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

Petr Huřťák /
2024/02/27 2:02 am EST

Artificial intelligence (AI) software company C3.ai (NYSE:AI) will be reporting earnings tomorrow after market hours. Here's what investors should know.

Last quarter C3.ai reported revenues of $73.23 million, up 17.3% year on year, missing analyst expectations by 1.5%. It was a weaker quarter for the company, with underwhelming revenue guidance for the next quarter and a miss of analysts' revenue estimates.

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 grow 14.2% year on year to $76.14 million, improving on the 4.4% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.28 per share.

C3.ai Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company missed Wall St's revenue estimates twice over the last two years.

Looking at C3.ai's peers in the data and analytics software segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. Teradata delivered top-line growth of 1.1% year on year, beating analyst estimates by 0.3% and Confluent reported revenues up 26.4% year on year, exceeding estimates by 3.7%. Teradata traded down 11.5% on the results, Confluent was up 13.7%.

Read our full analysis of Teradata's results here and Confluent's results here.

Investors in the data and analytics software segment have had steady hands going into the earnings, with the stocks down on average 1.5% over the last month. C3.ai is up 10.6% during the same time, and is heading into the earnings with analyst price target of $26.7, compared to share price of $28.8.

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