IonQ (NYSE:IONQ) Shares Down 9.1% – Time to Sell?

IonQ, Inc. (NYSE:IONQ) fell 9.1% on Friday. The company traded as low as $31.11 and last traded at $31.23. Approximately 27,858,733 shares were traded during mid-day trading, an increase of 13% from the average daily volume of 24,755,492 shares. The stock had previously closed at $34.35.

Trending Headlines about IonQ

Here are the key news stories impacting IonQ this week:

• Positive Sentiment: IonQ’s cash outlook should improve materially following the equity raise, potentially giving the quantum-computing company more resources to fund acquisitions, research and development, and commercialization. Does IonQ’s $2 Billion Stock Sale Materially Alter Its Cash Outlook?
• Positive Sentiment: Longer-term optimism centers on IonQ’s planned early-2027 delivery of its 256-qubit Superion system. A successful launch could support customer demand and strengthen the company’s commercial case. Prediction: IonQ Will Cross $100 Per Share in 2027
• Positive Sentiment: The Pentagon’s $350 million quantum-computing initiative could create additional demand and funding opportunities for industry participants, including IonQ. The Pentagon’s $350 Million Quantum Push
• Neutral Sentiment: IonQ recently rebounded on above-average volume, but Zacks said the latest earnings-estimate revision trend does not indicate that the rally is likely to continue. IonQ Soars 9.3%: Is Further Upside Left?
• Negative Sentiment: The $2 billion stock sale is the immediate bearish catalyst: investors are focused on dilution, particularly because the offering price is substantially below earlier highs. Other quantum-computing stocks also declined, indicating broader sector weakness. IonQ Raises $2 Billion at $40 a Share
• Negative Sentiment: IonQ remains unprofitable, with substantial losses and a highly speculative valuation. Investors are also seeking clearer guidance on how the SkyWater acquisition will affect revenue, costs, and the path to profitability. Investors Who Can Hold IonQ for a Year Should Know What to Do

Wall Street Analyst Weigh In

IONQ has been the topic of a number of analyst reports. Weiss Ratings lowered IonQ from a “sell (d+)” rating to a “sell (d-)” rating in a research note on Friday, August 21st. B. Riley Financial reiterated a “buy” rating on shares of IonQ in a research report on Wednesday, September 9th. Morgan Stanley cut their target price on shares of IonQ from $49.00 to $43.00 and set an “equal weight” rating for the company in a research note on Thursday. Bank of America began coverage on shares of IonQ in a research note on Monday, September 28th. They issued a “buy” rating and a $60.00 target price for the company. Finally, Mizuho reduced their target price on shares of IonQ from $61.00 to $52.00 and set an “outperform” rating on the stock in a report on Wednesday, September 9th. Ten equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $63.33.

IonQ Trading Down 9.1%

The company has a market capitalization of $11.90 billion, a PE ratio of -6.70 and a beta of 3.36. The company’s 50 day moving average price is $40.67 and its 200-day moving average price is $44.77.

IonQ (NYSE:IONQ) last issued its earnings results on Wednesday, August 5th. The company reported ($0.33) earnings per share for the quarter, topping the consensus estimate of ($0.56) by $0.23. IonQ had a negative return on equity of 22.29% and a negative net margin of 553.27%. The business had revenue of $80.05 million for the quarter, compared to analyst estimates of $66.47 million. During the same period last year, the company posted ($0.70) EPS. The business’s quarterly revenue was up 286.7% on a year-over-year basis. As a group, analysts predict that IonQ, Inc. will post -2.11 earnings per share for the current year.

Insider Buying and Selling

In other news, insider John Raymond sold 2,407 shares of the firm’s stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $37.21, for a total value of $89,564.47. Following the transaction, the insider directly owned 77,741 shares in the company, valued at $2,892,742.61. This trade represents a 3.00% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.55% of the stock is owned by corporate insiders.

Institutional Trading of IonQ

A number of institutional investors have recently modified their holdings of the company. BlackRock Inc. purchased a new position in IonQ in the second quarter valued at approximately $1,112,945,000. Bank of America Corp DE acquired a new position in IonQ during the second quarter valued at approximately $344,757,000. Bank of New York Mellon Corp acquired a new position in IonQ during the second quarter valued at approximately $113,863,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in IonQ by 45.0% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,632,290 shares of the company’s stock worth $86,936,000 after buying an additional 506,191 shares during the period. Finally, Legal & General Group Plc purchased a new stake in IonQ during the second quarter worth approximately $82,126,000. Hedge funds and other institutional investors own 41.42% of the company’s stock.

IonQ Company Profile

IonQ, Inc is a quantum computing company that develops and commercializes quantum computers based on trapped-ion technology. Its systems are designed to perform specialized computations that may eventually support applications in areas such as optimization, materials science, drug discovery, financial modeling and artificial intelligence.

The company offers access to its quantum processors through cloud platforms, including Amazon Web Services’ Amazon Braket, Microsoft Azure Quantum and Google Cloud.