C3.ai Recovers Much of Short-Seller Drop After Posting Early Earnings

C3.ai Inc. shares gained 23%, the most in 10 weeks, after the company released preliminary earnings exceeding analysts’ estimates and said an investigation following accusations from short-sellers found no wrongdoing. Revenue in the quarter that ended April 30 was as much as $72.4 million, the company said. Releasing fiscal fourth-quarter results early had “nothing to do with the short-sellers,” Chief Executive Officer Tom Siebel said in an interview. Sahm Adrangi, chief investment officer at Kerrisdale Capital, said C3.ai’s preliminary results don’t answer questions about over-reliance on revenue from Baker Hughes, a jump in unbilled receivables and other issues. Kerrisdale is still short C3.ai shares, he said.