BigBear.ai (NYSE:BBAI) Shares Up 2.8% - Here's Why

Key Points

• BigBear.ai shares rose by 2.8%, closing at $6.80 with a trading volume of over 110 million shares, which is a 21% increase from its average volume.
• Analysts have mixed ratings on BigBear.ai, with two Buy ratings, two Hold ratings, and one Sell rating; the average target price is set at $6.00.
• The company reported a revenue decline of 18.3% year-over-year, with earnings per share (EPS) of -$0.06, slightly beating estimates, but revenue fell short of expectations.

BigBear.ai Holdings, Inc. (NYSE:BBAI - Get Free Report)'s share price shot up 2.8% on Thursday . The company traded as high as $6.90 and last traded at $6.80. 110,750,067 shares traded hands during trading, an increase of 21% from the average session volume of 91,656,336 shares. The stock had previously closed at $6.61.

Analyst Ratings Changes

A number of research firms recently weighed in on BBAI. HC Wainwright decreased their target price on shares of BigBear.ai from $9.00 to $8.00 and set a "buy" rating on the stock in a report on Tuesday, August 12th. Weiss Ratings reissued a "sell (d-)" rating on shares of BigBear.ai in a research note on Wednesday, October 8th. Two equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, BigBear.ai has a consensus rating of "Hold" and an average target price of $6.00.

BigBear.ai Trading Up 2.8%

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 market cap of $2.97 billion, a PE ratio of -4.72 and a beta of 3.43. The stock's 50 day simple moving average is $6.32 and its 200 day simple moving average is $5.32.

BigBear.ai (NYSE:BBAI - Get Free Report) last released its quarterly earnings results on Monday, August 11th. The company reported ($0.06) EPS for the quarter, topping analysts' consensus estimates 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 business had revenue of $32.47 million during the quarter, compared to analysts' expectations of $41.18 million. During the same quarter in the previous year, the company earned ($0.06) EPS. The business's quarterly revenue was down 18.3% compared to the same quarter last year. BigBear.ai has set its FY 2025 guidance at EPS. On average, sell-side analysts forecast that BigBear.ai Holdings, Inc. will post -0.28 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Sean Raymond Ricker sold 11,978 shares of the company's stock in a transaction on Wednesday, August 27th. The shares were sold at an average price of $5.35, for a total value of $64,082.30. Following the completion of the sale, the chief financial officer owned 296,345 shares of the company's stock, valued at approximately $1,585,445.75. This represents a 3.88% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.10% of the company's stock.

Institutional Investors Weigh In On BigBear.ai

Institutional investors have recently made changes to their positions in the business. CWM LLC boosted its stake in shares of BigBear.ai by 237.5% in the 3rd quarter. CWM LLC now owns 4,640 shares of the company's stock valued at $30,000 after purchasing an additional 3,265 shares in the last quarter. Nisa Investment Advisors LLC boosted its stake in shares of BigBear.ai by 68.4% in the 2nd quarter. Nisa Investment Advisors LLC now owns 6,222 shares of the company's stock valued at $42,000 after purchasing an additional 2,527 shares in the last quarter. Flaharty Asset Management LLC purchased a new stake in BigBear.ai during the 1st quarter valued at $26,000. Allworth Financial LP grew its holdings in BigBear.ai by 36.6% in the 2nd quarter. Allworth Financial LP now owns 9,765 shares of the company's stock worth $66,000 after acquiring an additional 2,615 shares during the last quarter. Finally, Enterprise Bank & Trust Co bought a new stake in BigBear.ai in the 2nd quarter worth $68,000. Hedge funds and other institutional investors own 7.55% of the company's stock.

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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