Shares of Bigbear.ai (BBAI) tumbled for the third consecutive day, dropping 6.5% to bring its cumulative four-day decline to 24%.
After reaching an all-time high of $10.87 per share, BBAI stock now goes for $7.87 per share. Is this an opportunity for investors to get in at a new lower price before the next run higher, or is there still more air beneath the AI stock that could see it test new lows?
BigBear.AI has been on a tremendous run higher as the AI shop collected a series of government contracts in 2025. It won one to use AI to monitor foreign news outlets; a contract with the U.S. Navy for its contracting platform, the SeaPort Next Generation program; and a contract with the General Services Administration for its procurement services.
It also appointed a new CEO with ties to the Trump administration, which could benefit BigBear as the White House is much friendlier towards artificial intelligence. Investors have been betting that will boost the AI stock’s bottom line.
Unfortunately, government contracts can be lumpy. BigBear’s third-quarter revenue jumped 22% to $41.5 million compared to last year, but year-to-date it is essentially flat at $114.4 million. Yet BigBear is also unprofitable and its losses are widening. For the first three quarters of 2024 net losses hit $149 million, a near-four fold increase over the $38 million it lost last year.
BBAI stock looks like it is going to make it four straight days of losses too. Shares are down 7.5% in pre-market trading, which if they hold would put BigBear.ai’s streak at a cumulative 26% loss.
It could still get much worse from here and investors would be better off staying on the sidelines with this AI stock.
