Why AI Stock C3.ai Leaped 4% Higher on Monday
A new deal signed with an important wing of the U.S. military brought the bulls back into C3.ai (NYSE: AI) stock on Monday. The artificial intelligence (AI) specialist's share price raced 4% higher on this development, a performance that trounced the 0.7% bump of the S&P 500 index on the day.
That morning, C3.ai announced, no doubt with plenty of pride, that it is to provide some of its services to no less a client than the U.S. Air Force. Under the terms of the deal, the military branch will adopt an air logistics-optimization product. The aim is to conserve flight energy.
This arrangement is a new order under a broad deal between the AI specialist and the Air Force's overseer, the Department of Defense (DoD), signed at the end of 2021. The company and the DoD agreed to a five-year "production-other transaction" arrangement covering the provision of C3.ai products and services to agencies and branches under the DoD umbrella. The total value of the contract is $500 million.
Source Fool.com
