On Monday, C3.ai, Inc. (AI) stock plummeted by 5.07% during the intraday trading session, following a 13% decline in the previous week. The drop comes despite the company reporting strong year-over-year revenue growth for the third quarter and first nine months of fiscal 2025.

While C3.ai provided optimistic future revenue guidance, indicating potential growth, the news of the company reporting a wider net loss compared to the previous year raised concerns among investors. The broader market volatility and uncertainties surrounding the U.S. economy and regulatory policies affecting the tech sector also contributed to the stock's decline.

Additionally, fluctuations in leading tech stocks, such as Nvidia and Tesla, further unsettled investor sentiment towards the AI sector. Despite C3.ai's projected revenue growth, the continuing losses alongside broader economic uncertainties posed challenges for the company's stock performance on Monday.