C3.ai (AI) is a pioneer in AI tools and services, but it's not competing with OpenAI's ChatGPT.
Instead, the company offers a variety of custom-made and ready-to-use AI solutions that are revolutionizing Corporate America.
Top AI stock (not MSFT, GOOGL, AMZN or AAPL)
AI is by far the biggest tech investing trend of 2023.
But Ross Givens says the #1 artificial intelligence stock is NOT Microsoft, Google, Amazon or Apple.
Nope – his research is pointing to a tiny, under-the-radar stock that's trading for just $3 right now…
And could soon shoot to the moon, handing early investors a windfall.
This company already has 98 registered patents for cutting-edge voice and sound recognition technology…
And has lined up major partnerships with Honda, Netflix, Pandora, Mercedes Benz and many, many others.
So if you missed out on Microsoft when it first went public back in 1986…
This could be your shot at redemption.
C3.ai was founded by Thomas Siebel (known for Siebel Systems) in 2009. The company's name, “C3”, stands for Carbon and refers to the three core uses for its AI tools: measure, mitigate, and monetize. Initially, C3.ai focused on the energy sector, helping companies calculate, report, and comply with carbon taxes.
The company has since developed a suite of robust data visualization tools that present analytical results in a user-friendly manner. C3.ai has also created over 40 applications that link these visualizations to AI-driven data analytics, providing clients with a wide array of ready-to-use applications. These applications can assist oil and gas companies in analyzing energy reserves, help banks assess the risk of loan applications, and even combine disparate healthcare symptoms to form the basis for a diagnosis.
The company reported total revenue of $72.4 million for Q4 2023, with subscription revenue making up 79% of this total at $56.9 million. The company also reported a GAAP gross profit of $47.5 million, representing a 66% gross margin. C3.ai’s cash balance stood at $812.4 million, and it reported a positive free cash flow of $16.3 million.
For the full fiscal year, C3.ai reported total revenue of $266.8 million, marking a 5.6% increase compared to the previous fiscal year.
C3.ai is actively broadening its revenue streams by exploring new business opportunities in various industries. The leading source of new C3 contracts in the most recent quarter was the federal, defense, and aerospace market, accounting for 37% of incoming orders.
One of C3.ai’s major customers is the U.S. Department of Defense. General Ed Cardon (former U.S. Army Cyber Command) called this technology a “game changer,” saying he believes this could help dissolve the biggest barrier to effective access to accurate data and insight across an organization.
Manufacturing consisted of 16% of orders, with high tech and oil and gas tied for third place, each contributing 11% to the total order flow.
Currently, the ready-to-use apps are in high demand, making up 83% of last quarter's order bookings. The remaining 17% came from the C3 AI Platform, a more interactive development platform that allows clients to fine-tune their AI-powered data analytics to meet their specific needs.
As businesses become more familiar with AI and its potential, it's expected that the product mix will shift towards the app development platform, allowing for more customized AI solutions.
While some of C3.ai's tools may remind you of popular consumer products like ChatGPT, the company provides a generative AI development suite that can integrate chatbot-driven workflows into the C3 AI Platform's data analysis tools. However, this natural language system is an in-house AI engine, pre-trained to handle specific industries and data sets.
C3.ai continues to focus on business-oriented AI tools, bolstered by the surge in public interest. As an experienced player in the AI market, C3.ai (AI) offers a unique investment proposition with its industry-specific solutions and growing client base.
Elon Musk just Triggered a BOOM in These Stocks
Something strange is happening in the stock market…
We're talking gains of 230%, 379%, even a mind-boggling 865%…in mere months…
This isn't normal.
But it's happening.
And it's all because of Elon Musk.
You see, the Tesla founder just flipped the switch on a new technology…
One that's creating ripple effects across a small corner of the stock market…
Sending stocks flying one after the other.
But here's the catch… only a handful of investors have caught on to this.
Which means there's still time for you to get in.