C3.ai (NYSE: AI) has become a fairly popular stock due to the artificial intelligence (AI) investing trend. Because it's one of the few companies that is nearly a pure-play investment in AI, many investors have taken a look at it.

However, if you're considering investing in C3.ai, I'd urge you to consider this one red flag, as it could save you from heartache in the future.

Although growth investors love to see revenue increase, all companies need to be able to turn a profit and return value to shareholders. When a company is still rapidly expanding, investors are willing to look past unprofitability because they know a day will come when profits eventually occur.

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Source Fool.com