BigBear.ai is a company with less than $2 billion in revenue.Finding stocks that can increase in value by 10 times in a short period is a worthy goal for many investors. For a stock to achieve this, it must be a leader in a rapidly expanding industry. There is no bigger growth industry than artificial intelligence (AI) right now, and it's filled with many stocks that have the potential to put up tenfold returns.One popular pick is BigBear.ai (BBAI -2.39%), but does it have the potential to increase your inv ...

Key Takeaways BBAI's Q2 revenue fell 18% to $32.5M due to U.S. Army program disruptions, widening EBITDA loss to $8.5M.With $391M cash and no net debt, BBAI is set to scale through organic growth and acquisitions.BBAI's AI aligns with $16B OB3 funding, driving gains in defense, logistics, and biometric security.BigBear.ai Holdings, Inc. (BBAI) is positioning itself at the intersection of national security priorities and a generational surge in artificial intelligence investment. The company’s second-quarter ...

CHONGQING, CHINA - AUGUST 08: In this photo illustration, a person holds a smartphone displaying the logo of BigBear.ai Holdings, Inc. (NYSE: BBAI), a company specializing in artificial intelligence-powered decision intelligence solutions, with the company's star-like emblem visible in the background, on August 8, 2025 in Chongqing, China. (Photo illustration by Cheng Xin/Getty Images)Getty ImagesBigBear.ai (NYSE: BBAI), an AI solutions provider focused on national security, has dropped nearly 30% over the ...

Core Viewpoint - BigBear.ai has an attractive valuation compared to Palantir Technologies, but its recent performance raises concerns about its viability as an investment opportunity [11][12]. Company Overview - BigBear.ai is based in Virginia and focuses heavily on federal government contracts, providing AI solutions for defense and intelligence agencies [3]. - The company has a significant contract worth $165 million with the U.S. Army to modernize its platforms using AI [3]. Recent Developments - BigBear.ai's stock has increased by 20% this year but has dropped 28% in the last month following a disappointing earnings report [2]. - The company reported a revenue decrease of 18% year-over-year, with sales of $32.5 million in the second quarter [7]. - A net loss of $228.6 million was reported, a significant increase from a loss of $14.4 million in Q2 2024, attributed to non-cash changes in derivative liabilities and goodwill impairment [8]. Market Opportunities - BigBear.ai sees a $70 billion opportunity from increased funding for U.S. Customs and Border Protection and a $673 million opportunity from biometric border control funding [5]. - The company is expanding its international efforts, including work with the United Arab Emirates [6]. Comparison with Competitors - In contrast to Palantir, which reported a revenue growth of 48% in the same quarter, BigBear.ai's performance has been relatively flat [9]. - BigBear.ai's price-to-sales ratio is over 9, significantly lower than Palantir's ratio of 117, indicating a more attractive valuation [11]. Concerns - BigBear.ai has withdrawn its adjusted EBITDA guidance due to uncertainties regarding Army programs and anticipated growth investment spending [9]. - The company is overly dependent on its large Army contract, raising concerns about its ability to sustain operations if that contract is affected [12].

Core Insights - BigBear.ai Holdings, Inc. is transitioning from a U.S.-centric government contractor to a global AI platform, with recent partnerships in the UAE and Panama aimed at enhancing its international presence and capabilities in security and logistics [2][9]. Company Developments - The company has formed a strategic alliance in the UAE under the IHC umbrella to expedite AI deployment in security and critical infrastructure, and a partnership with Narval Holdings in Panama to enhance cargo security management [2]. - BigBear.ai's cash position is approximately $391 million, providing the financial flexibility necessary for market expansion, product localization, and targeted mergers and acquisitions [3][9]. Financial Performance - Recent revenue has softened due to transitions in U.S. Army programs, leading management to withdraw 2025 adjusted EBITDA guidance, indicating potential execution challenges in the near term [4]. - The stock has increased by 29.2% over the past three months, outperforming the Zacks Computers - IT Services industry and the S&P 500 index, driven by the company's expanding footprint in U.S. defense and homeland security [7][9]. Competitive Landscape - BigBear.ai's competitive positioning is compared to Palantir, which has established deep programs in Europe and the Middle East, suggesting that certifications and local partnerships are crucial for success in international markets [5]. - C3.ai is noted for its lessons on productization, emphasizing the importance of standardized applications to accelerate deployment and adoption in various regions [6]. Valuation Metrics - The forward 12-month price-to-sales ratio for BigBear.ai is currently 12.57, which is lower than the industry average of 17.09, indicating potential valuation attractiveness [11].

