. These are some of the recent developments concerning C3 AI.
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