Why These 15 AI Stocks Are Plunging So Far in 2025

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6. C3.ai Inc (NYSE:AI)

Number of Hedge Fund Holders In Q4 2024: 25

C3.ai Inc (NYSE:AI) is an AI software company. It is still sort of a poster child for AI startups due to its ticker.

The stock is down significantly so far in 2025 after it reported strong Q3 FY2025 results but posted disappointing guidance. Revenue went up 26% year-over-year to $98.8 million but its guidance for the fourth quarter and the full year missed expectations.

The company projected Q4 revenue between $103.6 million and $113.6 million, slightly below analyst estimates of $108.6 million at the midpoint. Similarly, its full-year revenue forecast of $383.9 million to $393.9 million was in line with expectations but failed to inspire confidence.

Also, CEO Thomas Siebel sold stocks in both January and February 2025 and news about Microsoft scaling back its data center contracts has also hurt AI stocks across the board.

The consensus price target of $35 implies 32.42% upside.

AI is down 22.89% year-to-date.

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