C3.ai (AI) Reports Earnings Tomorrow. What To Expect

Anthony Lee /
2023/05/30 3:49 am EDT

Artificial intelligence (AI) software company C3.ai (NYSE:AI) will be reporting earnings tomorrow afternoon. Here's what you need to know.

Last quarter C3.ai reported revenues of $66.7 million, down 4.45% year on year, beating analyst revenue expectations by 3.77%. It was a solid quarter for the company, with a decent beat of analyst estimates and strong sales guidance for the next quarter.

Is C3.ai buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting C3.ai's revenue to decline 1.35% year on year to $71.3 million, a further deceleration on the 38.3% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.17 per share.

C3.ai Total Revenue

The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing three upwards revisions over the last thirty. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 2.31%.

Looking at C3.ai's peers in the data and analytics software segment, only Alteryx has so far reported results, delivering top-line growth of 26.1% year on year, missing analyst estimates by 0.49%. The stock was down 8.45% on the results. Read our full analysis of Alteryx's earnings results here.

There has been positive sentiment among investors in the data and analytics software segment, with the stocks up on average 9.73% over the last month. C3.ai is up 77% during the same time, and is heading into the earnings with with analyst price target of $19.7, compared to share price of $32.97.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

The author has no position in any of the stocks mentioned.