stock continues to slide, and
one of the largest investors in the artificial intelligence software provider has sold a large number of shares.
C3.ai (ticker: AI) stocks lost more than half their value in the first half of this year. In July, they are down 18% so far. In comparison: the
S&P 500 Index
rose 14.4% in the first half and is down 1.0% so far in July. Shares of C3.ai have more than doubled on the first day of trading from its share price of $42 in December. Since the beginning of February, however, the shares have fallen. We noted in May that even after a pullback, stocks looked pricey. Strong fourth quarter data reported in June did not fuel any sustained gains in C3.ai stocks.
Part of Baker Hughes (BKR) sold 1.29 million C3.ai shares after April 22nd, though the oilfield services giant remains C3.ai’s third-largest shareholder. As of June 30, Baker Hughes owned 8.65 million C3.ai shares, according to a form it filed with the Securities and Exchange Commission.
Baker Hughes, an early investor in C3.ai, declined to comment on the share sale.
We noted that Baker Hughes had already recouped its investment in C3.ai after the stock sale in April brought its stake in that company below the 10% threshold. Now Baker Hughes is no longer required to disclose the sale of C3.ai stock within days of the transaction, nor the prices at which it was sold. Baker Hughes may only disclose its equity investments — and holdings of C3.ai stock — on a quarterly basis.
Inside Scoop is a regular Barron article about stock transactions by corporate leaders and board members – so-called insiders – as well as major shareholders, politicians and other prominent figures. Because of their insider status, these investors are required to disclose stock transactions to the Securities and Exchange Commission or other regulatory groups.
Write to Ed Lin at email@example.com and follow @BarronsEdLin.