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BigBear.ai's low price tag has attracted attention in the defense AI space, but investors are better off buying Palantir (PLTR) instead. Palantir trades at 101 times this year's projected forward revenue, with a stellar margin picture and a forefront position in AI software. BigBear.ai, on the other hand, has a low gross margin and declining sales. Despite a favorable backdrop for defense AI spending, BigBear.ai's revenue has collapsed recently.

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