What's Going On With CXApp Stock Wednesday?

Zinger Key Points
  • CXApp shares rallied more than 150% to start the week after the company announced a partnership with Google Cloud.
  • The stock appears to have resumed its rally after selling off on Tuesday.

CXApp Inc CXAI stock is continuing to see attention from traders following a massive rally to start the week. Here’s what you need to know.

What To Know: CXApp shares rallied more than 150% to start the week after the company announced a partnership with Alphabet Inc’s GOOG GOOGL Google Cloud. The stock pulled back significantly on Tuesday, closing the day down 27.1% at $4.48, but it’s moving higher again on Wednesday.

CXApp said it signed strategic partnership and development agreements as part of the launch of its CXAI Platform. Google and its service partners will provide services including end-to-end security, analytics and monitoring as well as usage-based SaaS performance enhancements to create a strong cloud-mobile experience for CXApp clients on the new platform.

Google will help enable CXApp’s Work SuperApp, generative AI applications and experiential analytics through the Vertex AI platform. The tech giant will also focus on CXApp’s enterprise customer applications, which are mostly powered by Google Cloud. Google also signed a go-to-market partnership to add the CXAI application platform to Google Marketplace. 

“Our strategic partnership and development agreements with Google Cloud signify a pivotal moment in our journey. By leveraging our AI-native platform, powered by cutting-edge technology and data insights, we’re poised to be the technology leader enabling transformative workplace experiences”, said Naresh Soni, CTO of CXApp.

Soni and other members of the company’s leadership team are set to attend Google’s Cloud Next conference, beginning April 9. The first deployment of the CXAI Platform is expected to take place in the summer.

CXApp is due to report fourth-quarter financial results in the coming weeks. The company is expected to report a loss of 25 cents per share and quarterly revenue of $2.3 million, according to estimates from Benzinga Pro.

Last quarter, CXApp reported revenue of $1.92 million, down from $2.26 million in the prior year’s quarter. The company said subscription-based recurring revenue represented 80% of total revenue and gross margin grew to 80% in the quarter. CXApp also noted that its gross margin could continue to increase as subscription revenues grow.

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CXAI Price Action: CXApp shares were up 2.71% at $4.61 at the time of publication, according to Benzinga Pro.

Photo: Pexels from Pixabay.

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