Needham Maintains Hold Rating on C3.AI

Needham analyst Mike Cikos reiterated on August 11, 2025, a ‘Hold’ rating on c3.ai.

“Friday night, c3.ai released 1Q preliminary results where Revenue in the range of $70.2 Million to $70.4 Million missed the midpoint of guidance by 33% and declined 19% yr-yr.

The shortfall in Revenue more than doubles the company’s projected Non-GAAP Operating Loss to ($57.8 Million) for an Operating Margin of (82.2%) at the midpoint.

Management attributed the poor results to

1. the disruptive effect from a significant sales restructuring, including new leadership – which has been completed; and
2. health issues for Chairman & CEO Tom Siebel, which prevented more active participation in the sales process. In the press release, Mr. Siebel noted his health has improved dramatically.

We leave our estimates unchanged and remain comfortable with our Hold-rating.

The company reports audited financials on September 3rd.”

This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.