BigBear.ai (NYSE:BBAI) Trading Down 2% - Time to Sell?

Key Points

• BigBear.ai stock fell 2% during mid-day trading, closing at $5.50, with trading volume down 84% from its average.
• Despite the stock's recent performance, HC Wainwright maintains a "buy" rating but has decreased their price target from $9.00 to $8.00.
• The company's latest earnings report highlighted a revenue drop of 18.3% year-over-year, with earnings per share beating estimates by $0.01.

BigBear.ai Holdings, Inc. (NYSE:BBAI - Get Free Report)'s share price fell 2% during trading on Thursday . The stock traded as low as $5.45 and last traded at $5.50. 14,423,556 shares were traded during mid-day trading, a decline of 84% from the average session volume of 87,959,828 shares. The stock had previously closed at $5.61.

Analyst Ratings Changes

Separately, HC Wainwright lowered their target price 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 investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, BigBear.ai currently has a consensus rating of "Moderate Buy" and a consensus target price of $6.00.

BigBear.ai Trading Down 3.5%

The firm has a market capitalization of $1.97 billion, a price-to-earnings ratio of -3.69 and a beta of 3.44. The business's 50-day simple moving average is $6.41 and its two-hundred day simple moving average is $4.91. The company has a quick ratio of 1.91, a current ratio of 1.91 and a debt-to-equity ratio of 0.42.

BigBear.ai (NYSE:BBAI - Get Free Report) last announced its quarterly earnings results on Monday, August 11th. The company reported ($0.06) earnings per share for the quarter, beating 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 period last year, the business earned ($0.06) earnings per share. The business's revenue for the quarter was down 18.3% on a year-over-year basis. BigBear.ai has set its FY 2025 guidance at EPS. Equities analysts forecast that BigBear.ai Holdings, Inc. will post -0.28 earnings per share for the current year.

Insider Activity at BigBear.ai

In other news, CFO Julie Peffer sold 50,000 shares of the firm'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 owned 634,153 shares of the company's stock, valued at approximately $2,790,273.20. This trade represents a 7.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 1.10% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. JPMorgan Chase & Co. increased its holdings in BigBear.ai by 12.3% during the 4th quarter. JPMorgan Chase & Co. now owns 51,166 shares of the company's stock worth $228,000 after purchasing an additional 5,591 shares during the period. Price T Rowe Associates Inc. MD increased its holdings in BigBear.ai by 21.9% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 39,966 shares of the company's stock worth $178,000 after purchasing an additional 7,177 shares during the period. Wells Fargo & Company MN increased its holdings in BigBear.ai by 5.1% during the 4th quarter. Wells Fargo & Company MN now owns 78,458 shares of the company's stock worth $349,000 after purchasing an additional 3,797 shares during the period. MetLife Investment Management LLC increased its holdings in BigBear.ai by 219.6% during the 4th quarter. MetLife Investment Management LLC now owns 63,378 shares of the company's stock worth $282,000 after purchasing an additional 43,547 shares during the period. Finally, Ameriprise Financial Inc. purchased a new stake in BigBear.ai during the 4th quarter worth about $81,000. 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.