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Unveiling C3.ai (AI) Q3 Outlook: Wall Street Estimates for Key Metrics

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In its upcoming report, C3.ai, Inc. (AI - Free Report) is predicted by Wall Street analysts to post quarterly loss of $0.25 per share, reflecting a decline of 92.3% compared to the same period last year. Revenues are forecasted to be $97.97 million, representing a year-over-year increase of 25%.

The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

Bearing this in mind, let's now explore the average estimates of specific C3.ai metrics that are commonly monitored and projected by Wall Street analysts.

It is projected by analysts that the 'Revenue- Professional services' will reach $12.68 million. The estimate points to a change of +58.4% from the year-ago quarter.

The combined assessment of analysts suggests that 'Revenue- Subscription' will likely reach $85.27 million. The estimate points to a change of +21.1% from the year-ago quarter.

Analysts predict that the 'Gross margin- Professional services' will reach 83.0%. Compared to the current estimate, the company reported 89% in the same quarter of the previous year.

Analysts' assessment points toward 'Gross margin- Subscription' reaching 55.1%. The estimate compares to the year-ago value of 54%.

View all Key Company Metrics for C3.ai here>>>

Over the past month, shares of C3.ai have returned -12.2% versus the Zacks S&P 500 composite's +2.2% change. Currently, AI carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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