Is C3.ai Stock a Buy After Almost Quadrupling Since Its IPO?
If post-IPO share price action is any indication, investors think C3.ai (NYSE: AI) is an incredibly promising company. After pricing at $42 per share, the stock has quickly skyrocketed above $100 and beyond in just two weeks on the market. C3.ai raised over $700 million in cash from the offering, and as of this writing, the company has a market capitalization of over $15 billion.
C3.ai generated $157 million in revenue during its 2020 fiscal year. The stock thus fetches an incredibly steep premium of nearly 100 times sales as of this writing, and I'd pause before jumping in headfirst.
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Source Fool.com
