BigBear.ai, Inc.

Key Points
BigBear.ai is slated to report third-quarter financial results on Nov. 10.
The company's revenue fell 18% year over year to $32.5 million in the second quarter.
BigBear.ai's business is not profitable.
BigBear.ai (NYSE: BBAI) is among the many artificial intelligence (AI) stocks that have been soaring in 2025. Its shares are up around 300% over the past 12 months through Oct. 22.
On Nov. 10, the company is scheduled to report third-quarter earnings results. If its Q3 performance proves exceptional, the stock could rise. So is now the time to buy shares?
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Some key considerations suggest otherwise. Here's a look at the reasons why now isn't the time to buy.
Factors to consider with BigBear.ai stock
Although AI is a hot sector, BigBear.ai's business saw sales slump in the second quarter. Revenue plunged a substantial 18% year over year to $32.5 million.
The culprit for the decline was spending cuts by the Trump administration. BigBear.ai generates the bulk of its revenue from the federal government.
On top of the drop in sales, the company isn't profitable. It suffered a net loss of $228.6 million in Q2.
Despite the poor financials, BigBear.ai's stock price is elevated, as seen in its price-to-sales (P/S) ratio of 13. This is significantly higher than the sales multiple of 4 at the end of Q1, when the company's revenue increased 5% year over year to $34.8 million.
Given the decline in BigBear.ai's sales coupled with a high net loss and share price valuation, it's best to wait for the company's Q3 financial results to see signs of revenue recovery before deciding whether to buy the stock.
Should you invest $1,000 in BigBear.ai right now?
Before you buy stock in BigBear.ai, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and BigBear.ai wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $590,357!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,141,748!*
Now, it’s worth noting Stock Advisor’s total average return is 1,033% — a market-crushing outperformance compared to 193% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of October 20, 2025
Robert Izquierdo has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Should You Buy BigBear.ai Stock Before Nov. 10?

For Immediate Release
Chicago, IL – October 22, 2025 – Zacks Equity Research shares JPMorgan Chase JPM as the Bull of the Day and 1-800-Flowers FLWS as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Palantir Technologies Inc. PLTR and BigBear.ai Holdings, Inc. BBAI.
Here is a synopsis of all four stocks:
The momentum investing theory of buy high and sell higher is starting to look plausible for JPMorgan Chase stock as the bank leader currently sports a Zacks Rank #1 (Strong Buy) and lands the Bull of the Day.
Illustrating its ongoing dominance and leadership in the banking industry, JPMorgan was able to continue its impressive streak of surpassing quarterly expectations last Tuesday. More applaudable, JPMorgan has taken center stage regarding strategic investments that align with national security priorities and has positioned itself as a key player in shaping the future of the American economy through technology.
Trading just under $300 a share, JPM is up over +20% this year, but does offer a 6% discount from its 52-week high of $318, which it hit in late September.
JPM's "Security and Resilience Initiative"
Assisting the U.S. Government in a plan to ramp up domestic production of rare earth minerals that are critical for defense and tech industries, JPMorgan has launched a "Security and Resilience Initiative" in which it will deploy $1.5 trillion in financing over the next decade to support America's strategic manufacturing, technological innovation, and infrastructure. Notably, this will include $10 billion in direct equity and venture capital investments in U.S.-based companies.
This comes as China has long dominated the rare earth supply chain and has recently exercised tighter export restrictions for these essential commodities as part of its tariff retaliation against the U.S.
Strengthening its relationships with policymakers and regulators, JPMorgan stands to benefit by enhancing its long-term lending portfolio in high-growth markets that are likely to receive more government support and public interest.
EPS Revisions Rise After Strong Q3 Results
Regarding its short-term outlook, fiscal 2025 and FY26 earnings estimate revisions have continued to trend higher since JPMorgan's Q3 report. Seeing strength in investment banking, JPMorgan's trading revenue hit a record in Q3, boosting its top line 9% to $46.42 billion compared to $42.65 billion in the prior year quarter. Even better, net income reached $14.4 billion or $5.07 per share, a 16% increase from EPS of $4.37 in Q3 2024.
JPMorgan has now surpassed sales estimates for seven straight quarters and has exceeded earnings expectations for 13 consecutive quarters. Over the last four quarters, JPM has had an average sales and earnings surprise of 3.81% and 11.01% respectively.
