BigBear.ai stock saw explosive gains, up 15.2% in Thursday’s trading session. The S&P 500 and Nasdaq Composite also rose. Investors remain positive on growth-dependent tech stocks despite no specific news. The stock trades at 14.2 times expected sales, but weak margins and sales growth suggest caution. Stock has surged 230% in three months.

With no major catalysts, BigBear.ai stock surged despite risks. Valuation stands at $2.4 billion with a price-to-sales ratio of 14.2. Investors remain bullish on the broader market, especially speculative tech stocks. The company has seen significant valuation gains, but business developments have not supported the surge. Palantir’s climb may have influenced BigBear.ai’s rise.

Before buying BigBear.ai stock, consider that it may be too risky. The company has seen massive valuation gains without substantial business developments. While investors flock to AI software and service providers in the defense industry, caution is advised. The Motley Fool did not include BigBear.ai in its list of top 10 stocks for investors to buy now.

Read more at Yahoo Finance: BigBear.ai Soared Again Today. Is the Stock a Buy?