BigBear.ai (NYSE:BBAI) Shares Down 7.1% After Analyst Downgrade

BigBear.ai Holdings, Inc. (NYSE:BBAI)’s share price was down 7.1% during trading on Tuesday after Cantor Fitzgerald lowered their price target on the stock from $6.00 to $5.00. Cantor Fitzgerald currently has a neutral rating on the stock. BigBear.ai traded as low as $3.70 and last traded at $3.81. Approximately 51,773,371 shares traded hands during mid-day trading, a decline of 22% from the average daily volume of 66,258,664 shares. The stock had previously closed at $4.10.

Several other brokerages have also issued reports on BBAI. Wall Street Zen lowered BigBear.ai from a “hold” rating to a “sell” rating in a research note on Saturday, January 10th. Weiss Ratings restated a “sell (d-)” rating on shares of BigBear.ai in a research report on Wednesday, January 21st. Finally, HC Wainwright reduced their target price on shares of BigBear.ai from $8.00 to $6.00 and set a “buy” rating on the stock in a research note on Tuesday. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $5.00.

Insider Transactions at BigBear.ai

In other news, CFO Sean Raymond Ricker sold 5,000 shares of the business’s stock in a transaction dated Thursday, December 4th. The stock was sold at an average price of $7.06, for a total transaction of $35,300.00. Following the completion of the transaction, the chief financial officer directly owned 488,716 shares in the company, valued at approximately $3,450,334.96. The trade was a 1.01% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.54% of the company’s stock.

Trending Headlines about BigBear.ai

Here are the key news stories impacting BigBear.ai this week:

• Positive Sentiment: Balance-sheet repair — management reported a large reduction in debt and a much stronger liquidity/cash position, which reduces near-term financing risk and supports future investment. BigBear.ai Resets Balance Sheet
• Positive Sentiment: Strategic acquisitions — recent deals (Ask Sage, Cargo Seer) add FedRAMP access and recurring revenue streams tied to federal and border security use cases, improving the company’s addressable market and revenue quality. MarketBeat coverage
• Neutral Sentiment: Q4 EPS beat but revenue miss — BigBear.ai reported a smaller-than-expected loss per share, modestly beating EPS estimates, but revenue of $27.3M missed consensus. That EPS beat tempers concern but the revenue miss is the larger signal for growth. Zacks: Q4 results
• Neutral Sentiment: Longer-term targets and presentation — management outlined a 17% revenue growth target and an investor presentation highlighting strategic focus areas; useful for medium-term thesis but not immediately accretive. Seeking Alpha: Growth target
• Negative Sentiment: Revenue guidance came in light — FY2026 revenue guidance of $135.0M–$165.0M was below the roughly $167.7M consensus, signaling slower near-term topline recovery and likely driving downside pressure. Business Wire: Q4 results & guidance
• Negative Sentiment: Analyst reactions trimmed — Cantor Fitzgerald cut its price target to $5 (now Neutral) and HC Wainwright reduced its target to $6 (still Buy), signaling tempered upside and contributing to selling pressure. Benzinga: analyst moves
• Negative Sentiment: Revenue decline and program softness — management attributed Q4 revenue weakness to lower volume on certain military programs, highlighting sensitivity to defense customer activity and near-term revenue volatility. Seeking Alpha: revenue miss

Institutional Investors Weigh In On BigBear.ai

Several hedge funds have recently bought and sold shares of the company. Root Financial Partners LLC increased its position in shares of BigBear.ai by 617.5% in the 4th quarter. Root Financial Partners LLC now owns 5,381 shares of the company’s stock valued at $29,000 after buying an additional 4,631 shares in the last quarter. CWM LLC grew its stake in BigBear.ai by 237.5% in the third quarter. CWM LLC now owns 4,640 shares of the company’s stock valued at $30,000 after acquiring an additional 3,265 shares during the period. PNC Financial Services Group Inc. increased its holdings in shares of BigBear.ai by 150.9% in the fourth quarter. PNC Financial Services Group Inc. now owns 5,640 shares of the company’s stock worth $30,000 after acquiring an additional 3,392 shares in the last quarter. Hazlett Burt & Watson Inc. raised its position in shares of BigBear.ai by 3,355.6% during the third quarter. Hazlett Burt & Watson Inc. now owns 4,976 shares of the company’s stock worth $32,000 after purchasing an additional 4,832 shares during the period. Finally, HM Payson & Co. raised its position in shares of BigBear.ai by 616.9% during the fourth quarter. HM Payson & Co. now owns 7,169 shares of the company’s stock worth $39,000 after purchasing an additional 6,169 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 current ratio of 3.13, a quick ratio of 3.13 and a debt-to-equity ratio of 0.18. The company has a fifty day moving average price of $5.16 and a two-hundred day moving average price of $5.89. The firm has a market cap of $1.66 billion, a P/E ratio of -3.81 and a beta of 3.49.

BigBear.ai (NYSE:BBAI) last announced its earnings results on Monday, March 2nd. The company reported ($0.01) EPS for the quarter, topping the consensus estimate of ($0.05) by $0.04. BigBear.ai had a negative net margin of 230.21% and a negative return on equity of 21.44%. The firm had revenue of $27.30 million for the quarter, compared to the consensus estimate of $33.31 million. During the same period last year, the company posted ($0.43) EPS. The business’s quarterly revenue was down 37.7% on a year-over-year basis. Equities analysts anticipate that BigBear.ai Holdings, Inc. will post -0.28 earnings per share for the current year.

About BigBear.ai

BigBear.ai is a provider of artificial intelligence (AI) and data analytics solutions designed to deliver actionable insights for public sector and commercial clients. Headquartered in Columbia, Maryland, the company specializes in advanced analytics, machine learning, predictive modeling and network analysis to support decision-making in complex, data-rich environments. Its clientele spans defense and intelligence agencies, civil government organizations and enterprise businesses seeking to enhance mission outcomes and operational efficiency.

The company’s flagship offerings include an AI-driven analytics platform that integrates data engineering, algorithm development and visualization tools.