Attributing to its strong buy rating is that FY25 and FY26 EPS estimates for JPM are up nearly 1% in the last seven days. In the last month, FY25 and FY26 EPS revisions have risen over 2% and are up more than 4% over the last quarter.
JPMorgan's annual earnings are now expected to be up over 1% this year and projected to rise another 4% in FY26 to $20.90 per share.
JPM's Strong Capital Efficiency Metrics
Outside of JPMorgan's operational efficiency, there have been strong indicators of efficient capital deployment, including a 17% ROE with return on tangible common equity (ROTCE) hitting 20%.
Indicative of a bank's financial strength and stability, JPMorgan's standardized and advanced Common Equity Tier 1 (CET1) ratios are currently above 14%. It's noteworthy that JPM posted the highest CET1 mark among the 22 largest U.S. banks in the Federal Reserve's 2025 stress test at 12.5%.
Bottom Line
Supportive of the in-depth details as to why JPM stock looks hot right now, the cherry on top is that the rising EPS revisions have magnified its reasonable forward P/E valuation of 15X. Plus, JPM is offering a generous 1.98% annual dividend of $1.50 per share, after increasing its yield by 20% so far this year. In addition to its strong buy rating, JPM stands out with an "A" Zacks Style Scores grade for Momentum.
Short-sellers along with speculative traders looking to profit from a short squeeze may be watching 1-800-Flowers stock, which currently carries a Zacks Rank #5 (Strong Sell).
The specialty e-commerce provider has seen its stock plummet more than 40% in 2025 and has re-entered penny stock status at around $5 a share.
Unfortunately, those on the short squeeze side may be early as FLWS could be headed lower given 1-800 Flowers' diminishing outlook despite being known for its online niche in floral products and gifts.
High Short Interest for FLWS
Reflecting pessimism for 1-800 Flowers stock, the short interest in FLWS is above 50% as more than half of publicly traded shares are being borrowed and sold by investors who expect the stock price to decline.
Free-falling from a 52-week high of $9 a share, the technical analysis for FLWS reflects a very bearish outlook with limited short-term support levels. To that point, the 50-Day simple moving average (Green Line) for FLWS has been bearishly below its 200-Day SMA (Red Line) since Q3 of last year, with both support levels currently under $6 a share.
Increased Direct & Indirect Competitors
As a brief synopsis, specialty retail headwinds have added to 1-800 Flowers' deteriorating financial metrics. Opening the door to increased competition from large e-commerce giants, a more inflation-conscious consumer has sought out flower and gift offerings from Amazon, Walmart and Costco.
On top of this, an abundance of direct floral competitors have continued to emerge, including Teleflora, ProFlowers, and UrbanStems, among others.
1-800 Flowers' Declining Financial Metrics
Facing substantial drops in both revenue and profit margins, 1-800 Flowers hasn't been profitable since its fiscal year 2022, posting a net loss of $200 million or -$0.82 per share in its most recent FY25.
Hopes of positive EPS in FY26 or FY27 have also subsided as revisions are down over the last 60 days to projections of -$0.62 and -$0.18, respectively.
This paints the picture as to why FLWS could float lower with there being no meaningful top-line expansion to give the benefit of the doubt to a company that has been public since 1999.
1-800 Fowers' Cash Crunch
Not to prolong the conversation of a clear downtrend in FLWS, but what makes the compressed top and bottom line figures more concerning is that 1-800 Flowers appears to be in a cash crunch.
Reporting negative free cash flow in the last twelve months (-$68 million), it's noteworthy that 1-800 Flowers now has less than $50 million in cash & equivalents with more than $130 million in long-term debt.
Bottom Line
Investors who are looking at 1-800 Flowers' "cheap" stock price as a bargain may want to think again. While FLWS could eventually be a candidate for a short squeeze, it may keep falling for now as 1-800 Flowers doesn't appear to be in a position to cover short-term debt obligations without liquidating assets or seeking additional financing.
Correlating with such, 1-800 Flowers has undergone a leadership change and is reevaluating its strategy to adapt to shifting consumer expectations and competitive pressures.
Additional content:
Go Big with Palantir or Bet Small with BigBear.ai?
