Latest news with #C3.ai
Yahoo
01-07-2025
- Business
- Yahoo
Innodata vs. C3.ai: Which AI-Focused Enterprise Stock is a Good Buy?
Innodata INOD and AI are well-known artificial intelligence (AI) focused stocks that cater to the needs of enterprises. While Innodata offers AI data engineering and model training services, provides an AI-powered software platform that offers data integration and analytics solutions. The striking similarity between these two companies is that both treat data as the fundamental entity for AI-led digital are rapidly deploying AI, and the advent of generative AI (Gen AI) has further accelerated usage. Per Gartner, global Gen AI spending is expected to hit $644 billion in 2025, indicating 76.4% growth over 2024. Services are expected to grow a massive 162.6% year over year to $27.76 billion, while software is anticipated to jump 93.9% to $37.12 billion. Per IDC, global spending on AI, including AI-enabled applications, infrastructure, and related IT and business services, will more than double by 2028 to hit $632 billion, seeing a CAGR of 29% between 2024 and 2028. Both Innodata and benefit from this massive which stock is a better buy right now? Let's find out. Innodata benefits from massive investment promises made by the 'Magnificent 7,' including Microsoft's $80 billion and Meta Platforms' $64-$72 billion. The company is expanding relationships with key customers, including a second master statement of work with its largest client, tapping a separate, significantly larger budget. INOD secured approximately $8 million in new engagements from four of its other Big Tech customers. Erstwhile, small accounts are showing material expansion opportunities into multi-million-dollar is onboarding several major clients, including top global firms in enterprise tech, cloud software, digital commerce and healthcare technology, each with significant growth potential. The company expects 2025 revenues to jump 40% year over year to $238.6 million, driven by an expanding clientele. Innodata serves the Gen AI IT services market that is expected to be worth $200 billion by 2029, offering significant growth prospects. The company is building the capability to collect and create Gen AI training data as large language models (LLMs) become more complex and advanced. INOD continues to invest in expanding languages like Arabic and French within domains like math and chemistry, for which the company is creating LLM training data and performing reinforcement recently launched its Generative AI Test & Evaluation Platform, a new suite designed to help enterprises assess the safety and reliability of LLMs. Built on NVIDIA's NIM microservices, the platform supports hallucination detection, adversarial prompt testing and domain-specific risk benchmarking across text, image, audio and video inputs, helping organizations build more trustworthy AI. AI-powered platform operates more than 130 turnkey enterprise AI applications that address issues like predictive maintenance, supply chain optimization, supply network risk, demand forecasting, fraud detection, and drug discovery. In fiscal 2025, C3 Generative AI revenues jumped 100% and AI closed 66 C3 Generative AI initial production deployments across 16 benefits from a rich partner base that includes Microsoft, Amazon Web Services, Google Cloud, Booz Allen and Baker Hughes. In fourth-quarter fiscal 2025, a notable 73% of all agreements were signed in collaboration with major cloud providers. Partner-driven bookings soared 419% year over year in the reported quarter, fueled by 59 deals closed via strategic alliances. secured 193 deals through these partnerships over fiscal 2025, which was a 68% jump year over is gaining strong traction in the federal sector, with the United States government emerging as a key client. In fourth-quarter fiscal 2025, the company secured a $450-million contract ceiling from the U.S. Air Force for its PANDA predictive maintenance platform. AI-driven platforms are now embedded across the Air Force, Navy, Marine Corps and Missile Defense Agency, which is a key catalyst for future prospects. An increasingly diversified business model, as continues to expand its footprint across manufacturing, life sciences, and government (state and local government), boosts prospects. In fiscal 2025, non-oil and gas revenue surged 48% year-over-year, reflecting successful expansion into 19 different industries. In the year-to-date period, Innodata shares have surged 29.6%, outperforming shares, which have dropped 28.6%. Image Source: Zacks Investment Research Valuation-wise, both and Innodata shares are currently overvalued, as suggested by a Value Score of F. Image Source: Zacks Investment Research In terms of forward 12-month Price/Sales, shares are trading at 6.81X, higher than Innodata's 6.03X. The Zacks Consensus Estimate for AI's fiscal 2026 loss is pegged at 37 cents per share, which has narrowed from a loss of 46 cents over the past 60 days. reported a loss of 41 cents per share in the year-ago quarter. Inc. price-consensus-chart | Inc. Quote The consensus mark for Innodata's 2025 earnings is pegged at 69 cents per share, which has fallen 6.8% over the past 60 days. The figure indicates a whopping 22.47% decrease year over year. Innodata Inc. price-consensus-chart | Innodata Inc. Quote Despite Innodata's solid growth prospects thanks to massive spending by Big Tech, we believe rich partner base, innovative Gen AI-powered platform, and an increasingly diversified business model should attract currently carries a Zacks Rank #2 (Buy), which makes it a strong pick compared with Innodata, which has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Inc. (AI) : Free Stock Analysis Report Innodata Inc. (INOD) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
01-07-2025
- Business
- Yahoo
Can C3.ai's New HII Deal Boost Its Defense AI Momentum?
