Needham analyst Mike Cikos has maintained their neutral stance on AI stock, giving a Hold rating today.
Mike Cikos has given his Hold rating due to a combination of factors including C3.ai’s recent financial performance and market activities. The company reported a 26% year-over-year increase in revenue for the third quarter of fiscal year 2025, reaching $98.8 million. Subscription revenue also saw a significant rise, climbing 22% year-over-year to $85.7 million. Additionally, C3.ai expanded its partnerships, notably with Microsoft, which contributed to an increase in new pilot projects and deals closed.
However, despite these positive developments, the Hold rating suggests a cautious approach, possibly due to uncertainties or challenges that may impact future growth. The increase in pilot projects and deals, while promising, may not yet translate into sustained long-term growth. Therefore, while the company shows potential, the Hold rating indicates a wait-and-see stance as the market evaluates C3.ai’s ability to maintain its growth trajectory.
According to TipRanks, Cikos is a 5-star analyst with an average return of 12.3% and a 54.86% success rate. Cikos covers the Technology sector, focusing on stocks such as Dynatrace, Okta, and Tenable Holdings.
In another report released today, Canaccord Genuity also maintained a Hold rating on the stock with a $30.00 price target.