Palantir Technologies Inc. and BigBear.ai Holdings, Inc. are both capitalizing on the growing artificial intelligence (AI) software solution market, with both stocks gaining more than 300% in the past year. Therefore, let's see how one should allocate funds between Palantir and BigBear.ai to maximize returns while minimizing risks.
Palantir Reports a Phenomenal Q2, Raises Guidance
Palantir's CEO, Alex Karp, must be over the moon after the company posted a stellar second-quarter performance. Palantir's revenues in the U.S. business increased 68% year over year, with commercial and government revenues growing 93% and 53%, respectively, according to investors.palantir.com.
Even more impressive was Palantir's ability to secure 157 deals in the second quarter, each worth at least $1 million, with 66 deals valued at a minimum of $5 million. Additionally, the total contract value closed at a record $2.27 billion, representing a 140% year-over-year increase. This suggests that Palantir's Artificial Intelligence Platform (AIP) has gained significant popularity in commercial and government sectors.
Furthermore, Palantir is optimistic about increasing business from existing clients and expects net income to improve throughout the year. The company has also raised its full-year 2025 revenue guidance to $4.142-$4.150 billion, with third-quarter revenues projected between $1.083 and $1.087 billion.
BigBear.ai Posts Dismal Q2 and Continues to Be Unprofitable
Unlike Palantir, BigBear.ai's second-quarter performance was disappointing. This is primarily due to a sharp decline in revenues, as its products failed to make an impression on the U.S. government, including the Army. Revenues for the quarter totaled $32.5 million, down 18% from $39.8 million in the same period last year, according to ir.bigbear.ai.
BigBear.ai's revenue growth has been weakening for several quarters, and now management expects full-year revenues to be between $125 million and $140 million, down from the prior forecast of $160 million to $180 million. This revision was mainly due to delays in contract approvals by the U.S. government.
BigBear.ai had a backlog of $380 million as of June 30, 2025. However, only 4% of this sizable backlog is secured and authorized, per SEC filings. Most contracts are with the U.S. government, which could lead to lengthy and complicated approval processes.
Finally, BigBear.ai incurred losses in the second quarter due to increased research and development expenses and low gross margins. The company reported a non-GAAP adjusted EBITDA loss of $8.5 million, significantly higher than the $3.7 million loss a year earlier.
Here's How to Trade Palantir & BigBear.ai Stock Now
Perceptive investors may choose to invest heavily in Palantir stock, given its strong growth prospects. Palantir's management has raised both revenue and income forecasts, driven by increasing demand for its AIP platform.
Moreover, Palantir's forward price-to-sales (P/S) ratio is 103.27, far above the Internet - Software industry's 6.28. This high valuation suggests that investors have high expectations for Palantir's future growth.
However, the same cannot be said for BigBear.ai stock. Unlike Palantir, BigBear.ai is struggling to build a strong customer base, while its dependency on government contracts hinders growth. Its business remains unprofitable, raising concerns about the long-term sustainability of its business model.
But its recent partnership with the U.S. Navy and deployment of its advanced passenger processing solution at the Nashville International Airport and an expanding AI software platform market may improve its prospects in the near future. As a result, investors may allocate a small portion of their portfolio to BigBear.ai stock.
For now, both Palantir and BigBear.ai stock has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can access their live picks without cost or obligation.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
https://www.zacks.com
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

JPMorgan Chase and 1-800-Flowers have been highlighted as Zacks Bull and Bear of the Day

The NASDAQ 100 Pre-Market Indicator is down -16.67 to 25,110.46. The total Pre-Market volume is currently 585,875,364 shares traded.
The following are the most active stocks for the pre-market session:
Beyond Meat, Inc. (BYND) is +2.73 at $6.35, with 408,768,541 shares traded. BYND's current last sale is 317.5% of the target price of $2.
Krispy Kreme, Inc. (DNUT) is +0.85 at $4.56, with 34,234,143 shares traded. DNUT's current last sale is 136.12% of the target price of $3.35.
Rani Therapeutics Holdings, Inc. (RANI) is +0.43 at $3.28, with 9,060,842 shares traded. As reported by Zacks, the current mean recommendation for RANI is in the "strong buy range".
Bitfarms Ltd. (BITF) is -0.3103 at $4.18, with 7,274,977 shares traded. As reported by Zacks, the current mean recommendation for BITF is in the "buy range".
