C3.ai faces volatility and allegations, CEO responds.
Investment firm Kerrisdale Capital Management has made serious accounting allegations against C3.ai, including questions regarding the reporting of subscription revenue and related party disclosures and financials related to the Baker Hughes deal. The company's CFO turnover has also raised concerns. However, C3.ai has responded to the allegations, stating that its financials are accurate per U.S. GAAP as audited by Deloitte. The stock has dropped significantly following the allegations, but some investors see this as a buying opportunity, with the stock now trading at a more reasonable valuation.