The Redwood City, Calif., provider of artificial intelligence software to help businesses adapt their operations to digital also named Sam Alkharrat president and chief revenue officer.
C3 shares at last check were down 12% to $67.23.
Wedbush analyst Dan Ives affirmed an outperform rating on the stock but slashed his price target to $100 a share from $175 "to reflect more variability in the company's AI deal trajectory going forward."
"With the company going public late last year and having a choppy first quarter out of the gates along with lockup overhang, this was an important print to stabilize the ship and highlight the underlying growth story playing out under veteran software [Chief Executive] Tom Siebel," Ives said.
Ives still views C3 as one of the more disruptive enterprise software vendors in a space that has a $200 billion total addressable market.
Canaccord Genuity's David Hynes Jr. affirmed C3.ai at hold and trimmed his price target to $75 from $120.
"The thing that’s hard with this stock," he said, "is that it’s really about buying into the long-term vision – that the model-driven architecture is differentiated, that the firm can replicate best practices in verticals outside of the industrial/energy complex, that expanded partnerships and newly hired sales teams will yield the same productivity as past, etc.
"We’re generally optimistic that much of this will work out...," he said. For now, the stock is expensive at 29 times enterprise value to revenue based on 2022 estimates, the analyst said.
Analysts at Deutsche Bank maintained a hold position while cutting the price target to $63 from $98.
The move followed what the investment firm called a "so-so quarter" as subscription revenue showed no sequential growth and was below expectations.
Morgan Stanley maintained an underweight rating while raising its price target to $62 from $60. The investment firm says it was encouraged by improvement in remaining performance obligations but says the stock's valuation is still unattractive.
Piper Sander maintained an overweight rating while lowering its price target to $98 from $141.
The firm called C3's results mixed as investors "were looking for the company to target fiscal 2022 revenue growth higher than 34%, as C3 benefits from delayed fiscal 2021 projects, a broader product set, and larger enterprise relationships."