Direxion Daily TSLA Bull 2X Shares (TSLL) is +0.02 at $20.48, with 6,898,282 shares traded. This represents a 225.6% increase from its 52 Week Low.
SCHMID Group N.V. (SHMD) is +0.31 at $4.34, with 6,466,606 shares traded.
D-Wave Quantum Inc. (QBTS) is -1.7 at $30.49, with 1,364,932 shares traded., following a 52-week high recorded in prior regular session.
BigBear.ai, Inc. (BBAI) is -0.1302 at $6.95, with 1,157,685 shares traded. BBAI's current last sale is 115.83% of the target price of $6.
First Majestic Silver Corp. (AG) is -0.58 at $12.17, with 1,140,100 shares traded. AG's current last sale is 77.03% of the target price of $15.799.
NuScale Power Corporation (SMR) is +0.35 at $38.72, with 1,125,712 shares traded. SMR's current last sale is 95.6% of the target price of $40.5.
SES AI Corporation (SES) is -0.1099 at $2.73, with 1,120,669 shares traded. SES's current last sale is 273.01% of the target price of $1.
Vertiv Holdings, LLC (VRT) is +13.45 at $188.25, with 1,110,001 shares traded. As reported by Zacks, the current mean recommendation for VRT is in the "buy range".
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Pre-Market Most Active for Oct 22, 2025 : BYND, DNUT, RANI, BITF, TSLL, SHMD, QBTS, BBAI, AG, SMR, SES, VRT

The NASDAQ 100 Pre-Market Indicator is up 125.6 to 24,943.55. The total Pre-Market volume is currently 372,164,591 shares traded.
The following are the most active stocks for the pre-market session:
Replimune Group, Inc. (REPL) is +4.09 at $8.59, with 42,253,588 shares traded. REPL's current last sale is 245.43% of the target price of $3.5.
Rani Therapeutics Holdings, Inc. (RANI) is +0.39 at $2.03, with 33,558,212 shares traded. As reported by Zacks, the current mean recommendation for RANI is in the "strong buy range".
Direxion Daily TSLA Bull 2X Shares (TSLL) is +0.4 at $20.57, with 10,066,687 shares traded. This represents a 227.03% increase from its 52 Week Low.
ProShares UltraPro Short QQQ (SQQQ) is -0.17 at $14.72, with 5,854,775 shares traded., following a 52-week high recorded in prior regular session.
Bitfarms Ltd. (BITF) is +0.36 at $5.37, with 5,423,459 shares traded. As reported by Zacks, the current mean recommendation for BITF is in the "buy range".
New Era Energy & Digital, Inc. (NUAI) is +0.65 at $5.20, with 5,058,145 shares traded.
Archer Aviation Inc. (ACHR) is +0.4 at $11.64, with 2,141,867 shares traded. As reported by Zacks, the current mean recommendation for ACHR is in the "buy range".
NIO Inc. (NIO) is +0.02 at $6.77, with 1,605,273 shares traded. NIO's current last sale is 98.83% of the target price of $6.85.
BigBear.ai, Inc. (BBAI) is +0.21 at $7.63, with 1,314,189 shares traded. BBAI's current last sale is 127.17% of the target price of $6.
IonQ, Inc. (IONQ) is +2.54 at $65.48, with 1,311,808 shares traded., following a 52-week high recorded in prior regular session.
Lithium Americas Corp. (LAC) is +0.34 at $7.13, with 1,281,277 shares traded. LAC's current last sale is 126.19% of the target price of $5.65.
Cleveland-Cliffs Inc. (CLF) is +1.3188 at $14.64, with 1,130,559 shares traded. Smarter Analyst Reports: Cleveland-Cliffs Posts Strong Q3 Results; Shares Pop 4%
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Pre-Market Most Active for Oct 20, 2025 : REPL, RANI, TSLL, SQQQ, BITF, NUAI, ACHR, NIO, BBAI, IONQ, LAC, CLF

Below is Validea's guru fundamental report for BIGBEAR.AI HOLDINGS INC (BBAI). Of the 22 guru strategies we follow, BBAI rates highest using our Small-Cap Growth Investor model based on the published strategy of Motley Fool. This strategy looks for small cap growth stocks with solid fundamentals and strong price performance.
