BigBear.ai (NYSE:BBAI) Stock Price Down 4.7% - What's Next?

Key Points

• BigBear.ai's stock price dropped by 4.7% during mid-day trading on Wednesday, closing at $8.50 after trading as low as $8.00, with a significant trading volume increase of 45% from the daily average.
• Research firms have varied ratings on BigBear.ai, with HC Wainwright lowering their target price to $8.00 while Weiss Ratings issued a "sell" rating, leading to a consensus rating of "Hold" and an average price target of $6.00.
• The company reported a negative net margin of 269.28% and an 18.3% decline in revenue compared to the same quarter last year, while their earnings per share beat estimates slightly.

BigBear.ai Holdings, Inc. (NYSE:BBAI - Get Free Report) was down 4.7% during mid-day trading on Wednesday . The company traded as low as $8.00 and last traded at $8.50. Approximately 131,433,529 shares changed hands during mid-day trading, an increase of 45% from the average daily volume of 90,530,742 shares. The stock had previously closed at $8.91.

Wall Street Analyst Weigh In

Several research firms have commented on BBAI. HC Wainwright lowered their target price on shares of 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 reissued a "sell (d-)" rating on shares of BigBear.ai in a research report on Wednesday, October 8th. Two investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, BigBear.ai has a consensus rating of "Hold" and an average price target of $6.00.

BigBear.ai Trading Down 4.7%

The company has a market cap of $3.70 billion, a price-to-earnings ratio of -5.90 and a beta of 3.43. The company's fifty day moving average price is $6.21 and its two-hundred day moving average price is $5.15. 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 issued 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. The business had revenue of $32.47 million during the quarter, compared to analyst estimates of $41.18 million. BigBear.ai had a negative net margin of 269.28% and a negative return on equity of 48.11%. BigBear.ai's revenue for the quarter was down 18.3% compared to the same quarter last year. During the same quarter last year, the business posted ($0.06) earnings per share. BigBear.ai has set its FY 2025 guidance at EPS. Research analysts expect that BigBear.ai Holdings, Inc. will post -0.28 earnings per share for the current year.

Insider Buying and Selling at BigBear.ai

In other BigBear.ai news, CFO Sean Raymond Ricker sold 11,978 shares of the firm's stock in a transaction that occurred 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 transaction, the chief financial officer directly owned 296,345 shares of the company's stock, valued at approximately $1,585,445.75. This trade represents a 3.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.10% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On BigBear.ai

Several institutional investors have recently added to or reduced their stakes in BBAI. Wealth Enhancement Advisory Services LLC bought a new stake in BigBear.ai in the 4th quarter valued at $89,000. Rhumbline Advisers raised its holdings in BigBear.ai by 18.1% in the 1st quarter. Rhumbline Advisers now owns 132,012 shares of the company's stock valued at $378,000 after acquiring an additional 20,187 shares during the period. Opal Wealth Advisors LLC bought a new position in BigBear.ai in the 1st quarter valued at about $34,000. Dynamic Advisor Solutions LLC acquired a new position in shares of BigBear.ai during the 1st quarter worth approximately $86,000. Finally, Janney Montgomery Scott LLC bought a new position in BigBear.ai in the first quarter valued at approximately $60,000. 7.55% of the stock is owned by 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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