BigBear.ai (NYSE:BBAI) Shares Down 5.8% - Time to Sell?

Key Points

• BigBear.ai's stock dropped by 5.8% to $6.73, with trading volume decreasing by 20% from its average.
• HC Wainwright lowered its price target for BigBear.ai from $9.00 to $8.00 but maintains a "buy" rating; the average target price is currently $6.00.
• The company reported a quarterly revenue of $32.47 million but fell short of analyst estimates of $41.18 million, representing an 18.3% decline year-over-year.

BigBear.ai Holdings, Inc. (NYSE:BBAI - Get Free Report)'s stock price dropped 5.8% on Friday . The company traded as low as $6.56 and last traded at $6.73. Approximately 70,287,504 shares changed hands during trading, a decline of 20% from the average daily volume of 87,848,148 shares. The stock had previously closed at $7.14.

Analysts Set New Price Targets

Separately, HC Wainwright decreased their price target on shares of BigBear.ai from $9.00 to $8.00 and set a "buy" rating for the company in a research note on Tuesday, August 12th. Two research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $6.00.

BigBear.ai Trading Down 5.8%

The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.91 and a current ratio of 1.91. The firm has a fifty day moving average price of $6.15 and a 200 day moving average price of $4.76. The company has a market cap of $2.49 billion, a price-to-earnings ratio of -4.67 and a beta of 3.40.

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

Insiders Place Their Bets

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 value of $64,082.30. Following the sale, the chief financial officer owned 296,345 shares in the company, valued at $1,585,445.75. This represents a 3.88% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 1.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On BigBear.ai

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in BBAI. Goldman Sachs Group Inc. raised its position in shares of BigBear.ai by 569.0% in the first quarter. Goldman Sachs Group Inc. now owns 2,340,713 shares of the company's stock valued at $6,694,000 after purchasing an additional 1,990,822 shares during the period. Baird Financial Group Inc. bought a new position in BigBear.ai in the 1st quarter valued at about $286,000. Ameriprise Financial Inc. acquired a new stake in BigBear.ai during the fourth quarter worth approximately $81,000. ProShare Advisors LLC lifted its position in BigBear.ai by 51.5% during the fourth quarter. ProShare Advisors LLC now owns 29,077 shares of the company's stock worth $129,000 after acquiring an additional 9,879 shares during the last quarter. Finally, Swiss National Bank bought a new stake in shares of BigBear.ai during the first quarter worth approximately $1,045,000. 7.55% of the stock is owned by institutional investors.

BigBear.ai Company Profile

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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