AI newly announced partnership with defense contractor HII HII could prove pivotal for its growth trajectory, mainly in the government sector. The collaboration aims to integrate Enterprise AI technology into the planning, operations, and supply chains of HII's shipbuilding divisions, potentially accelerating the U.S. Navy's fleet isn't just another defense tech partnership. For this alliance expands its federal footprint at a time when the Department of Defense is rapidly digitizing operations. By deploying its AI capabilities at Newport News Shipbuilding and Ingalls Shipbuilding, will not only support national defense but also showcase its enterprise-grade software in one of the most complex industrial environments. This collaboration builds on a successful six-month pilot program at HII's Ingalls Shipbuilding, where algorithms were used to optimize scheduling and labor allocation. Now, the companies are scaling that success across HII's operations. The deployment will focus initially on enhancing planning and throughput in building amphibious ships, destroyers, aircraft carriers, and real-time optimization is exactly where strength lies. By combining its C3 Agentic AI Platform with HII's production systems, the company is delivering a solution that addresses a critical bottleneck in national defense: shipbuilding delays. The scale-up from the pilot project sends a strong signal that technology has real-world viability—and now, broader validation within defense infrastructure. The HII deal follows a string of wins for in the defense and intelligence sectors. In the fourth quarter of fiscal 2025, expanded its work with the U.S. Air Force, securing a $450 million contract ceiling for its PANDA predictive maintenance platform. It also deepened engagement with the Department of Defense, Navy, Marine Corps, and intelligence partnerships are not just symbolic. They help build recurring revenue while positioning as a go-to vendor for AI-driven operational intelligence in mission-critical applications. CEO Tom Siebel described defense as a "large and rapidly growing business" during the recent fiscal fourth-quarter earnings call, reinforcing its significance to long-term growth strategy. Beyond federal contracts, broader performance has been strengthening. In the fiscal fourth quarter, the company reported revenues of $108.7 million, marking 26% year-over-year growth. In fiscal 2025, total revenues of $389.1 million increased 25% year over year, marking the third consecutive year of accelerating top-line growth. Subscription and prioritized engineering services accounted for 96% of total revenues—a sign of increasing product stickiness and lower dependence on one-off the renewal of a key alliance with Baker Hughes BKR — a relationship that has already generated more than $500 million in revenue — further bolsters credibility and reach in industrial markets. This kind of customer longevity matters as the company scales its applications across energy, manufacturing, and now, bookings have also exploded, growing 419% year over year in the fiscal fourth quarter. now collaborates with giants like Microsoft MSFT, AWS, Google Cloud, and McKinsey QuantumBlack. These alliances not only boost distribution but also enhance credibility with enterprise buyers, especially in regulated and high-risk sectors like defense. The partnership with HII also underscores the relevance of Agentic AI platform—an innovation the company has patented and now deployed in over 100 use cases across multiple industries. Unlike other AI vendors that focus on tools or infrastructure, delivers ready-to-use applications for specific problems such as predictive maintenance and supply chain verticalized, application-first model sets apart, especially as enterprise buyers increasingly seek AI tools that solve business problems out of the box. The HII deployment, like PANDA for the Air Force or Pluto for the Defense Logistics Agency, is another example of how technology is becoming essential infrastructure. shares have witnessed an 11.8% jump in the past three months, outperforming the Zacks Computers - IT Services industry's increase of 5.8%. At the same time frame, the Zacks Computer and Technology sector and the S&P 500 Composite have gained 19% and 9.1%, respectively. Share Price Performance Image Source: Zacks Investment Research The Zacks Consensus Estimate for fiscal 2026 and 2027 loss per share has narrowed to 37 cents and 16 cents from a loss of 48 cents and 25 cents in the past 30 days, respectively. The estimated figure for fiscal 2026 reflects an improvement from the year-ago reported loss of 41 cents per Zacks Consensus Estimate for fiscal 2026 and 2027 sales implies growth of 20.1% and 21.8%, respectively. Image Source: Zacks Investment Research Despite the recent gain, AI is priced at a discount relative to its industry. It has a forward 12-month price-to-sales ratio of 6.81, which is well below the industry average. Valuation Image Source: Zacks Investment Research The HII partnership arrives at a time when a Zacks Rank #2 (Buy) company, is building momentum across multiple fronts: strong revenue growth, expanding partner ecosystems, renewed customer relationships, and an unmatched position in AI-powered enterprise applications. Importantly, it adds yet another proof point in the defense sector, which has become one of the company's fastest-growing verticals. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT) : Free Stock Analysis Report Huntington Ingalls Industries, Inc. (HII) : Free Stock Analysis Report Inc. (AI) : Free Stock Analysis Report Baker Hughes Company (BKR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Business Journals