BIGBEAR.AI HOLDINGS INC (BBAI) is a mid-cap value stock in the Software & Programming industry. The rating using this strategy is 45% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of BIGBEAR.AI HOLDINGS INC
More Information on Motley Fool
About Motley Fool: Brothers David and Tom Gardner often wear funny hats in public appearances, but they're hardly fools -- at least not the kind whose advice you should readily dismiss. The Gardners are the founders of the popular Motley Fool web site, which offers frank and often irreverent commentary on investing, the stock market, and personal finance. The Gardners' "Fool" really is a multi-media endeavor, offering not only its web content but also several books written by the brothers, a weekly syndicated newspaper column, and subscription newsletter services.
Additional Research Links
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

BBAI Quantitative Stock Analysis

The NASDAQ 100 Pre-Market Indicator is up 159.33 to 24,904.69. The total Pre-Market volume is currently 153,377,168 shares traded.
The following are the most active stocks for the pre-market session:
NIO Inc. (NIO) is -0.52 at $6.30, with 15,536,451 shares traded. NIO's current last sale is 91.97% of the target price of $6.85.
Direxion Daily TSLA Bull 2X Shares (TSLL) is +0.07 at $19.91, with 6,533,059 shares traded. This represents a 216.53% increase from its 52 Week Low.
Bitfarms Ltd. (BITF) is -0.27 at $6.20, with 5,393,069 shares traded. As reported by Zacks, the current mean recommendation for BITF is in the "buy range".
ProShares UltraPro Short QQQ (SQQQ) is -0.2197 at $14.79, with 4,534,385 shares traded., following a 52-week high recorded in prior regular session.
Critical Metals Corp. (CRML) is +3.66 at $26.38, with 4,080,079 shares traded., following a 52-week high recorded in prior regular session.
Defiance Daily Target 2x Short IONQ ETF (IONZ) is -0.089 at $2.79, with 4,046,001 shares traded., following a 52-week high recorded in prior regular session.
NVIDIA Corporation (NVDA) is +2.29 at $182.12, with 3,885,136 shares traded. As reported by Zacks, the current mean recommendation for NVDA is in the "buy range".
Lithium Americas Corp. (LAC) is -0.36 at $9.08, with 3,516,800 shares traded. LAC's current last sale is 144.13% of the target price of $6.3.
Taiwan Semiconductor Manufacturing Company Ltd. (TSM) is +6.72 at $311.43, with 1,931,621 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2025. The consensus EPS forecast is $2.57. , following a 52-week high recorded in prior regular session.
Archer Aviation Inc. (ACHR) is +0.42 at $13.45, with 1,646,372 shares traded. As reported by Zacks, the current mean recommendation for ACHR is in the "buy range".
BigBear.ai, Inc. (BBAI) is +0.04 at $8.56, with 1,362,358 shares traded. BBAI's current last sale is 142.67% of the target price of $6.
NuScale Power Corporation (SMR) is +1.77 at $55.20, with 1,169,674 shares traded. SMR's current last sale is 136.3% of the target price of $40.5.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Pre-Market Most Active for Oct 16, 2025 : NIO, TSLL, BITF, SQQQ, CRML, IONZ, NVDA, LAC, TSM, ACHR, BBAI, SMR

Key Points
BigBear.ai has witnessed a tremendous turnaround on the stock market in the past month, which seems a bit surprising.
It looks like the recent partnerships announced by the company have boosted investor confidence in the stock.
Share prices of BigBear.ai (NYSE: BBAI) set the stock market on fire over the past month, rising a stunning 68% in this short period. The stock's red-hot rally may seem surprising considering that it released a poor set of results a couple of months ago.
BigBear.ai, which is in the business of providing artificial intelligence (AI) software solutions, saw a brutal sell-off in August as the company failed to meet Wall Street's expectations and also lowered its 2025 revenue guidance. But why has the stock recovered so strongly of late, and will it be a good idea to buy it in anticipation of more upside?
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
Let's find out.
BigBear.ai stock may have rallied thanks to these developments
When BigBear.ai released its Q2 results a couple of months ago, it reported an 18% decline in its revenue from the prior-year period. The company's losses increased as well. It reported adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of negative $8.5 million, as compared to a negative reading of $3.7 million in the year-ago period.
