BigBear.ai Holdings (BBAI) stock plummeted 12.38% on Thursday as insider selling and disappointing guidance raised concerns about the AI cybersecurity firm's growth prospects.
Two major shareholders, Pangiam Ultimate Holdings LLC and BBAI Ultimate Holdings LLC, sold a combined 8.2 million shares in two large transactions on March 5-6. The sales represented a significant portion of their BBAI holdings and likely weighed on investor sentiment.
BBAI's Q4 2024 earnings release further fueled the sell-off. The company missed analyst estimates with a loss of $0.43 per share versus expected $0.05, while revenue of $43.8 million also fell short of the $54.5 million consensus. To compound matters, BBAI issued lackluster revenue guidance of $160-180 million for FY 2025, well below the $193.9 million analysts projected.