Jim Cramer Slams C3.ai, Inc. (AI) Over Skepticism Surrounding AI Infrastructure
Monday, May 5, 2025 5:15 pm ET
Jim Cramer criticizes C3.ai, Inc. (AI) for losing money and advises investors to take some off the table. He expresses frustration over the skepticism surrounding AI infrastructure and attributes it to false narratives spread by bearish voices with financial motives. Cramer expects the bears to return, but believes it's not too late to own stocks in the complex.
Jim Cramer, the renowned financial commentator, recently expressed his frustration over the skepticism surrounding AI infrastructure, particularly in relation to C3.ai, Inc. (NYSE:AI). On Thursday’s episode of Mad Money, Cramer voiced his exasperation over the doubts and misinformation that have led many investors to believe that the AI infrastructure boom has stalled. He pointed to the media’s role in spreading these narratives and criticized the consistent spotlight given to bearish voices, many of whom have financial motives.Cramer highlighted that AI stocks hold greater promise for delivering higher returns within a shorter time frame. He mentioned that while AI ranks 11th on his list of stocks discussed, there are other AI stocks that have performed better since the beginning of 2025, while popular AI stocks lost around 25%. He advised investors to consider these promising AI stocks that trade at less than 5 times their earnings.
C3.ai, Inc. has been a topic of interest due to its AI software for businesses. The company’s products include the C3 AI Platform, C3 AI CRM Suite, and C3 Generative AI. However, the stock has faced criticism and skepticism, with recent market performance reflecting this. On May 6, 2025, C3.ai, Inc. ended the trading session at $22.58, demonstrating a -0.04% swing from the preceding day's closing price. The stock's performance was behind the S&P 500's daily gain of 0.06% and the technology-centric Nasdaq’s decrease of 0.1%.
Despite the recent market volatility, Warren Buffett, the CEO of Berkshire Hathaway, downplayed the recent stock market volatility during the company’s annual meeting on Saturday. He advised investors to stay calm and reminded them that the market had climbed over his lifetime. Buffett cautioned investors to be ready for bouts of troublesome action and emphasized the importance of adapting to market conditions rather than expecting the world to adapt to them.
In conclusion, Jim Cramer's criticism of C3.ai, Inc. reflects his broader frustration with the skepticism surrounding AI infrastructure. While he acknowledges the potential of AI as an investment, he advises investors to be cautious and take some off the table. Investors should stay informed about the latest developments and consider the advice of financial experts like Jim Cramer and Warren Buffett.
References:
[1] https://finance.yahoo.com/news/jim-cramer-slams-c3-ai-210629072.html
[2] https://www.nasdaq.com/articles/c3ai-inc-ai-stock-falls-amid-market-uptick-what-investors-need-know
[3] https://www.considerable.com/buffett-urges-calm-amidst-stock-market-fears/
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