Investor Alert: C3.ai Faces Class Action Suit Over Securities Fraud Allegations

The national plaintiffs' law firm, Berger Montague PC, has initiated a class action lawsuit against C3.ai, Inc. (NYSE: AI), a company known for its AI software solutions. This legal action is targeting investors who purchased shares between February 26, 2025, and August 8, 2025. Those affected have until October 21, 2025, to file for lead plaintiff status.

Background

C3.ai, recognized for its cutting-edge AI applications, is believed to have misled its investors by presenting an unrealistic outlook on business growth while concealing critical adverse information. The lawsuit suggests that the company's CEO's health issues significantly impacted operational performance and deal execution.

On August 8, 2025, C3.ai announced preliminary financial results for the first quarter of fiscal 2026 that were below market expectations, primarily owing to the adverse effects stemming from the CEO's health and a planned internal restructuring. This unfortunate news led to a drastic fall in C3.ai's stock, dropping over 25% in just one trading day—from a closing price of $22.13 to $16.47. This decline has sparked considerable concern among investors, leading to the current litigation.

Implications for Investors

Investors who acquired shares during the class period may find themselves affected by the allegations stemming from the lawsuit. Potential plaintiffs are advised that they may seek to be appointed as class representatives, thus taking a proactive approach to safeguarding their interests in this tumultuous situation.

For those interested in further details or legal assistance related to this class action, it’s imperative to contact Berger Montague directly. You can reach out to Andrew Abramowitz, a Senior Counsel at Berger Montague, by calling (215) 875-3015 or via email at [email protected]. Additionally, Caitlin Adorni is available for inquiries at (267) 764-4865 or via email at [email protected].

About Berger Montague

Founded in 1970, Berger Montague has established itself as a leader in securities class action litigation, advocating for both individual and institutional investors across various platforms. With offices in key locations, including Philadelphia, Minneapolis, and Toronto, they possess a robust track record in representing clients nationwide in complex legal battles.

As investor sentiment fluctuates due to uncertain economic conditions, attention to corporate governance and transparency remains critical. Lawsuits like the one against C3.ai highlight the importance of corporate responsibility and the legal recourse available to aggrieved investors.

Conclusion

As the situation with C3.ai develops, investors are encouraged to stay informed about their rights and the unfolding of the lawsuit. Exploring legal options promptly can be crucial in navigating possible outcomes stemming from this significant litigation.