D-Wave Quantum (NYSE:QBTS) Stock Price Up 6.7% – Still a Buy?

D-Wave Quantum Inc. (NYSE:QBTS)’s share price rose 6.7% during mid-day trading on Monday . The company traded as high as $24.78 and last traded at $24.0810. Approximately 35,090,647 shares changed hands during trading, an increase of 19% from the average daily volume of 29,552,916 shares. The stock had previously closed at $22.57.

D-Wave Quantum News Summary

Here are the key news stories impacting D-Wave Quantum this week:

• Positive Sentiment: D-Wave’s bookings surged to $33.4 million, a massive year-over-year jump that suggests strong customer demand and could support future revenue growth. D-Wave Shares Rise After Massive 20x Jump in Bookings Signals Demand Spike
• Positive Sentiment: The company beat earnings expectations with a smaller-than-expected loss, which helped offset the revenue miss and kept some investors focused on execution rather than near-term profitability. QBTS Q1 Earnings Top Estimates, Revenues Miss, Stock Up
• Positive Sentiment: Several analysts stayed constructive after the report, including reaffirmed Buy/Overweight ratings and price targets well above the current level, signaling Wall Street still sees meaningful upside. Analyst rating updates
• Neutral Sentiment: Coverage and earnings-call commentary highlighted D-Wave’s long-term quantum computing opportunity, but also noted that the sector remains highly speculative and competition from peers like IonQ and Rigetti is intense.
• Negative Sentiment: Revenue came in far below expectations at $2.86 million and fell sharply from a year ago, reinforcing concerns that commercialization is still uneven and revenue can be “lumpy.” D-Wave Quantum Analysts Slash Their Forecasts After Q1 Results
• Negative Sentiment: At least one analyst trimmed its price target after the report, showing that the weak top-line results are prompting some caution despite the strong bookings narrative. Mizuho target cut

Analysts Set New Price Targets

QBTS has been the topic of a number of recent research reports. Jefferies Financial Group reaffirmed a “buy” rating on shares of D-Wave Quantum in a research note on Tuesday. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $40.00 price target on shares of D-Wave Quantum in a research note on Wednesday. Wall Street Zen downgraded shares of D-Wave Quantum from a “hold” rating to a “sell” rating in a research note on Saturday, February 7th. Zacks Research raised shares of D-Wave Quantum from a “strong sell” rating to a “hold” rating in a research note on Tuesday, April 28th. Finally, Canaccord Genuity Group decreased their price target on shares of D-Wave Quantum from $43.00 to $41.00 and set a “buy” rating on the stock in a research note on Wednesday. Fourteen analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $34.67.

D-Wave Quantum Trading Down 4.1%

The firm has a market cap of $7.93 billion, a PE ratio of -18.96 and a beta of 1.95. The company has a quick ratio of 42.25, a current ratio of 42.38 and a debt-to-equity ratio of 0.04. The company’s 50 day moving average price is $17.95 and its two-hundred day moving average price is $22.74.

D-Wave Quantum (NYSE:QBTS) last announced its earnings results on Tuesday, May 12th. The company reported ($0.05) earnings per share for the quarter, beating the consensus estimate of ($0.08) by $0.03. D-Wave Quantum had a negative net margin of 2,957.23% and a negative return on equity of 49.80%. The business had revenue of $2.86 million for the quarter, compared to the consensus estimate of $4.19 million. During the same quarter in the prior year, the firm posted ($0.02) earnings per share. The business’s revenue for the quarter was down 80.9% on a year-over-year basis. As a group, sell-side analysts forecast that D-Wave Quantum Inc. will post -0.44 EPS for the current year.

Insider Activity

In other news, Director John D. Dilullo sold 8,000 shares of the stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $18.01, for a total value of $144,080.00. Following the sale, the director owned 19,803 shares of the company’s stock, valued at approximately $356,652.03. This represents a 28.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, VP Sophie C. Ames sold 3,070 shares of the stock in a transaction on Monday, April 20th. The shares were sold at an average price of $21.35, for a total transaction of $65,544.50. Following the completion of the sale, the vice president directly owned 643,678 shares in the company, valued at approximately $13,742,525.30. This represents a 0.47% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 31,776 shares of company stock worth $574,571. Insiders own 3.20% of the company’s stock.

Institutional Investors Weigh In On D-Wave Quantum

Several hedge funds and other institutional investors have recently made changes to their positions in QBTS. Vanguard Group Inc. raised its stake in shares of D-Wave Quantum by 41.2% in the third quarter. Vanguard Group Inc. now owns 38,454,869 shares of the company’s stock valued at $950,220,000 after acquiring an additional 11,218,255 shares during the period. UBS Group AG grew its holdings in shares of D-Wave Quantum by 541.6% in the third quarter. UBS Group AG now owns 12,089,703 shares of the company’s stock worth $298,737,000 after purchasing an additional 10,205,427 shares during the last quarter. Northwestern Mutual Wealth Management Co. grew its holdings in shares of D-Wave Quantum by 136,842.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,194,866 shares of the company’s stock worth $83,546,000 after purchasing an additional 3,192,533 shares during the last quarter. Clear Street Group Inc. bought a new position in shares of D-Wave Quantum in the third quarter worth about $75,344,000. Finally, Goldman Sachs Group Inc. grew its holdings in shares of D-Wave Quantum by 311.6% in the fourth quarter. Goldman Sachs Group Inc. now owns 3,548,013 shares of the company’s stock worth $92,781,000 after purchasing an additional 2,685,980 shares during the last quarter. Hedge funds and other institutional investors own 42.47% of the company’s stock.

D-Wave Quantum Company Profile

D-Wave Quantum Inc (NYSE: QBTS) develops and provides quantum computing systems, software and services focused on quantum annealing technology. Headquartered in Burnaby, British Columbia, D-Wave designs specialized processors that leverage quantum mechanics to solve complex optimization and sampling problems. Since its founding in 1999 by physicists including Geordie Rose, the company has pursued the development of commercially viable quantum hardware and accompanying software tools.

The company’s product portfolio centers on its quantum annealers, which are complemented by hybrid solvers that integrate classical and quantum computing resources.