The original AI bro’s are punching air right now… 

C3.ai, ticker symbol “AI” is the epitome of how “we got here first” is a business model… and yet, the company just staged a $2 billion vanishing act in one trading session.

(Source: Giphy) 

Shares cratered 26% Monday after the company pre-announced fiscal Q1 2026 results that can best be described as “smoking crater” territory. Revenue came in between $70.2 million and $70.4 million, down from $87.2 million a year ago… and way below what Wall Street was expecting. Losses widened too as C3 expects a GAAP operating loss north of $124 million, compared to $72.6 million last year. Lawd have mercay. 

(Source: CNBC) 

The reason? Blame CEO Thomas Siebel as he blamed himself. In fact, he took the mic and called the sales performance “completely unacceptable,” blaming a “disruptive” reorganization and… himself. Turns out Siebel’s been dealing with an autoimmune disease diagnosed earlier this year, which caused “significant visual impairment” and kept him from playing his usual hands-on role in closing deals. His takeaway was this: “With the benefit of hindsight, it is now apparent that my active participation in the sales process may have had a greater impact than I previously thought.”

Translation: apparently no one else at C3.ai can close a contract without him standing there breathing over their shoulder. To be fair though, Siebel says his health has “improved dramatically” aside from the vision issues, and the board has already started hunting for his replacement as CEO. In the meantime, he’s “fully engaged” and “confident” the company can accelerate from here. Are you sure about that Tom? 

(Source: Giphy) 

In other words, C3.ai has been trying to rebrand itself from an enterprise AI platform vendor into a broader “we do everything AI” company. But Wall Street still values it more for the ticker than the fundamentals. With sales sliding double-digits and losses ballooning, the AI symbol only goes so far before investors realize they’re not buying ChatGPT… they’re buying an enterprise software firm that just admitted the CEO was its best (and maybe only) rainmaker. Meaning, without a fix, C3 risks becoming less “next-gen platform” and more “collectible ticker symbol from the 2023 bubble.”

Looking ahead, the company will report official earnings September 3, at which point we’ll find out if the bottom fishers are ready to bite… or if this thing keeps sinking until Siebel himself starts putting the “Always” in “Always Be Closing”, again. Meaning, keep your eyes on shares as we head into this morning's opening bell and place your bets accordingly. 

At the time of publishing, Stocks.News does not hold positions in companies mentioned in the article.