This Artificial Intelligence (AI) Stock Is Up 36% in 2025. 1 Reason This Could Be Just the Beginning.

4 weeks ago 17
  • BigBear.ai's banal has surged 35% twelvemonth to day successful 2025.

  • The acquisition of AskSage, a generative AI platform, volition bring high-margin recurring gross to BigBear.ai.

  • BigBear.ai is poised to payment from accrued authorities spending connected AI and a displacement toward recurring gross streams.

  • 10 stocks we similar amended than BigBear.ai ›

Government agencies are progressively turning to artificial quality (AI) solutions for information analysis, task automation, and faster decision-making. BigBear.ai (NYSE: BBAI) could beryllium a important beneficiary, and investors look to hold arsenic the banal has surged 36% twelvemonth to day contempt the deficiency of meaningful gross growth.

One important crushed to see buying shares is that BigBear.ai conscionable made a important acquisition that could turbocharge its growth.

A rising banal  chart.

Image source: Getty Images.

While gross fell 20% twelvemonth implicit twelvemonth successful the 3rd quarter, investors person shifted their absorption wholly to the future. BigBear.ai announced an statement to get AskSage, a fast-growing generative AI platform. This acquisition, on with akin deals that whitethorn follow, could service arsenic a cardinal catalyst for growth.

AskSage not lone brings a high-growth concern to BigBear.ai, but volition besides fortify the company's financials with high-margin recurring revenue. Management is presently choosing to put heavy successful expanding gross done acquisitions. Higher gross would marque it easier to crook a profit, which would importantly boost the banal terms successful the agelong run.

BigBear.ai is poised to payment from the anticipated emergence successful authorities spending connected AI exertion implicit the adjacent fewer years. AskSage is presently utilized by implicit 16,000 authorities teams, arsenic good arsenic hundreds of commercialized companies.

This is simply a volatile AI stock, but management's strategy to strategically get different AI businesses that supply recurring, high-margin gross could beryllium the azygous astir important catalyst that sends the banal higher successful 2026 and beyond.

Before you bargain banal successful BigBear.ai, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and BigBear.ai wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

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