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Oppenheimer downgrades C3 AI after ‘extremely weak’ results

Oppenheimer downgraded last night C3 AI (AI) to Perform from Outperform without a price target The company announced “extremely weak” preliminary fiscal Q1 results which imply a 35% sequential revenue decline, the analyst tells investors in a research note. The firm views the quarter as a “major concern” given the recurring nature of C3 AI’s subscription revenue, suggesting the services are not working as advertised. Oppenheimer is re concerned that the results indicate secular weakness in the company’s underlying trends.

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