C3.ai Lawsuit Filed, Investors Advised to Contact Pomerantz LLP.

• C3.ai class action lawsuit filed against the company and its officers. • Allegations of securities fraud and unlawful business practices. • Investors have until October 21, 2025, to seek Lead Plaintiff appointment. • Class action concerns C3.ai's preliminary financial results for Q1 2025. • Complaint can be obtained at pomerantzlaw.com.

C3.ai Inc. (NYSE: AI) is facing a class action lawsuit, alleging securities fraud and unlawful business practices. The lawsuit, captioned Liggett v. C3.ai, Inc., No. 25-cv-07129 (N.D. Cal.), seeks to represent investors who purchased or acquired C3.ai securities during the class period, which runs from February 26, 2025, to August 8, 2025 [2].

The complaint alleges that C3.ai and its top executives made materially false and misleading statements about the company's projected revenue outlook, growth potential, and CEO Thomas M. Siebel's health concerns. According to the lawsuit, C3.ai's optimistic reports on growth and earnings potential were not supported by reality, and the company's reliance on Siebel's health and effectiveness was too great [1].

The lawsuit also alleges that on August 8, 2025, C3.ai announced disappointing preliminary financial results for the first quarter of fiscal year 2026 and reduced its revenue guidance for the full fiscal year 2026. The company attributed its poor sales results and lowered guidance to the reorganization with new leadership and the health ailments of its CEO. This announcement resulted in a more than 25% drop in the price of C3.ai stock [1].

Investors who suffered substantial losses are encouraged to seek appointment as lead plaintiff in the C3.ai class action lawsuit. The lead plaintiff must file a motion with the court no later than October 21, 2025. The lead plaintiff can select a law firm of their choice to litigate the case. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff [1].

C3.ai has faced significant leadership turmoil and financial challenges in recent months. In mid-2025, CEO Thomas Siebel resigned due to health issues, creating a leadership vacuum that sent shockwaves through the market. The company's stock has since plummeted over 20% in the days following the announcement, compounding a 75% decline since its IPO [3].

The company's financial results for fiscal 2025 show an 18% year-over-year increase in revenue to $389.1 million, but a GAAP net loss per share of $(2.24) and a non-GAAP loss of $(0.41). The Q1 2025 results were particularly jarring, with revenue falling far short of estimates and GAAP and non-GAAP losses per share [3].

Investors must weigh C3.ai's AI potential against the uncertainty of its leadership and financial performance. The company's reliance on non-GAAP metrics and the opacity of its financial reporting raise concerns about its credibility and operational resilience. C3.ai's strategic partnerships and new executives aim to stabilize operations, but the company faces significant challenges in the fast-evolving world of enterprise AI [3].

The class action lawsuit against C3.ai and its officers is a reminder of the importance of transparency and accountability in the AI enterprise software sector. Investors should carefully consider the risks and opportunities presented by C3.ai's current situation [1, 2, 3].

References:
[1] https://www.rgrdlaw.com/cases-c3-ai-class-action-lawsuit-ai.html
[2] https://www.marketscreener.com/news/ai-bronstein-gewirtz-grossman-llc-announces-that-c3-ai-inc-investors-with-substantial-losses-ha-ce7c50ded181fe26
[3] https://www.ainvest.com/news/assessing-c3-ai-leadership-turmoil-financial-risks-cautionary-tale-ai-enterprise-software-investors-2508/