The Discounted Cash Flow (DCF) valuation of BigBear.ai Holdings Inc (BBAI) is (0.58) USD. With the latest stock price at 3.55 USD, the upside of BigBear.ai Holdings Inc based on DCF is -116.2%.

Is BBAI a buy or a sell?

Based on the latest price of 3.55 USD and our DCF valuation, BigBear.ai Holdings Inc (BBAI) is a sell. Selling BBAI stocks now will result in a potential gain of 116.2%.

Note: valuation result may not be accurate due to the company's negative earnings.

	Range	Selected
WACC / Discount Rate	182.4% - 184.0%	183.2%
Long-term Growth Rate	3.0% - 5.0%	4.0%
Fair Price	(0.58) - (0.57)	(0.58)
Upside	-116.3% - -116.2%	-116.2%

3.55 USD

Stock Price

(0.58) USD

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

BBAI DCF Valuation: Revenue & Expenses Forecast

(USD in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	158	174	198	204	214	228
% Growth	2%	10%	14%	3%	5%	7%

Cost of goods sold	(113)	(118)	(128)	(125)	(124)	(126)
% of Revenue	71%	68%	64%	61%	58%	55%

Selling, G&A expenses	(80)	(88)	(100)	(103)	(108)	(115)
% of Revenue	51%	51%	51%	51%	51%	51%

Research & Development	(11)	(12)	(14)	(14)	(15)	(16)
% of Revenue	7%	7%	7%	7%	7%	7%

Net interest & other expenses	(250)	(275)	(314)	(322)	(338)	(360)
% of Revenue	158%	158%	158%	158%	158%	158%

Tax expense	0	2	2	2	2	2
Tax rate	0%	1%	1%	1%	1%	1%

Net profit	(296)	(317)	(355)	(358)	(369)	(387)
% Margin	-187%	-182%	-179%	-176%	-173%	-170%