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C3.ai (AI) Enhances Energy Sector with Shell Collaboration

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C3.ai (AI - Free Report) recently joined forces with Shell to bolster its reliability application by incorporating its advanced predictive maintenance software. This partnership marks a notable advancement in predictive maintenance and asset monitoring within the energy sector.

Shell's advanced models and predictive functionalities are now seamlessly integrated into the C3.ai reliability application. This collaboration underscores Shell's ongoing commitment to C3 AI's program. It will streamline offerings within the Open AI Energy Initiative (OAI Energy) marketplace, making AI solutions more accessible to the energy and process industries.

Expanding Clientele to Boost C3.ai’s Prospects

C3.ai's expanding clientele, including its involvement in initiatives like the Open AI Energy Initiative, drives portfolio expansion. Shares of C3.ai have increased 138.9% year to date compared with the Zacks Computer & Technology sector’s rise of 37.5% during the same time frame.

Within the Open AI Energy Initiative, C3.ai's collaboration with KONGSBERG, Microsoft, Databricks, and Shell Global Solutions B.V., has produced a digital twin solution that is set to elevate the efficiency of energy industry processes through AI-driven remote operations and real-time asset performance visualization, thereby supporting Shell's digital transformation efforts.

C3.ai's partnership with Shell has significantly expanded, with their predictive maintenance program now monitoring nearly 20,000 equipment pieces, potentially saving over $2 billion annually and preventing costly disasters such as offshore oil rod failures.
 

C3.ai, Inc. Price and Consensus

 

C3.ai, Inc. Price and Consensus

C3.ai, Inc. price-consensus-chart | C3.ai, Inc. Quote

 

Recently, C3.ai and ESG Book have joined forces to transform sustainability insights and empower enterprise ESG teams with AI-driven tools, addressing data challenges and meeting the rising demand for quality ESG and climate data.

In the fiscal first quarter, C3.ai entered into new and expanded agreements with Saudi Arabia's Smart City, NEOM, Nucor, Roche, Pantaleon in Central America, Ball, Cargill, Con Ed, Shell, Tyson 74Foods, and the U.S. Department of Defence.

A robust portfolio has been a key catalyst in driving AI’s growth. The company introduced the C3 Generative AI Suite with 28 domain-specific solutions, building on its successful deployments with clients like Georgia-Pacific, Nucor and Con Edison. The suite also addresses security concerns associated with large language models.

AI’s partnership with Koch generated nearly $4 million in monthly predictions across 300+ assets, yielding up to 5% improvements in equipment effectiveness at Georgia-Pacific while initiating two Generative AI projects to streamline data processing.

C3.ai closed 60% of its agreements with and through its partner network, which includes Google Cloud, AWS, Microsoft and Booz Allen Hamilton.

For the second quarter of fiscal 2024, AI expects total revenues between $72 million and $76.5 million. The Zacks Consensus Estimate for the second quarter is currently pegged at $74.55 million, suggesting a year-over-year growth of 19.45%.

The Zacks Consensus Estimate for fiscal 2024 revenues is pegged at 307.99 million, indicating growth of 15.44%.

Zacks Rank & Stocks to Consider

Currently, AI carries a Zacks Rank #3 (Hold).

Dell Technologies (DELL - Free Report) , NVIDIA (NVDA - Free Report) and Splunk are some better-ranked stocks that investors can consider in the broader sector, each sporting a Zacks Rank #1(Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

DELL, NVDA and SPLK shares have returned 74.9%, 221.1% and 71%, respectively, year-to-date.

Long-term earnings growth rates for Dell Technologies, NVIDIA and Splunk are pegged at 12%,13.5% and 29.55%, respectively.


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