BigBear.ai (NYSE:BBAI) Shares Gap Down - Should You Sell?

BigBear.ai Holdings, Inc. (NYSE:BBAI - Get Free Report)'s share price gapped down before the market opened on Monday . The stock had previously closed at $4.16, but opened at $4.02. BigBear.ai shares last traded at $3.99, with a volume of 23,504,536 shares changing hands.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on BBAI shares. HC Wainwright reduced their target price on BigBear.ai from $7.00 to $6.00 and set a "buy" rating on the stock in a report on Friday, March 7th. Northland Capmk cut BigBear.ai from a "strong-buy" rating to a "hold" rating in a research note on Friday, March 7th. Northland Securities downgraded BigBear.ai from an "outperform" rating to a "market perform" rating and increased their price objective for the stock from $2.50 to $4.00 in a report on Friday, March 7th. Finally, Cantor Fitzgerald dropped their target price on shares of BigBear.ai from $8.00 to $6.00 and set an "overweight" rating on the stock in a report on Friday, March 7th.

BigBear.ai Stock Down 4.1%

The company has a quick ratio of 2.06, a current ratio of 2.06 and a debt-to-equity ratio of 2.08. The company's fifty day moving average price is $3.25 and its 200-day moving average price is $3.87. The stock has a market capitalization of $1.10 billion, a PE ratio of -4.16 and a beta of 3.32.

BigBear.ai (NYSE:BBAI - Get Free Report) last announced its quarterly earnings data on Thursday, May 1st. The company reported ($0.10) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.06) by ($0.04). BigBear.ai had a negative net margin of 109.90% and a negative return on equity of 138.35%. The company had revenue of $34.76 million for the quarter, compared to analysts' expectations of $36.26 million. During the same quarter in the previous year, the firm posted ($0.67) EPS. The firm's quarterly revenue was up 4.9% compared to the same quarter last year. Analysts forecast that BigBear.ai Holdings, Inc. will post -0.28 earnings per share for the current year.

Insider Transactions at BigBear.ai

In related news, CFO Julie Peffer sold 50,000 shares of the business's stock in a transaction that occurred on Tuesday, May 27th. The shares were sold at an average price of $4.40, for a total value of $220,000.00. Following the completion of the transaction, the chief financial officer now directly owns 634,153 shares in the company, valued at $2,790,273.20. The trade was a 7.31% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Dorothy D. Hayes sold 26,000 shares of the stock in a transaction on Thursday, May 15th. The shares were sold at an average price of $3.60, for a total value of $93,600.00. Following the sale, the director now owns 255,239 shares in the company, valued at approximately $918,860.40. This represents a 9.24% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 204,219 shares of company stock valued at $752,605 in the last quarter. 1.10% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in BBAI. Sargent Investment Group LLC purchased a new stake in BigBear.ai in the fourth quarter worth approximately $1,028,000. Choreo LLC bought a new position in shares of BigBear.ai during the 4th quarter valued at $67,000. Apollon Wealth Management LLC purchased a new position in shares of BigBear.ai in the 4th quarter worth $65,000. Vontobel Holding Ltd. bought a new stake in shares of BigBear.ai in the fourth quarter worth $238,000. Finally, Rhumbline Advisers increased its position in BigBear.ai by 41.6% during the fourth quarter. Rhumbline Advisers now owns 111,825 shares of the company's stock valued at $498,000 after acquiring an additional 32,829 shares during the last quarter. 7.55% of the stock is owned by hedge funds and other 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.