BigBear.ai (NYSE:BBAI) Shares Down 3.4% - Here's Why

Key Points

• BigBear.ai's stock declined by 3.4%, closing at $7.24, despite trading volumes exceeding the average by 161%.
• Analyst ratings are mixed, with HC Wainwright lowering the target price from $9.00 to $8.00 while maintaining a "buy" rating, and Weiss Ratings issuing a "sell" rating.
• The company's quarterly earnings reported a revenue drop of 18.3% year-over-year, with a total revenue of $32.47 million compared to estimates of $41.18 million.

BigBear.ai Holdings, Inc. (NYSE:BBAI - Get Free Report)'s stock price was down 3.4% during trading on Friday . The company traded as low as $7.20 and last traded at $7.24. Approximately 233,058,681 shares were traded during mid-day trading, an increase of 161% from the average daily volume of 89,229,477 shares. The stock had previously closed at $7.49.

Analyst Ratings Changes

A number of equities research analysts have commented on BBAI shares. HC Wainwright reduced their target price on BigBear.ai from $9.00 to $8.00 and set a "buy" rating on the stock in a research report on Tuesday, August 12th. Weiss Ratings restated a "sell (d-)" rating on shares of BigBear.ai in a research report on Wednesday. Two investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, BigBear.ai has a consensus rating of "Hold" and a consensus target price of $6.00.

BigBear.ai Price Performance

The company has a fifty day moving average price of $6.12 and a two-hundred day moving average price of $5.03. The company has a current ratio of 1.91, a quick ratio of 1.91 and a debt-to-equity ratio of 0.42. The firm has a market capitalization of $3.15 billion, a PE ratio of -5.02 and a beta of 3.43.

BigBear.ai (NYSE:BBAI - Get Free Report) last posted its quarterly earnings data on Monday, August 11th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.07) by $0.01. The firm had revenue of $32.47 million during the quarter, compared to the consensus estimate of $41.18 million. BigBear.ai had a negative return on equity of 48.11% and a negative net margin of 269.28%.The firm's revenue was down 18.3% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.06) EPS. BigBear.ai has set its FY 2025 guidance at EPS. Sell-side analysts forecast that BigBear.ai Holdings, Inc. will post -0.28 earnings per share for the current year.

Insider Buying and Selling

In other BigBear.ai news, CFO Sean Raymond Ricker sold 11,978 shares of the company's stock in a transaction that occurred on Wednesday, August 27th. The stock was sold at an average price of $5.35, for a total transaction of $64,082.30. Following the completion of the sale, the chief financial officer directly owned 296,345 shares of the company's stock, valued at $1,585,445.75. This represents a 3.88% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 1.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On BigBear.ai

Large investors have recently modified their holdings of the business. Flaharty Asset Management LLC purchased a new position in shares of BigBear.ai during the 1st quarter worth approximately $26,000. Cornerstone Wealth Management LLC acquired a new stake in shares of BigBear.ai in the 1st quarter worth approximately $29,000. Blue Bell Private Wealth Management LLC grew its holdings in shares of BigBear.ai by 2,216.0% in the 1st quarter. Blue Bell Private Wealth Management LLC now owns 11,580 shares of the company's stock worth $33,000 after acquiring an additional 11,080 shares during the period. Opal Wealth Advisors LLC acquired a new stake in shares of BigBear.ai in the 1st quarter worth approximately $34,000. Finally, Alpine Global Management LLC acquired a new stake in shares of BigBear.ai in the 1st quarter worth approximately $34,000. 7.55% of the stock is owned by hedge funds and other institutional investors.

About BigBear.ai

BigBear.ai Holdings, Inc provides artificial intelligence-powered decision intelligence solutions. It offers national security, supply chain management, and digital identity and biometrics solutions. The company also provides data ingestion, data enrichment, data processing, artificial intelligence, machine learning, predictive analytics, and predictive visualization solutions and services.

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