D-Wave Quantum (NYSE:QBTS) Trading Down 4.1% – Time to Sell?

Shares of D-Wave Quantum Inc. (NYSE:QBTS) were down 4.1% during mid-day trading on Thursday . The stock traded as low as $22.30 and last traded at $22.5250. Approximately 21,303,221 shares changed hands during mid-day trading, a decline of 33% from the average daily volume of 32,013,586 shares. The stock had previously closed at $23.50.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on QBTS. Needham & Company LLC reaffirmed a “buy” rating and issued a $40.00 target price on shares of D-Wave Quantum in a research report on Tuesday, June 2nd. B. Riley Financial increased their price target on D-Wave Quantum from $36.00 to $40.00 and gave the company a “buy” rating in a research report on Tuesday, June 2nd. Rosenblatt Securities restated a “buy” rating and issued a $43.00 price target on shares of D-Wave Quantum in a research note on Thursday, June 11th. Roth Mkm boosted their price target on D-Wave Quantum from $30.00 to $40.00 and gave the stock a “buy” rating in a research report on Tuesday, June 2nd. Finally, Jefferies Financial Group reiterated a “buy” rating on shares of D-Wave Quantum in a research note on Tuesday, May 12th. Fourteen equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, D-Wave Quantum presently has a consensus rating of “Moderate Buy” and a consensus price target of $36.80.

D-Wave Quantum Price Performance

The business has a fifty day moving average of $23.66 and a two-hundred day moving average of $22.13. The company has a debt-to-equity ratio of 0.03, a quick ratio of 21.31 and a current ratio of 21.41. The firm has a market capitalization of $8.33 billion, a price-to-earnings ratio of -19.93 and a beta of 2.11.

D-Wave Quantum (NYSE:QBTS) last posted its earnings results on Tuesday, May 12th. The company reported ($0.05) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.08) by $0.03. The company had revenue of $2.86 million during the quarter, compared to analysts’ expectations of $4.19 million. D-Wave Quantum had a negative net margin of 2,957.23% and a negative return on equity of 44.06%. D-Wave Quantum’s quarterly revenue was down 80.9% compared to the same quarter last year. During the same quarter last year, the company posted ($0.02) EPS. As a group, research analysts predict that D-Wave Quantum Inc. will post -0.43 EPS for the current fiscal year.

Insider Buying and Selling

In other D-Wave Quantum news, VP Sophie C. Ames sold 23,025 shares of the business’s stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $18.98, for a total value of $437,014.50. Following the completion of the sale, the vice president owned 596,803 shares of the company’s stock, valued at $11,327,320.94. The trade was a 3.71% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Alan E. Baratz sold 687,627 shares of the firm’s stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $26.13, for a total transaction of $17,967,693.51. Following the transaction, the chief executive officer directly owned 3,299,771 shares in the company, valued at $86,223,016.23. This represents a 17.25% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 1,363,842 shares of company stock valued at $35,802,656 in the last ninety days. 1.30% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On D-Wave Quantum

Institutional investors have recently made changes to their positions in the stock. UBS Group AG lifted its position in D-Wave Quantum by 541.6% during 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 period. Northwestern Mutual Wealth Management Co. increased its holdings in D-Wave Quantum by 136,842.4% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 3,194,866 shares of the company’s stock valued at $83,546,000 after buying an additional 3,192,533 shares during the period. Clear Street Group Inc. bought a new position in D-Wave Quantum in the 3rd quarter valued at about $75,344,000. Goldman Sachs Group Inc. raised its position in shares of D-Wave Quantum by 311.6% in the 4th quarter. Goldman Sachs Group Inc. now owns 3,548,013 shares of the company’s stock valued at $92,781,000 after buying an additional 2,685,980 shares in the last quarter. Finally, Marex Group plc raised its position in shares of D-Wave Quantum by 74.9% in the 4th quarter. Marex Group plc now owns 4,592,656 shares of the company’s stock valued at $120,098,000 after buying an additional 1,966,500 shares in the last quarter. 42.47% of the stock is currently owned by institutional investors.

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.