2024-02-14 14:10:52 ET
Summary
- C3.ai, Inc. is seen as an AI meme stock, but it is heavily involved in generative AI software.
- The company has experienced a slow ramp in sales due to the shift to a consumption model and pilot programs with limited initial revenues.
- C3.ai has seen a surge in interest from large corporations for its generative AI platform, similar to Palantir Technologies.
- The stock already trades at a premium of 10x FY25 sales targets and the risk could easily be explosive customer numbers.
C3.ai, Inc. ( AI ) is seen as an artificial intelligence ((AI)) meme stock by a lot of people, but the company is heavily involved in AI software. The sector has struggled to gain traction despite all of the excitement around generative AI and AI GPU chips. My investment thesis is Neutral on the stock after the rally back up to $30, but the company might be able to generate excitement levels similar to Palantir Technologies ( PLTR ) with ramping-up commercial demand....
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C3.ai: Positive Read Off Palantir