01-07-2025
- Business
- Business Journals
49% of CRE leaders want more AI – Here's why
The commercial real estate market still faces many challenges and executives are looking for ways to lower costs — many are turning to technology. In Citrin Cooperman's latest survey of 440 commercial real estate leaders in conjunction with the Commercial Observer, respondents said AI was their number one opportunity over the next 12 months. They ranked it above new property management systems, better cybersecurity, more process automation, solar, listing services, and all else. Though as we will explore, AI has potential to help in nearly all of these areas as well. Using AI to model building information The No. 1 AI use case, 34% of respondents Leaders say the most common use for AI right now is modeling building information. In some cases that means working with geospatial information, such as using AI to visualize floorplates or run feasibility studies. A feasibility study provider can now use software to generate dozens of options for consideration in days rather than months. But modeling can also mean financial modeling, such as running the numbers on what it will take for a property or portfolio to achieve NOI. Current AI technologies can also help corporate development teams determine where buildings should go. The AI platform SiteZeus can ingest cell phone, traffic, parking, real estate, walkability, weather, and other data sources to show teams on a map the exact spots they should select. Some franchisors are providing this tool to their franchisees. AI cannot do everything, however. At least not without assistance. It cannot, for example, figure out how to actually put those real estate deals together. It cannot validate those decisions, run studies on the revenue or tax impact implications, nor advise on which financial instrument to use. To discuss how to turn the information generated by a real estate AI tool into reports, decks, and models your team can make decisions on, please reach out to Citrin Cooperman's Digital Services Practice. Using AI to source and match deals The No. 2 AI use case, 20% of respondents Teams can use AI to source and sort through deals. AI tools can scan all possible opportunities and rank them by the commercial team's requirements. Typically, commercial teams lose a great deal of time on market research, outreach, screening, and due diligence. AI tools are one way for them to reclaim and repurpose it. The software Skyline AI by JLL, for example, provides real estate investors with a data-driven view of their market that goes much deeper than typical census data, with a view of factors such as opportunity zones. offers automated commercial property appraisals and automatic document review, so brokers can save hours on reviewing leases, loan agreements, operating agreements, and more. Tools like Vena or Power BI can also reveal deal insights within your existing data: Your team can use them to create smart dashboards to forecast continuously without requesting new reports. AI tools do have one weakness: They are only as good as the data within your ERP system, which most real estate firms have not updated in years. A Citrin Cooperman survey of 1,000 private companies found that 42% of real estate companies say their number one blocker to adopting AI is 'integrations with existing enterprise resource planning (ERP) systems.' Our Digital Services Practice can review your ERP system to understand if your workflows and data are set up for you to use in deal-sorting AI. Property management The No. 3 use case, 20% of respondents Commercial real estate companies are using AI to directly manage their properties, plugging it into property management software to spot trends. This allows managers to see if vacancies are subtly rising so they know to invest in more marketing or start offering concessions. Similarly, they can spot fluctuations in utility and repair costs. Some smart devices like Omnidian for solar or Checkit for commercial appliances can detect near-imperceptible shifts in electrical device power signals to understand when they need maintenance — and auto-dispatch a technician for preventative maintenance. The 'smart' property trend can also be smart for tax reasons — investing in your building's service-layer can help you improve the amenities and take advantage of tax credits. Smart and environmentally rated devices may pay for themselves. More smart-devices and self-serve check-in kiosks and building management apps can also mean less need for staff walking the floors. This does not always mean fewer employees, but it does mean shifting those roles to other departments and may require you to review your union contracts and local employment regulations. Finance The No. 4 use case, 9% of respondents Finally, commercial real estate teams are using AI to complete finance tasks. Many of these AI systems are coming into the real estate