AXEHEDGE - HIT or MISS? (insight)


In the wake of Inc’s disappointing quarterly revenue forecast on Thursday, June 1, the company’s share price dropped on Friday, June 2, dampening some of the recent euphoria surrounding artificial intelligence investments in the market. The stock climbed up from $31.37 to $38.18 in just 5 trading days.


There were also several AI-related small-cap stocks that fell last Thursday, with analytics firm BigBear.AI, conversation intelligence firm SoundHound AI, and Thai security firm Guardforce AI all continuing to slip between 3.7%, 10.7% and 0.52% over the past five trading days. 



Following a turnaround from a subscription-based business to a consumption-based business, the company now has a slowdown in revenue as a result of its shift to a consumption-based pricing model. Adding further fuel to the fire, NVIDIA (NVDA) and Marvell Technology (MRVL) announced significant increases in their respective forecasts for the next quarter, and in turn, investors tend to judge harshly as reflected in AI’s stock price in return for the news.

Let's take a moment to sit back and get to know the company a bit better. Inc is a company that specializes in artificial intelligence for enterprises. The company provides software-as-a-service applications that allow customers to rapidly develop, deploy, and operate large-scale Enterprise AI applications.

Unlike generative AI platforms like ChatGPT,’s offering is tailored to enterprise settings. produces enterprise AI software that aids various industries such as transport, healthcare, and manufacturing. According to the firm’s announcement on Tuesday, it is now possible to access its own C3 Generative AI product via Amazon’s AWS marketplace in addition to being available via Google’s Cloud Marketplace, which it already has. The product allows users to access corporate data via a natural language interface while preventing users from accidentally sharing information with the outside world., one of the biggest beneficiaries of the AI boom sparked by ChatGPT’s viral success, has seen its brand value triple in 2023. Currently, the company’s market capitalization as of June 2023 is $4.14B, an increase of 236.37% from last year. (NYSE: AI) might be one of 2020’s biggest tech debuts. Although, let’s not forget that today’s stock price is traded below its IPO price of $42. It wasn’t high enough. shares opened at $100 on Wednesday morning and were up to $109 shortly thereafter, a gain of 160% from the IPO price. Moreover, AI’s all-time high price is $161 on Christmas Eve 2020. 


In other words, the company’s stock price has dropped 76.39% from its peak. The company’s growing losses, high valuations, and slowing growth led investors to lose interest in C3.AI quickly. Furthermore, rising interest rates exacerbated the problem. 


Is (NYSE:AI) is worth to buy? On May 30, 2023, AI stock traded at $43.95 and dropped to $34,72 on June 1. It further slipped till $31.04 on few hours before closing on June 2. Following a drop, the stock crawled back up to $38.5 or 24.16% on June 6, 2023. Nonetheless, the stock has surged over 229% this year. AI’s average target price is $26.16, an downside of 28.17% from its last price of $36.44; ranging between high forecast of $50.00 and a low forecast of $14.00.




Despite the price drop, remains strong in future projections. Due to strong AI software demand, the company, however, has acquired bookings from a variety of industries and remains on track to post a profit by the end of April 2024.



“We believe it is generally agreed today that the market for enterprise AI applications is substantially larger and growing at a much greater growth rate than experts predicted,” the company said in a statement.


Combining Baker Hughes energy technology expertise with C3 AI technology


AI’s horizon is broad. A joint venture agreement between Baker Hughes and, one of the most well-known collaborations of C3 today combines BHGE’s full-stream expertise in oil and gas with’s unique AI software suite in an effort to deliver digital transformation technologies that will enhance the oil and gas industry’s productivity. The joint venture agreement combines BHGE’s full-stream oil and gas expertise with’s unique AI software suite.


Raytheon Intelligence & Space and Form Alliance to Accelerate Military AI Adoption., a leading enterprise AI software provider, and Raytheon Intelligence & Space, a Raytheon Technologies (NYSE: RTX) business collaborate to develop artificial intelligence solutions for aerospace and defense missions for government customers. The alliance will provide the U.S. military with AI-driven predictive analytics and automation technologies. It will also provide the military with a cloud-based platform to quickly analyze large amounts of data. The joint venture will enable the U.S. military to further leverage AI technology to gain a competitive edge.

C3 AI Expands Strategic Collaboration Agreement with AWS to Deliver Enhanced AI Solutions


As a part of the Strategic Collaboration Agreement (SCA) signed between and Amazon Web Services, Inc. (AWS), will provide artificial intelligence (AI) solutions designed to solve customers’ critical business challenges across a variety of industries, including defense and intelligence. All six of C3 AI’s application suites, as well as the C3 AI Platform, are available in AWS Marketplace now.


SWIFT and AI to increase the speed of transactions and the accuracy of anomaly detection in the financial system.

Bottom Line

AI had changed the way the World works. AI is projected to increase global GDP by 7% (or almost $7 trillion) and lift productivity growth by 1.5 percentage points over a 10-year period, according to a Goldman Sachs report.  The AI revolution can have a positive impact on the global economy.


The question here is, would it be possible for the current out-of-favor situation to recover over the next three years if it remained out of favor? Believe the company’s next earnings report must be in line with market expectations, indicating a positive response to other cloud integrations as well as matching market expectations. In the event that, if it falls short, a sell-off could occur.


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