BigBear.ai Stock Rallies Amid AI Innovations and Defense Contracts

NEW YORK, NY — BigBear.ai Holdings, Inc. (NYSE: BBAI) saw its stock rise by 16.27 percent on Monday, closing at $6.79. This increase marks a third consecutive day of gains, reflecting broader market enthusiasm for artificial intelligence (AI) stocks.

Earlier this month, BigBear.ai announced the deployment of its biometric software for Enhanced Passenger Processing (EPP) at 12 major international airports and ports in the United States and Canada. Key locations include Charlotte Douglas International Airport and Chicago International Airport.

CEO Kevin McAleenan emphasized the importance of integrating advanced biometrics and AI for airport security, stating, “Deploying Enhanced Passenger Processing at scale requires near seamless integration of advanced biometrics, AI, and operational infrastructure — this is where BigBear.ai excels.”

The company has also formed strategic partnerships to enhance its AI capabilities. Recently, BigBear.ai announced a collaboration with Easy Lease PJSC and Vigilix Technology Investment L.L.C. to support AI initiatives in the UAE.

BigBear.ai’s stock has already surged by 52.6 percent in 2025 and has seen a staggering increase of 350 percent over the past year. As of Tuesday’s pre-market trading, the stock was up another 5.2 percent.

Despite optimism from bullish investors, Wall Street remains divided on the stock. Analysts have expressed concerns regarding its growth rate and overall valuation. Currently, the stock holds a ‘Moderate Buy’ consensus rating, with projections indicating a potential downside from current levels.

In Q1 2025, BigBear.ai reported a 5 percent increase in revenue year-over-year, amounting to $34.8 million. This growth comes despite pressures from an extensive reliance on government contracts, raising questions about its sustainability.

Ultimately, BigBear.ai’s performance in the AI landscape underscores the evolving demands of national security as it continues to carve out a significant role in transforming traditional sectors with innovative solutions.