UBS Raises c3.ai Price Target To $17, Keeps Neutral Rating Amid Execution Concerns

UBS lifted its price target on c3.ai (NYSE:AI) to $17 from $16 while maintaining a Neutral rating, citing lingering uncertainty around growth trajectory and execution risks.

The firm said it remained cautious on FY27 revenue outcomes, with investor expectations ranging from flat growth to mid-20% expansion. While c3.ai's Q1 miss was attributed to execution issues on large deals rather than broad-based weakness, new leadership changes created uncertainty.

UBS noted that the FY26 revenue framework of $290 million to $300 million appeared conservative, but a lack of finalized strategy under the new CEO could disrupt performance over several quarters. The firm left its FY26 revenue estimate unchanged at $299 million.

UBS said visibility into the second half of FY26 and into FY27 remained limited, and despite negative investor positioning, it preferred to stay cautious until more clarity emerged.