world through general applications, such as how Google's Gemini assistant is now available in Google Sheets. Whereas some are specific to real estate. The software Yardi offers a type of smart spreadsheet reporting that Citrin Cooperman Managing Partner of Business Process Outsourcing Mike Zyborowicz calls the Swiss Army Knife of property management and notes that, 'It enables you to do everything from managing your assets to crunching numbers so you can better manage tenant satisfaction or overhead expenses.' What AI tools will not do, however, is certify the results of studies around how to increase occupancy and improve company profitability. Nor can AI tools yet look forward to advise on where the market is headed and suggest new configurations for your capital stack, such as preferred equity or mezzanine debt. AI works best when supported by a financial advisor AI has vast potential in the commercial real estate sector and is one sure way to help reduce costs. But it is never as easy as 'plug and play.' To turn your team's AI pilots into actionable insights your firm can place class-A bets on, you may need a financial firm that specializes in advisory, audit, assurance, tax, and technology. Only then can you ensure the data within your systems is worthy of basing decisions on, and that you have considered the full breadth of financial and tax implications. To discuss how Citrin Cooperman's Real Estate Industry Practice can help your business reduce operating expenses with investments in AI, and maximize the tax benefits of such investments, reach out to Jessica Garber or Adam Lazarus. Citrin Cooperman is one of the nation's largest and fastest-growing professional services firms. Since 1979 our daily mission has been to help middle-market companies and high net worth individuals find success in their business and personal financial lives through our proactive guidance, specialized services, and passion for excellence. Rooted in our core values, we deliver a comprehensive, integrated business approach, including tailored insights throughout the lifecycle of our clients. Whether your operations and assets are located around the corner or across the globe, we provide new perspectives on strategies that help you achieve your short- and long-term goals. With over 30 offices and more than 3,500 professionals, Citrin Cooperman is included in the Top 20 Firms by Accounting Today. Learn more about Citrin Cooperman at "Citrin Cooperman" is the brand under which Citrin Cooperman & Company, LLP, a licensed independent CPA firm, and Citrin Cooperman Advisors LLC serve clients' business needs. The two firms operate as separate legal entities in an alternative practice structure. The entities of Citrin Cooperman & Company, LLP and Citrin Cooperman Advisors LLC are independent member firms of the Moore North America, Inc. (MNA) Association, which is itself a regional member of Moore Global Network Limited (MGNL). All the firms associated with MNA are independently owned and managed entities. Their membership in, or association with, MNA should not be construed as constituting or implying any partnership between them.
Yahoo
24-06-2025
- Business
- Yahoo
C3.ai, Inc. (AI): A Bear Case Theory
We came across a bearish thesis on Inc., High Growth Investing's Substack by Stefan Waldhauser. In this article, we will summarize the Bears' thesis on AI. Inc.'s share was trading at $23.41 as of June 23rd. A scientist at a computer station, surrounded by a neural network of artificial intelligence code. has struggled to gain solid financial footing despite being in business for over 15 years and forming high-profile partnerships with Microsoft Azure and McKinsey. While its revenue growth has reached 24% on a trailing twelve-month basis, the company continues to operate inefficiently, posting net losses that hover around 80% of revenue and maintaining negative cash flow. With a Rule of 40 score of just 14%, the business model remains fundamentally flawed. A major concern is reliance on a limited customer base, most notably Baker Hughes, which contributes around 20% of total revenue. This key contract is set for renewal and may expire as early as June 2025, posing a significant risk to the company's financial stability and stock performance. For fiscal year 2025, is projected to generate nearly $400 million in sales while incurring a $300 million loss, a mismatch that renders its $2.5 billion valuation difficult to justify. The market appears to share this skepticism, as evidenced by a 30% drop in the stock year-to-date. Furthermore, substantial insider selling by CEO Tom Siebel and his management team reinforces concerns about internal confidence. Short sellers have also targeted the stock aggressively, as reflected in its elevated short interest levels. Tools like the stocks. Guide screener reveals that is among the most shorted stocks in the NASDAQ-100, underscoring bearish sentiment. Overall, the company remains an unprofitable and risky bet, with mounting pressure from both operational inefficiencies and investor skepticism. Previously, we covered a on CrowdStrike Holdings, Inc. (CRWD) by Magnus Ofstad in May 2025, which highlighted concerns over slowing growth and stretched valuation. The company's stock price has appreciated by approximately 8% since our coverage. This is because the thesis didn't play out as expected. Stefan Waldhauser shares a similar view but emphasizes structurally weaker fundamentals. Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 24 hedge fund portfolios held AI at the end of the first quarter which was 25 in the previous quarter. While we acknowledge the risk and potential of AI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
