BigBear.ai Holdings (BBAI) stock rallied 5.2% in the pre-market trading session on Tuesday, following an overnight surge of 2% and a 14.25% jump on Monday. The cybersecurity company's shares were boosted by positive analyst coverage and news of debt refinancing.
H.C. Wainwright initiated coverage on BBAI stock, setting a one-year price target of $7 per share, implying an upside potential of around 40% from current levels. The bullish outlook from the analyst firm likely contributed to the stock's pre-market rally.
Additionally, BigBear.ai's decision to refinance its $182.3 million convertible senior notes, pushing the maturity date from 2026 to 2029, was viewed favorably by investors. This move improved the company's financial position and provided more runway for growth initiatives, further fueling the stock's upward momentum.