BigBear.ai Holdings (BBAI) shares plummeted 11.38% in intraday trading on Thursday, as investors appear to be taking profits following a multi-day surge. The recent rally was fueled by the company's better-than-expected third-quarter earnings report and the announcement of a strategic acquisition.
The AI solutions provider reported revenue of $33.14 million for the third quarter, surpassing Wall Street estimates of $31.82 million. BigBear.ai also demonstrated improved cost discipline, posting a narrower-than-expected loss of 3 cents per share versus the projected 7-cent loss. Despite these positive results, the stock is experiencing a significant pullback today.
Adding to the recent optimism was BigBear.ai's announcement of its acquisition of Ask Sage, a generative AI platform for secure government environments. H.C. Wainwright analyst Scott Buck views this deal as a potential "swing factor" for 2026, forecasting that it could drive revenue to $200 million and improve margins through SaaS-style recurring revenue. Despite today's decline, Buck maintains a Buy rating with an $8 price target, suggesting potential upside from current levels.
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