Key Takeaways
- The CE 100 Index climbed 1.7% last week, with investor excitement around artificial intelligence boosting performance.
- Shares of AI company C3.ai surged 17% thanks to strong revenue growth and a significant increase in generative AI sales.
- Meta is reorganizing its AI teams to accelerate the development and launch of new AI-driven products and features.
- Mastercard introduced new AI-powered tools designed to help small businesses, leading to a rise in its stock.
- Conversely, PDD Holding, the parent company of e-commerce platform Temu, saw its shares fall sharply amid declining profits and heightened competition.
The CE 100 Index enjoyed a positive turn in a holiday-shortened week, notching a 1.7% gain. Much of this upward momentum was fueled by strong investor interest in advancements related to artificial intelligence (AI).
Within the “Enablers” segment, which rose 2.6%, C3.ai was a standout performer. The company’s shares jumped an impressive 17% after reporting its fiscal fourth-quarter results. Overall revenues were up 26% year-over-year, hitting $108 million. Subscription revenue grew 9%, and engineering services revenue skyrocketed 196%, with generative AI-related sales doubling over the fiscal year. C3.ai also renewed its collaboration with oil firm Baker Hughes, focusing on AI solutions to improve efficiency in the oil and gas industry.
Tech giant Meta is also reorganizing its generative AI team to speed up the introduction of new products and features, according to PYMNTS.com. An internal memo detailed how a dedicated products team will manage AI applications like the Meta AI assistant and AI capabilities within Facebook and Instagram, while another team will focus on advancing Meta’s large language models. Meta’s shares climbed 3.3%.
The “Pay and Be Paid” segment increased by 2.3%, with payment networks leading the way. Mastercard saw its shares rise 3.9% after launching a new suite of digital tools called Small Business Navigator for U.S. small businesses. This program offers an AI-powered chatbot mentor, data insights, and educational resources on topics like cybersecurity.
Visa’s stock also gained 3.3%. This followed news that Hong Kong-based ZA Bank became the first to enable Visa Click to Pay in Hong Kong, a feature that simplifies online transactions and will expand to other Asia-Pacific markets.
However, it wasn’t all gains. Shares of PDD Holding, parent of e-commerce giant Temu, dropped by more than 19%. The company indicated that tariffs impacted its quarterly profits, which fell 38% compared to the previous year. Executives also pointed to increased competition in China’s e-commerce sector and an expanded fee reduction plan for merchants.
