C3.ai: Analyzing Current Trends in the Options Market

Author: Caleb Price Updated: 09-13-2024 11:15 AM

Understanding the Current Stance on C3.ai

Recently, prominent investors, often referred to as whales, have adopted a notably bearish approach towards C3.ai. This sentiment emerges from the options history surrounding the company's stock.

Upon analyzing the trading patterns of C3.ai (AI), we identified a total of nine notable trades. A deeper dive into these transactions reveals that only 22% of the investors favored a bullish outlook, while a substantial 55% leaned towards bearish sentiments.

Detailed Breakdown of Options Trades

In the detected trades, six pertained to put options, accumulating around $551,524, while three were call options totaling approximately $176,614. Such trades suggest varying investor perspectives on the future movements of C3.ai's stock.

Price Target Insights

Considering both volume and open interest for the contracts, it seems that institutional investors have fixated their price targets for C3.ai within the range of $22.5 to $30.0 over the preceding three months. This price range establishes critical support and resistance points that traders should watch closely.

Today's Volume and Open Interest Developments

Regarding liquidity, the average open interest for C3.ai's options stands at 6,828.8, coupled with a total volume of 14,618.00 for the day. The graphical representation of trading volume and open interest indicates the activity trends for both call and put options within this pivotal price range over the last 30 days.

Analyzing Recent Options Activity

Recent significant options trades have further illuminated the sentiment surrounding C3.ai:

For instance, one trade involved 12/20/24 puts with a total trade price of $130.5K, exhibiting a neutral sentiment.
Another significant trade also involved put options with a bearish sentiment, reflecting underlying market apprehensions.
Calls positioned in April 2025 also showed some bearish undertones, highlighting cautious optimism.
For maturity in early 2026, neutral sentiment characterized a notable trade involving a $30.00 strike price.

C3.ai - A Closer Look at the Company

C3.ai Inc focuses on delivering enterprise-level artificial intelligence solutions. Its offerings include Software-as-a-Service applications that empower organizations to swiftly design, execute, and maintain expansive Enterprise AI applications across different infrastructures. The company operates under three main segments:

The C3 AI Platform: Enabling end-to-end development and deployment of AI applications.
C3 AI Applications: A library of industry-specific pre-built AI applications.
C3 Generative AI: Harnessing the capabilities of large language models.

This innovative structure allows the company to tap into markets across various geographical regions, extending its reach to North America, Europe, Asia Pacific, and beyond.

C3.ai's Current Market Position

Currently, C3.ai is experiencing a trading volume of 1,283,646, with its stock price rising 1.09% to $23.12.
Technical indicators suggest that AI's stock is neither overbought nor oversold, indicating a stable trading period.
The upcoming earnings report is anticipated around two months from now, keeping investors on alert.

Insights from Professional Analysts on C3.ai

Recent evaluations from five analysts have provided a mixed outlook on C3.ai's stock. The average price target is set at $28.8, reflecting varied opinions:

One analyst from JMP Securities has amended their rating to Market Outperform with an optimistic target of $40.
B of A Securities holds an Underperform rating with a conservative price target of $20.
Meanwhile, Morgan Stanley rates the stock as Underweight, maintaining a target of $21.
Analysts at Canaccord Genuity take a Hold stance with a target of $23.
Lastly, Oppenheimer rates it as Outperform with a target of $40, indicating some bullish potential.

Trading in options can carry inherent risks but also the promise of substantial returns. To navigate these uncertainties, traders continuously enhance their knowledge, adjust strategies, and stay vigilant to changing market dynamics. Continuous updates on C3.ai's options trades facilitate informed decision-making.

Frequently Asked Questions

What is the current sentiment on C3.ai's stock?

Major investors currently exhibit a bearish sentiment towards C3.ai, indicated by the options activity.

What range are investors targeting for C3.ai's stock price?

Investors have been focusing on a price level between $22.5 and $30.0 as critical points for C3.ai.

How has the trading volume for C3.ai changed recently?

The trading volume recently recorded is 1,283,646, reflecting a 1.09% increase in share price.

What do analysts think about C3.ai's future?

Analysts provide mixed evaluations, with an average price target of $28.8, while some maintain bearish stances.

What are the core divisions of C3.ai?

C3.ai consists of the AI Platform, AI Applications, and C3 Generative AI, each playing a critical role in their service delivery.

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

Disclaimer: The content of this article is solely for general informational purposes only; it does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice; the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. The author's interpretation of publicly available data shapes the opinions presented here; as a result, they should not be taken as advice to purchase, sell, or hold any securities mentioned or any other investments. The author does not guarantee the accuracy, completeness, or timeliness of any material, providing it "as is." Information and market conditions may change; past performance is not indicative of future outcomes. If any of the material offered here is inaccurate, please contact us for corrections.