BigBear.ai Holdings (NYSE:BBAI) is one of the better stocks on Wall Street today, last seen up 13.8% to trade at $6.90. While the AI defense company's adjusted third-quarter loss of seven cents per share was steeper than estimates, third-quarter revenue topped forecasts. BigBear.ai also announced $250 million a definitive agreement to acquire Ask Sage, a generative AI platform.
BBAI is on track for a fourth-straight win, and is now up 56.4% in 2025. The shares traded below $2 a year ago, but are a ways off their Feb. 13, record high of $10.36.
Like most AI growth names, the short squeeze potential is enticing. Digging deeper, the 79.41 million shares sold short now account for 18.4% of BBAI's total available float.
Calls are the preference in the options pits. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), traders have bought to open 89,429 calls in the past two weeks, compared to just 28,615 puts.
Echoing this, over 204,000 calls have exchanged hands so far today -- volume that's triple the average intraday amount -- compared to only 59,000 puts. The weekly 11/14 8- and 7.50-strike calls are the most popular contracts, with positions bought to open at both.
