Should You Forget BigBear.ai and Buy These 2 Artificial Intelligence (AI) Stocks Instead?

BigBear.ai (NYSE: BBAI) has attracted a batch of attraction connected Wall Street implicit the past fewer years for its AI information analytics platform. The institution sells its services to the U.S. authorities and backstage companies, and immoderate investors anticipation it could beryllium the adjacent Palantir.

Excitement astir AI successful wide and BigBear.ai's prospects specifically person helped propulsion its stock terms up by an awesome 152% implicit the past 3 years. But determination are immoderate informing flags flying, among them the company's 20% gross diminution successful the 3rd quarter, the information that it isn't profitable, and that its losses are widening.

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On apical of each of this, BigBear.ai's banal is pricey, with a price-to-sales ratio of astir 13 close present compared to the tech sector's mean P/S ratio of little than 9. With truthful galore reasons to interest astir BigBear.ai's concern thesis, retail investors would bash amended to look elsewhere. With that successful mind, present are 2 large AI banal alternatives to bargain now.

If a fast-growing AI institution with tons of upside imaginable is what you're looking for, look nary further than representation shaper Micron Technology (NASDAQ: MU). The company's NAND flash and dynamic random-access representation (DRAM) products are successful precocious request arsenic tech companies unreserved to physique AI information centers.

How successful demand, exactly? Well, Chief Business Officer Sumit Sadana told investors connected Micron's net telephone past period that the institution was "more than sold out" astatine the extremity of its astir caller fiscal quarter. This makes it a classical pick-and-shovel concern successful the midst of an AI golden rush. And with an estimated $3 trillion to $4 trillion estimated to beryllium spent connected AI infrastructure by 2030, determination are apt plentifulness of picks and shovels inactive to beryllium purchased.

And, dissimilar BigBear.ai, Micron's income are rising, and the institution is profitable. Revenue roseate 57% to $13.6 cardinal successful the archetypal 4th of its fiscal 2026, and non-GAAP (adjusted) net per stock accrued 167% to $4.78.

I cognize Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) isn't arsenic breathtaking arsenic immoderate different AI stocks retired there, unless you find an expanding presumption successful AI, monolithic sales, and a profitable concern to beryllium breathtaking (which you should).

Alphabet's AI play comes chiefly from its Gemini chatbot, which present has 650 cardinal monthly progressive users, up from 400 cardinal astir 8 months ago. Alphabet is astir to grow Gemini's scope arsenic well. Apple recently selected it to beryllium the underlying AI exemplary for a caller mentation of Siri that volition debut aboriginal this year. Aside from putting Gemini successful much hands, Alphabet volition person an estimated $1 cardinal from Apple annually.