BigBear.ai Holdings Inc. (NYSE: BBAI) stock fell -1.81% on Monday to $1.63 against a previous-day closing price of $1.66. With 1.59 million shares changed hands, the volume of the stock remained lighter than its average volume of 3.99 million shares. During the session, the Information Technology Services company that operates in wider Technology sector, reached to the highest price of $1.6500 whereas the lowest price it dropped to was $1.5700. The 52-week range on BBAI shows that it touched its highest point at $6.77 and its lowest point at $0.58 during that stretch. It currently has a 1-year price target of $4.50. Beta for the stock currently stands at 2.98.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of BBAI was down-trending over the past week, with a drop of -5.78%, but this was up by 14.79% over a month. Three-month performance dropped to -35.06% while six-month performance fell -7.91%. The stock gained 7.95% in the past year, while it has gained 141.95% so far this year. A look at the trailing 12-month EPS for BBAI yields -0.67 with Next year EPS estimates of -0.25. For the next quarter, that number is -0.07. This implies an EPS growth rate of 17.50% for this year and 39.00% for next year.
Float and Shares Shorts:
At present, 145.47 million BBAI shares are outstanding with a float of 40.16 million shares on hand for trading. On Aug 30, 2023, short shares totaled 7.24 million, which was 4.64% higher than short shares on Jul 30, 2023. In addition to Ms. Amanda Long as the firm’s CEO & Director, Ms. Julie Peffer serves as its Chief Financial Officer.
Through their ownership of 4.20% of BBAI’s outstanding shares, institutional investors have minority control over the company. Other institutions hold 9.10% of BBAI, in contrast to 70.51% held by mutual funds. Shares owned by individuals account for 1.84%. As the largest shareholder in BBAI with 4.81% of the stake, Armistice Capital LLC holds 7,500,000 shares worth 7,500,000. A second-largest stockholder of BBAI, Bank of America, NA, holds 2,276,235 shares, controlling over 1.46% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in BBAI, holding 1,603,279 shares or 1.03% stake. With a 0.44% stake in BBAI, the iShares Russell 2000 ETF is the largest stakeholder. A total of 688,232 shares are owned by the mutual fund manager. The Vanguard Total Stock Market ETF, which owns about 0.44% of BBAI stock, is the second-largest Mutual Fund holder. It holds 686,740 shares valued at 1.13 million. iShares Russell 2000 Growth ETF holds 0.16% of the stake in BBAI, owning 245,315 shares worth 0.4 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, BBAI reported revenue of $37.61M and operating income of -$19.90M. The EBITDA in the recently reported quarter was -$17.92M and diluted EPS was -$0.45.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for BBAI since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With BBAI analysts setting a high price target of $5.00 and a low target of $4.00, the average target price over the next 12 months is $4.50. Based on these targets, BBAI could surge 206.75% to reach the target high and rise by 145.4% to reach the target low. Reaching the average price target will result in a growth of 176.07% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded BBAI stock several times over the past three months with 8 Buys and 3 Sells. In these transactions, 500,004 shares were bought while 1,224 shares were sold. The number of buy transactions has increased to 27 while that of sell transactions has risen to 37 over the past year. The total number of shares bought during that period was 3,411,984 while 10,968,260 shares were sold.