BigBear.ai's Q3 report arrived with interesting comments about how governments are approaching AI spending.BigBear.ai (BBAI -8.52%) stock is losing ground in Wednesday's trading. The company's share price was down 8.5% as of 1 p.m. ET. Meanwhile, the S&P 500 (^GSPC 2.31%) index was up 2.2%After the market closed yesterday, BigBear.ai published its third-quarter results. While the company's earnings came in better than anticipated, sales fell short of expectations -- and management's forward guidance did not ...

Michael Wiggins De Oliveira is an inflection investor. This means buying into cheap companies at the moment when their narrative is changing and the business is on a path toward becoming significantly more profitable over the next year.With a focus on tech and “the Great Energy Transition (including uranium)”, Michael runs a concentrated portfolio with approximately 15 to 20 stocks and an average holding period of 18 months. Through his 10+ years analyzing countless companies, Michael has accumulated outsta ...

BigBear.ai Holdings, Inc. (BBAI) came out with a quarterly loss of $0.05 per share versus the Zacks Consensus Estimate of a loss of $0.07. This compares to earnings of $0.03 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 28.57%. A quarter ago, it was expected that this company would post a loss of $0.07 per share when it actually produced a loss of $0.04, delivering a surprise of 42.86%.Over the last four quarters, the compan ...

Revenue and Financial Performance - Revenue increased 22.1% to $41.5 million in Q3 2024 compared to $34.0 million in Q3 2023[1][4] - Q3 2024 revenue increased to $41.505 million, up from $33.988 million in Q3 2023, representing a 22.1% growth[26] - Nine months ended September 30, 2024 revenue was $114.409 million, slightly down from $114.601 million in the same period of 2023[26] - Full-year 2024 revenue guidance affirmed between $165 million and $180 million[1][16] Gross Margin - Gross margin improved to 25.9% in Q3 2024 from 24.7% in Q3 2023[1][4] - Q3 2024 gross margin improved to 25.9%, up from 24.7% in Q3 2023[26] - Nine months ended September 30, 2024 gross margin improved to 25.2%, up from 24.1% in the same period of 2023[26] Net Loss and Income - Net loss of $12.2 million in Q3 2024 compared to net income of $4.0 million in Q3 2023[1][4] - Q3 2024 net loss was $12.176 million, compared to a net income of $3.999 million in Q3 2023[26] - Net loss for the nine months ended September 30, 2024, was $(149,060) thousand, compared to $(39,110) thousand for the same period in 2023[21] - Nine months ended September 30, 2024 net loss widened to $149.060 million, compared to $39.110 million in the same period of 2023[26] Adjusted EBITDA - Non-GAAP Adjusted EBITDA of $0.9 million in Q3 2024, up from $0.2 million in Q3 2023[1][6] - Q3 2024 Adjusted EBITDA improved to $948 thousand, up from $157 thousand in Q3 2023[26] - Nine months ended September 30, 2024 Adjusted EBITDA was $(4.358) million, an improvement from $(6.870) million in the same period of 2023[26] - Q3 2024 Adjusted EBITDA margin improved to 2.3%, up from 0.5% in Q3 2023[26] - Nine months ended September 30, 2024 Adjusted EBITDA margin improved to (3.8)%, up from (6.0)% in the same period of 2023[26] Contracts and Backlog - Ending backlog of $437 million as of September 30, 2024[6] - Awarded a 5-year $165 million contract for U.S. Army's GFIM-OE production services[7] - Received a shared IDIQ contract with FAA worth up to $2.4 billion over 10 years[8] Operational Highlights - Deployed biometric boarding solution veriScan at Denver International Airport, impacting 46,600 international passengers[9] - Demonstrated ConductorOS AI orchestration platform at DoD's RDER T-REX24-2 event[10] Balance Sheet and Liquidity - Total assets increased to $354,083 thousand as of September 30, 2024, compared to $199,910 thousand as of December 31, 2023, reflecting significant growth[20] - Cash and cash equivalents rose to $65,584 thousand as of September 30, 2024, up from $32,557 thousand as of December 31, 2023, indicating improved liquidity[20] - Goodwill increased to $118,621 thousand as of September 30, 2024, compared to $48,683 thousand as of December 31, 2023, due to business acquisitions[20] - Total stockholders' equity improved to $98,433 thousand as of September 30, 2024, from a deficit of $(67,335) thousand as of December 31, 2023[20] Cash Flow and Financing - Net cash used in operating activities for the nine months ended September 30, 2024, was $(23,313) thousand, compared to $(18,233) thousand for the same period in 2023[21] - Acquisition of business, net of cash acquired, amounted to $13,935 thousand in the nine months ended September 30, 2024[21] - Proceeds from issuance of shares for exercised RDO and PIPE warrants, Private Placement, and Registered Direct Offering shares totaled $53,809 thousand in the nine months ended September 30, 2024[21] - Net increase in cash and cash equivalents for the nine months ended September 30, 2024, was $33,027 thousand, compared to $19,552 thousand for the same period in 2023[21] Non-GAAP Financial Measures - BigBear.ai uses non-GAAP financial measures such as EBITDA, Adjusted EBITDA, and Recurring SG&A to provide supplemental information about financial performance[32][36] - Adjusted EBITDA is defined as EBITDA adjusted for equity-based compensation, restructuring charges, and other non-recurring items[36] - Adjusted EBITDA Margin is calculated as Adjusted EBITDA as a percentage of Revenue[37] - Recurring SG&A excludes equity-based compensation, non-recurring strategic initiatives, and litigation costs[37] - BigBear.ai does not reconcile forward-looking non-GAAP measures to GAAP due to unpredictability of certain GAAP elements[40] - The company believes non-GAAP measures offer useful insights for comparing financial results across periods and with other companies[34][38] - Non-GAAP measures exclude significant expenses and income required by GAAP, limiting their comparability[39] - BigBear.ai provides reconciliations of non-GAAP measures to the most directly comparable GAAP measures[41] Company Overview - The company operates in AI-powered decision intelligence solutions for national security, digital identity, and supply chain management[43] - BigBear.ai is publicly traded on the NYSE under the symbol BBAI[43] Impairment and Other Expenses - Goodwill impairment of $85,000 thousand was recorded in the nine months ended September 30, 2024[21]