24-06-2025
- Business
- Yahoo
Better Artificial Intelligence Stock: BigBear.ai vs. C3.ai
Nations are ramping up artificial intelligence capabilities, and the U.S. is determined to lead the world in AI. and are helping the U.S. government with its AI goals. Though both and are experiencing year-over-year sales growth, neither company is profitable. 10 stocks we like better than › Nations are rushing to embrace artificial intelligence (AI), and for good reason. As Nvidia CEO Jensen Huang explained, "Countries around the world are recognizing AI as essential infrastructure -- just like electricity and the internet." The Trump administration has signaled that the U.S. intends to lead the world in AI. Two businesses helping the government achieve this goal are (NYSE: BBAI) and (NYSE: AI). Both companies have delivered AI solutions to the likes of the U.S. Army and Department of Defense. But if you had to choose between the two, which stock is the better AI investment for the long haul? Here's a look at each business to answer that question. delivers various AI solutions that focus on national security and infrastructure. For example, it provides facial recognition software to many airports to screen passengers for security risks, and it's helping the U.S. Navy construct submarines with its AI-enhanced shipbuilding software. business delivered $34.8 million in the first quarter, a 5% year-over-year increase. It also benefited from the exercise of 2024 warrants to the tune of $64.7 million in gross proceeds. The company experienced leadership changes this year. Its CFO departed in June, and it gained a new CEO, Kevin McAleenan, in January. McAleenan served as Acting Secretary of the U.S. Department of Homeland Security during the first Trump administration, so his experience could prove beneficial to government business. That said, the company faces some challenges. is not profitable. Its Q1 net loss totaled $62 million, as some of its operating expenses increased year over year. also possesses substantial debt. Its Q1 total liabilities of $198.5 million included long-term debt of $100.6 million, and that was after the amount was reduced by $58 million through voluntary conversions of its 2029 convertible notes. Q1 assets totaled $396.3 million. offers ready-made and custom AI solutions. Government customers include the U.S. Air Force, the Marine Corps, and the National Science Foundation. It also boasts a sizable non-government business with clients such as ExxonMobil and Dow. The company leverages partnerships to expand its sales reach. Partners closed 193 agreements in 2025 fiscal year, ended April 30. This represented 68% year-over-year growth and 73% of total agreements. As a result, sales rose 25% year over year to $389.1 million in fiscal 2025. The company anticipates that its 2026 fiscal year will kick off with at least $100 million in Q1 sales, which would represent 15% year-over-year growth compared to the prior year's $87.2 million. Like is not profitable. It ended the 2025 fiscal year with a net loss of $288.7 million. However, its balance sheet was healthy. Fiscal Q4 assets totaled $1 billion, while total liabilities were $187.6 million. Although both companies saw sales growth to start the year, the rest of 2025 could be a different story. The U.S. government is cutting budgets. The budget cuts could be damaging to business. The company stated: "The majority of our revenue is derived from federal government contracts." The picture is different with Its federal government bookings represented 26% of the total for its 2025 fiscal year. Consequently, while budget cuts could hurt their effect on its business would be less than their effects on diversified revenue is a plus over but in deciding which is the better investment, another factor to look at is share price valuation. This can be determined with a review of each company's price-to-sales (P/S) ratio, which measures how much investors are willing to pay for every dollar of revenue. As the chart shows, both businesses possess P/S multiples that are far more reasonable now compared to their peaks over the past year. For comparison, AI leader Nvidia's P/S ratio is 24 as of June 18, which indicates that and shares are attractively priced. That said, P/S ratio remains higher than it was a year ago, while is lower. This suggests that stock is a good value, while its AI rival isn't the bargain it was in 2024. When stacked against compelling valuation, superior sales growth, and strong balance sheet make it the better artificial intelligence investment for the long term. Before you buy stock in consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 23, 2025 Robert Izquierdo has positions in and Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends The Motley Fool has a disclosure policy. Better Artificial Intelligence Stock: vs. was originally published by The Motley Fool