BigBear.ai attributed its poor performance to lower-than-expected revenue from certain U.S. Army contracts. But the fact that the company reduced its full-year guidance indicates that there is more to the situation than meets the eye. BigBear.ai was originally forecasting a 7% increase in revenue in 2025 to $170 million at the midpoint of its guidance range.
However, its updated guidance range of $125 million to $140 million points toward a drop of almost 18% in its revenue from 2024 levels. That's why the stunning rally in BigBear.ai stock of late seems pretty surprising. Apparently, the company managed to win back investor confidence by highlighting some recent contract wins.
In September, the company announced that its passenger processing solution was approved for deployment by Nashville International Airport to enable faster identity checks with the help of BigBear.ai's AI-powered facial recognition solution. The company followed up this development with another announcement in September, pointing out that its AI solutions will be used by the U.S. Navy in a maritime exercise.
And just recently, BigBear.ai said it is partnering with another company to help security organizations deploy AI tools at the edge while conducting ground operations on the battlefield. These announcements seem to have boosted investor confidence in BigBear.ai stock. However, the massive rally means that the stock now trades at an expensive 15.5 times sales. That's well above its price-to-sales ratio just a month ago.
Can the stock sustain its rally?
BigBear.ai's valuation makes it clear that the stock is priced beyond perfection. This means that the company will have to continue exceeding the market's expectations and deliver a solid set of results and guidance that point toward a turnaround in its fortunes.
However, BigBear.ai hasn't put a dollar value on these recent partnerships. So, it is difficult to gauge how much added revenue it expects. Not surprisingly, the recent developments advertised by BigBear.ai haven't led to any improvement in analysts' sentiments.
Moreover, BigBear.ai's reliance on federal contracts for a significant chunk of its revenue means that its business is dependent on government budgets and the timing of contracts. So, it seems difficult to count on the company to post a quick turnaround based on the recent announcements. Moreover, the big jump in BigBear.ai stock in the past month means that the stock got ahead of itself when its valuation and financial performance are taken into account.
As a result, the stock's 12-month median price target points toward a potential drop of 33% from current levels. That's why it would be a good idea for investors to stay away from this AI stock and look at other options that are clocking healthy growth levels and have the potential to jump higher.
Should you invest $1,000 in BigBear.ai right now?
Before you buy stock in BigBear.ai, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and BigBear.ai wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $655,428!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,103,559!*
Now, it’s worth noting Stock Advisor’s total average return is 1,060% — a market-crushing outperformance compared to 189% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of October 13, 2025
Harsh Chauhan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Up 68% in a Month, Should You Buy BigBear.ai Stock Right Now?

The NASDAQ 100 Pre-Market Indicator is up 257.82 to 24,837.14. The total Pre-Market volume is currently 219,126,633 shares traded.
The following are the most active stocks for the pre-market session:
Australian Oilseeds Holdings Limited (COOT) is +3.2952 at $4.26, with 83,865,242 shares traded.
Bitfarms Ltd. (BITF) is +0.38 at $6.27, with 8,319,116 shares traded. As reported by Zacks, the current mean recommendation for BITF is in the "buy range".
Direxion Daily TSLA Bull 2X Shares (TSLL) is +0.46 at $19.76, with 7,808,036 shares traded. This represents a 214.15% increase from its 52 Week Low.
Canaan Inc. (CAN) is +0.32 at $2.12, with 7,792,012 shares traded. As reported by Zacks, the current mean recommendation for CAN is in the "buy range".
ProShares UltraPro Short QQQ (SQQQ) is -0.43 at $14.88, with 6,596,550 shares traded., following a 52-week high recorded in prior regular session.
T1 Energy Inc. (TE) is +1.24 at $5.25, with 5,845,296 shares traded. As reported by Zacks, the current mean recommendation for TE is in the "strong buy range".
NVIDIA Corporation (NVDA) is +4.55 at $184.58, with 4,994,992 shares traded. As reported by Zacks, the current mean recommendation for NVDA is in the "buy range".
Lithium Americas Corp. (LAC) is +0.4398 at $10.49, with 4,260,722 shares traded. LAC's current last sale is 166.5% of the target price of $6.3.
D-Wave Quantum Inc. (QBTS) is +3.02 at $46.08, with 2,357,298 shares traded., following a 52-week high recorded in prior regular session.
