BigBear.ai Holdings (BBAI) stock jumped about 7% on Monday and has rallied 73% year-to-date. Despite dismal second-quarter results, investors remain confident about the growth potential of the data analytics company, which offers mission-ready artificial intelligence (AI) solutions and services for defense, national security, and critical infrastructure. While Wall Street is cautiously optimistic on BBAI stock, TipRanks’ AI Analyst has a Neutral stance and sees a downside risk from current levels.
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For context, TipRanks’ AI Stock Analysis delivers automated, data-driven evaluations of stocks based on key performance metrics, giving investors a clear and concise snapshot of a stock’s potential.
AI Analyst Has a Neutral Stance on BigBear.ai Stock
According to TipRanks’ AI Stock Analysis, BigBear.ai stock scores a Neutral rating with a price target of $5.50, which indicates a possible downside of 28.5% from current levels. TipRanks’ AI Analyst’s score of 43 out of 100 is based on the company’s weak financial performance, as reflected in its declining Q2 revenue due to federal contract disruptions.
Interestingly, TipRanks’ AI Analyst noted positives like BBAI’s solid cash position (a cash balance of $390.8 million as of the end of Q2 2025) and strategic opportunities highlighted in the Q2 earnings call, including opportunities offered by the One Big, Beautiful Bill and international partnerships and expansion prospects. However, these favorable aspects were offset by weak revenue and disruptions in army contracts.
Other aspects noted by TipRanks’ AI Analyst include valuation concerns and mixed signals highlighted by technical analysis.
Is BBAI a Good Stock to Buy?
Currently, Wall Street has a Moderate Buy consensus rating on BigBear.ai Holdings stock based on two Buys and two Holds. The average BBAI stock price target of $5.75 indicates a possible downside of 25.3% from current levels.