BigBear.ai boasts a heavily growth-dependent valuation.The artificial intelligence (AI) company reported that the loss of a major customer contract had negatively impacted sales in the recently completed quarter.*Stock prices used were the afternoon prices of Aug. 23, 2025. The video was published on Aug. 25, 2025. ...

Key Takeaways SOUN revenue jumped 217% in Q2 to $42.7M, driven by rapid adoption in over 14,000 restaurant locations.BigBear.ai Q2 revenue slips to $39.8M, missing estimates on execution challengesSOUN raised its 2025 revenue guidance to $160-$178M, while BBAI cut its outlook and withdrew EBITDA guidance.Artificial intelligence ("AI") stocks have been on a roller coaster in 2025, with investors weighing huge growth opportunities against volatile financial performance. Two of the more widely followed small-c ...

Core Viewpoint - BigBear.ai Holdings has reported disappointing earnings, leading to a significant drop in its stock price, raising concerns about its future performance and potential for recovery [1][2]. Financial Performance - For the quarter ending June 30, BigBear reported revenue of $32.5 million, an 18% decline year-over-year, and an operating loss that increased from $16.7 million to $90.3 million [4]. - Wall Street analysts had expected revenue to be around $40.6 million, indicating a substantial miss in expectations [4]. - The company has revised its full-year revenue guidance to a range of $125 million to $140 million, down from a previous estimate of $160 million to $180 million [5]. Dependency on Government Contracts - The decline in revenue is attributed to disruptions in federal contracts, particularly those supporting the U.S. Army, which have been affected by government efficiency efforts [5]. - There is a concern that BigBear's heavy reliance on government spending could hinder its financial stability and growth prospects [6]. Profitability Concerns - BigBear's gross profit margins are low for a software company, with a reported gross margin of $8.1 million, representing only 25% of its revenue [8]. - In comparison, other companies in the sector, like Palantir Technologies, have gross margins around 80%, allowing them to maintain profitability [9]. Strategic Recommendations - For BigBear to improve its investment appeal, it needs to diversify its customer base beyond government contracts and enhance its gross margins [11]. - Without addressing these issues, the company may struggle to achieve consistent revenue growth and profitability in the near future [11].

Core Viewpoint - BigBear.ai has struggled to capitalize on the rapidly growing demand for AI software, experiencing a significant stock price drop despite previous gains [1][2]. Company Performance - BigBear.ai's stock rose by 337% over the past year but lost 31% in the last month [1]. - The company missed Wall Street's expectations in its second-quarter results and lowered its 2025 revenue guidance to between $125 million and $140 million, indicating a potential decline of 12% to 21% [2][7]. - In Q2, BigBear.ai experienced an 18% year-over-year revenue decline due to lower-than-expected revenues from Army contracts [11][12]. Market Potential - The AI software market is projected to grow from $28 billion in 2023 to $153 billion by 2028, indicating a significant opportunity for companies like BigBear.ai [6]. - BigBear.ai's AI solutions are utilized across various sectors, including cybersecurity, healthcare, and supply chain management [5][6]. Competitive Landscape - Competitor Palantir Technologies has shown stronger growth, with a 44% revenue increase in the first half of 2025 and a 65% rise in remaining deal value to $7.1 billion [8][10]. - Palantir's commercial revenue grew by 47% year-over-year, while BigBear.ai primarily relies on federal contracts, which are less predictable [11][12]. Strategic Direction - BigBear.ai's CEO acknowledges the need to diversify its customer base and pursue commercial opportunities more aggressively [12]. - The company is taking steps to broaden its pipeline and expand into new markets, although these changes will take time to yield results [12][13]. Future Outlook - Analysts have reduced their revenue expectations for BigBear.ai for 2025 and 2026, indicating potential challenges ahead [14][16]. - Despite current pressures, the company's strategy to widen its customer base could lead to improved performance, making it a stock to watch [16][17].

Key Takeaways BigBear.ai shares lost 21.3% after Q2 results showed an 18% revenue decline and wider net loss.Contract disruptions and rising R&D costs drove margin compression and EBITDA losses for BBAI.Despite liquidity strength, BBAI withdrew EBITDA guidance and faces execution risks in diversifying revenue.BigBear.ai Holdings, Inc. (BBAI) has been on a turbulent ride following its second-quarter 2025 earnings release. The stock has plunged 21.3% since the announcement, sharply underperforming both the Za ...