Here's What Key Metrics Tell Us About C3.ai (AI) Q2 Earnings

For the quarter ended October 2024, C3.ai, Inc. (AI) reported revenue of $94.34 million, up 28.8% over the same period last year. EPS came in at -$0.06, compared to -$0.13 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $91.01 million, representing a surprise of +3.66%. The company delivered an EPS surprise of +62.50%, with the consensus EPS estimate being -$0.16.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.Here is how C3.ai performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Gross margin- Professional services: 89% versus the two-analyst average estimate of 84.2%. Gross margin- Subscription: 57% compared to the 55.9% average estimate based on two analysts. Revenue- Professional services: $13.18 million versus the six-analyst average estimate of $9.85 million. The reported number represents a year-over-year change of +94.3%. Revenue- Subscription: $81.16 million compared to the $81.15 million average estimate based on six analysts. The reported number represents a change of +22.1% year over year. View all Key Company Metrics for C3.ai here>>>Shares of C3.ai have returned +47.9% over the past month versus the Zacks S&P 500 composite's +1.1% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.Zacks Naming Top 10 Stocks for 2025Want to be tipped off early to our 10 top picks for the entirety of 2025?History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2025. Don’t miss your chance to get in on these stocks when they’re released on January 2.Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report C3.ai, Inc. (AI): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks