BigBear.ai (NYSE:BBAI) Shares Down 4% Following Weak Earnings

BigBear.ai Holdings, Inc. (NYSE:BBAI)’s share price dropped 4% on Friday following a weaker than expected earnings announcement. The company traded as low as $3.08 and last traded at $3.21. Approximately 35,373,898 shares changed hands during trading, a decline of 37% from the average daily volume of 56,214,105 shares. The stock had previously closed at $3.34.

The company reported ($0.10) earnings per share (EPS) for the quarter, missing the consensus estimate 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 business had revenue of $34.76 million during the quarter, compared to analyst estimates of $36.26 million. During the same period in the prior year, the business posted ($0.67) earnings per share. The company’s revenue for the quarter was up 4.9% compared to the same quarter last year.

Analysts Set New Price Targets

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

Insider Activity

In other news, CAO Sean Raymond Ricker sold 36,166 shares of the business’s stock in a transaction on Tuesday, March 25th. The stock was sold at an average price of $3.65, for a total transaction of $132,005.90. Following the completion of the sale, the chief accounting officer now owns 223,070 shares in the company, valued at $814,205.50. The trade was a 13.95 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 1.00% of the stock is owned by company insiders.

Institutional Trading of BigBear.ai

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Invesco Ltd. boosted its stake in shares of BigBear.ai by 8.3% in the 4th quarter. Invesco Ltd. now owns 21,149 shares of the company’s stock valued at $94,000 after purchasing an additional 1,629 shares during the last quarter. Victory Capital Management Inc. boosted its stake in BigBear.ai by 19.0% in the fourth quarter. Victory Capital Management Inc. now owns 14,576 shares of the company’s stock valued at $65,000 after acquiring an additional 2,332 shares during the last quarter. Deutsche Bank AG grew its holdings in BigBear.ai by 4.6% during the 4th quarter. Deutsche Bank AG now owns 55,055 shares of the company’s stock worth $245,000 after acquiring an additional 2,427 shares during the period. Wells Fargo & Company MN raised its position in shares of BigBear.ai by 5.1% during the 4th quarter. Wells Fargo & Company MN now owns 78,458 shares of the company’s stock valued at $349,000 after acquiring an additional 3,797 shares during the last quarter. Finally, JPMorgan Chase & Co. lifted its stake in shares of BigBear.ai by 12.3% in the 4th quarter. JPMorgan Chase & Co. now owns 51,166 shares of the company’s stock valued at $228,000 after purchasing an additional 5,591 shares during the period. 7.55% of the stock is currently owned by institutional investors and hedge funds.

BigBear.ai Price Performance

The company has a debt-to-equity ratio of 2.08, a quick ratio of 2.06 and a current ratio of 2.06. The company has a 50-day moving average price of $3.30 and a 200-day moving average price of $3.56. The firm has a market capitalization of $973.95 million, a P/E ratio of -3.70 and a beta of 3.34.

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.