BigBear.ai, Inc. (BBAI) is +0.35 at $9.26, with 2,238,924 shares traded. BBAI's current last sale is 154.33% of the target price of $6.
Bank of America Corporation (BAC) is +2.21 at $52.30, with 2,197,736 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Sep 2025. The consensus EPS forecast is $0.94. Smarter Analyst Reports: Citi Halts Share Buyback Amid New Regulation
NuScale Power Corporation (SMR) is +3.07 at $48.86, with 1,517,524 shares traded. SMR's current last sale is 120.64% of the target price of $40.5.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Pre-Market Most Active for Oct 15, 2025 : COOT, BITF, TSLL, CAN, SQQQ, TE, NVDA, LAC, QBTS, BBAI, BAC, SMR

For Immediate Release
Chicago, IL – October 15, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: BigBear.ai Holdings, Inc. BBAI, SoundHound AI, Inc. SOUN, Chipotle Mexican Grill, Inc. CMG and Mastercard Inc. MA.
Here are highlights from Tuesday’s Analyst Blog:
BBAI or SOUN: Which AI Stock Deserves a Spot in Your Portfolio?
BigBear.ai Holdings, Inc., which provides artificial intelligence (AI)-driven data analytics solutions to both the U.S. government and private-sector companies, saw its shares soar more than 400% over the past year.
Similarly, a provider of voice AI solutions, SoundHound AI, Inc.’s shares surged over 250% in the same period. Despite such gains, both AI stocks face challenges, with BigBear.ai’s losses widening, and SoundHound continuing to struggle with profitability. So, which stock should be in your portfolio now? Let’s find out –
Can AI Hype Mask BigBear.ai Weak Financials - Time to Sell?
The excitement around AI stocks was a positive factor for BigBear.ai stock for quite some time. Under the capable leadership of its current and former CEOs, BigBear.ai secured numerous government contracts. Some of these deals involved the Federal Aviation Administration and the U.S. Department of Defense. Acquiring well-known biometric tech companies also expanded BigBear.ai’s total addressable market.
Despite these promising growth drivers, BigBear.ai’s revenues remain under pressure, and the road to profitability is unclear. In the second quarter, revenues totaled $32.5 million, down 18% from $39.8 million in the same period last year, according to ir.bigbear.ai. Revenue growth has slowed over the recent quarters, with the latest quarter showing the steepest decline. Revenues fell due to decreased volumes in some Army programs.
Additionally, BigBear.ai announced that full-year revenues are expected to be between $125 million and $140 million, lower than the previous forecast of $160 million to $180 million. This revision was primarily due to the postponement of contracts from the U.S. government.
As of June 30, 2025, BigBear.ai has a sizable backlog of $380 million, but only 4% of this is secured and authorized, based on SEC filings. Most contracts are from the U.S. government, which could mean lengthy approval processes.
Finally, BigBear.ai is not profitable, which raises concerns about its long-term viability. In the second quarter, the company reported a non-GAAP adjusted EBITDA loss of $8.5 million, more than double the $3.7 million loss from the same period last year. The company’s losses increased due to lower gross margins and higher R&D expenses. Overall, investors should refrain from buying BigBear.ai stock at this time.
Is SoundHound AI Stock a Good Investment Right Now?
Unlike BigBear.ai, SoundHound appears to be performing much better from a revenue-generation perspective. Its second quarter has been the strongest ever, with revenues coming in at $42.7 million, up a staggering 217% year over year, citing investors.soundhound.com.
Revenues improved as several large enterprises showed interest in SoundHound’s conversational AI platform. Lately, SoundHound secured a prominent global healthcare company as its client and a major OEM in China. Its Houndify platform is well-known for powering voice AI for varied customers, including Chipotle Mexican Grill, Inc. and Mastercard Inc.
All these encouraged SoundHound to raise its full-year revenue guidance to $160-$178 million, which is much higher than the revenues of $84.6 million in 2024. To top it off, SoundHound has a strong cash balance of $230 million with no debt as of June 30, 2025, suggesting that it’s capable of withstanding economic upheavals. SoundHound can also create growth opportunities with substantial cash. These factors should encourage existing shareholders to remain invested in SoundHound stock.