BigBear.ai Holdings, Inc. (BBAI) ended the recent trading session at $1.58, demonstrating a -0.63% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.41%. Elsewhere, the Dow gained 0.69%, while the tech-heavy Nasdaq added 0.8%.Prior to today's trading, shares of the company had gained 6.71% over the past month. This has outpaced the Computer and Technology sector's loss of 0.01% and the S&P 500's loss of 0.97% in that time.The investment community will be paying clo ...

BigBear.ai (BBAI) on Monday announced that it has been awarded a five-year, $165.15 million sole-source prime contract by the U.S. Army for Global Force Information Management (GFIM) Production Services. Building on its previous collaboration with the Army since 2021, where BBAI has worked to transform 15 legacy systems into a unified intelligent automation platform, this contract will further support the development and deployment of GFIM-OE capabilities. The project aims to deliver a dynamic and interoper ...

Investors in the artificial intelligence (AI) specialist got some much-needed good news.Shares of BigBear.ai (BBAI 14.60%) got a much-needed boost on Monday, surging as much as 13.7%. As of 11:37 a.m. ET, the stock was still up 13.1%.The catalyst that sent the artificial intelligence (AI) specialist higher was word the company had scored a big contract.The U.S. Army's digital transformationIn a press release Monday morning, BearBear announced a new five-year $165.2 million contract to produce a next-generat ...

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?Let's take a look at what these Wall Street heavyweights have to say about BigBear.ai Holdings, Inc. (BBAI) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.BigBear.ai currently has ...

Stock Performance - BigBear ai Holdings Inc (BBAI) ended the recent trading session at $1 51, showing a -1 95% change from the previous day's closing price [1] - The stock underperformed compared to the S&P 500's daily gain of 0 97%, the Dow's gain of 0 3%, and the Nasdaq's gain of 1 45% [1] - Over the past month, BBAI shares appreciated by 7 69%, underperforming the Computer and Technology sector's gain of 8 21% but outperforming the S&P 500's gain of 5 41% [1] Earnings and Revenue Projections - The company is anticipated to report an EPS of -$0 07 in its forthcoming earnings report, marking a 333 33% decline compared to the same quarter of the previous year [1] - The Zacks Consensus Estimate for revenue projects net sales of $45 32 million, up 33 33% from the year-ago period [1] - For the entire fiscal year, the Zacks Consensus Estimates project earnings of -$0 79 per share and revenue of $172 36 million, representing changes of -97 5% and +11 08%, respectively, from the prior year [2] Analyst Forecasts and Industry Ranking - Recent revisions to analyst forecasts for BBAI are important as they reflect changing near-term business trends, with positive revisions indicating optimism about the company's business outlook [2] - The Zacks Rank system, which incorporates estimate revisions, currently rates BBAI as 3 (Hold) [3] - The Computers - IT Services industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 42, placing it in the top 17% of all industries [3] - Research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [3]

These two disruptive small-caps can deliver big returns for investors.Breakthroughs in artificial intelligence (AI) technology are transforming various industries. Innovations from mega-cap tech leaders like Nvidia have opened the door for emerging companies to capture their slice of a significant market opportunity.BigBear.ai (BBAI 1.34%) and SoundHound AI (SOUN) are two small-caps attempting to leverage unique AI-powered applications into long-term growth. Let's explore which stock could be a better buy f ...