However, new investors should approach SoundHound stock with caution, given its lack of profitability. This is because, on a GAAP basis, SoundHound posted a wider year-over-year loss of $0.19 a share in the second quarter. It also reported a loss of $0.03 a share on a non-GAAP basis, and the gross margin shrank as well.
For now, SoundHound stock has a Zacks Rank #3 (Hold), while BigBear.ai stock has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
Zacks Investment Research
800-767-3771 ext. 9339
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
SoundHound AI, Inc. (SOUN) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The Zacks Analyst Blog Highlights BigBear.ai, SoundHound AI, Chipotle Mexican Grill and Mastercard

BigBear.ai Holdings, Inc. BBAI, which provides artificial intelligence (AI)-driven data analytics solutions to both the U.S. government and private-sector companies, saw its shares soar more than 400% over the past year.
Similarly, a provider of voice AI solutions, SoundHound AI, Inc.’s SOUN shares surged over 250% in the same period. Despite such gains, both AI stocks face challenges, with BigBear.ai’s losses widening, and SoundHound continuing to struggle with profitability. So, which stock should be in your portfolio now? Let’s find out –
Can AI Hype Mask BigBear.ai Weak Financials - Time to Sell?
The excitement around AI stocks was a positive factor for BigBear.ai stock for quite some time. Under the capable leadership of its current and former CEOs, BigBear.ai secured numerous government contracts. Some of these deals involved the Federal Aviation Administration and the U.S. Department of Defense. Acquiring well-known biometric tech companies also expanded BigBear.ai’s total addressable market.
Despite these promising growth drivers, BigBear.ai’s revenues remain under pressure, and the road to profitability is unclear. In the second quarter, revenues totaled $32.5 million, down 18% from $39.8 million in the same period last year, according to ir.bigbear.ai. Revenue growth has slowed over the recent quarters, with the latest quarter showing the steepest decline. Revenues fell due to decreased volumes in some Army programs.
Additionally, BigBear.ai announced that full-year revenues are expected to be between $125 million and $140 million, lower than the previous forecast of $160 million to $180 million. This revision was primarily due to the postponement of contracts from the U.S. government.
As of June 30, 2025, BigBear.ai has a sizable backlog of $380 million, but only 4% of this is secured and authorized, based on SEC filings. Most contracts are from the U.S. government, which could mean lengthy approval processes.
Finally, BigBear.ai is not profitable, which raises concerns about its long-term viability. In the second quarter, the company reported a non-GAAP adjusted EBITDA loss of $8.5 million, more than double the $3.7 million loss from the same period last year. The company’s losses increased due to lower gross margins and higher R&D expenses. Overall, investors should refrain from buying BigBear.ai stock at this time.
Is SoundHound AI Stock a Good Investment Right Now?
Unlike BigBear.ai, SoundHound appears to be performing much better from a revenue-generation perspective. Its second quarter has been the strongest ever, with revenues coming in at $42.7 million, up a staggering 217% year over year, citing investors.soundhound.com.
Revenues improved as several large enterprises showed interest in SoundHound’s conversational AI platform. Lately, SoundHound secured a prominent global healthcare company as its client and a major OEM in China. Its Houndify platform is well-known for powering voice AI for varied customers, including Chipotle Mexican Grill, Inc. CMG and Mastercard Incorporated MA.
All these encouraged SoundHound to raise its full-year revenue guidance to $160-$178 million, which is much higher than the revenues of $84.6 million in 2024. To top it off, SoundHound has a strong cash balance of $230 million with no debt as of June 30, 2025, suggesting that it’s capable of withstanding economic upheavals. SoundHound can also create growth opportunities with substantial cash. These factors should encourage existing shareholders to remain invested in SoundHound stock.
However, new investors should approach SoundHound stock with caution, given its lack of profitability. This is because, on a GAAP basis, SoundHound posted a wider year-over-year loss of $0.19 a share in the second quarter. It also reported a loss of $0.03 a share on a non-GAAP basis, and the gross margin shrank as well.
For now, SoundHound stock has a Zacks Rank #3 (Hold), while BigBear.ai stock has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.
Zacks Names #1 Semiconductor Stock
This under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.
See This Stock Now for Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
SoundHound AI, Inc. (SOUN) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

BigBear.ai, Inc.

Sign up and unlock all the capabilities of the AI-screener