IonQ, Inc. (NYSE:IONQ) Stock Has Average Price Target of $63.83

Key Points

• Analysts moderately favor IonQ: Fifteen analysts assign the stock a consensus “Moderate Buy” rating, with ten buys, four holds and one sell. The average 12-month price target is $63.83 versus an opening price of $31.39.
• IonQ reported quarterly revenue of $80.05 million, up 286.7% year over year and above estimates, while its adjusted loss of $0.33 per share also beat expectations. Despite improving revenue, the company remains unprofitable with a negative net margin and analysts expect a full-year loss.
• Recent quantum-computing advances, the Elisity acquisition and supportive analyst upgrades provide potential growth catalysts, but the $2 billion equity offering raises dilution and valuation concerns. Investors also remain uncertain about Elisity’s near-term earnings contribution.

IonQ, Inc. (NYSE:IONQ - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the fifteen analysts that are covering the stock, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, four have issued a hold recommendation and ten have given a buy recommendation to the company. The average 12-month price target among analysts that have updated their coverage on the stock in the last year is $63.83.

A number of analysts have recently weighed in on IONQ shares. Northland Securities raised their price target on shares of IonQ from $55.00 to $70.00 and gave the company an "outperform" rating in a report on Monday, June 22nd. Mizuho reduced their price target on IonQ from $61.00 to $52.00 and set an "outperform" rating on the stock in a research report on Wednesday, September 9th. Weiss Ratings lowered IonQ from a "sell (d+)" rating to a "sell (d-)" rating in a report on Friday, August 21st. B. Riley Financial reissued a "buy" rating on shares of IonQ in a research report on Wednesday, September 9th. Finally, Bank of America assumed coverage on IonQ in a research report on Monday, September 28th. They issued a "buy" rating and a $60.00 price objective for the company.

IonQ Price Performance

Shares of NYSE IONQ opened at $31.39 on Thursday. The stock has a market capitalization of $11.96 billion, a P/E ratio of -6.74 and a beta of 3.36. IonQ has a 1-year low of $25.89 and a 1-year high of $80.23. The business has a fifty day moving average price of $41.04 and a 200 day moving average price of $44.81.

IonQ (NYSE:IONQ - Get Free Report) last issued its quarterly earnings data on Wednesday, August 5th. The company reported ($0.33) earnings per share for the quarter, beating analysts' consensus estimates of ($0.56) by $0.23. The company had revenue of $80.05 million for the quarter, compared to the consensus estimate of $66.47 million. IonQ had a negative return on equity of 22.29% and a negative net margin of 553.27%. The firm's revenue for the quarter was up 286.7% compared to the same quarter last year. During the same quarter last year, the company earned ($0.70) earnings per share. As a group, equities research analysts anticipate that IonQ will post -2.11 earnings per share for the current fiscal year.

Key IonQ News

Here are the key news stories impacting IonQ this week:

• Positive Sentiment: IonQ reported a quantum interconnect breakthrough with 1,032 entangled photon pairs per second and 87.9% quality, potentially supporting its long-term ambitions for linked quantum systems. IonQ Hits 1,032 Entangled Pairs Per Second in Quantum Link Breakthrough
• Positive Sentiment: The company’s acquisition of Elisity could expand IonQ into enterprise Zero Trust and post-quantum cybersecurity, adding recurring revenue, enterprise relationships and a potential commercial application for its quantum-security portfolio. IonQ to acquire Zero Trust provider Elisity for up to $1.3 billion
• Positive Sentiment: Zacks upgraded IONQ to a Rank #2, or Buy, citing improving optimism around the company’s earnings outlook. Rosenblatt also reaffirmed a Buy rating with a $100 price target. IonQ Upgraded to Buy
• Neutral Sentiment: IonQ continues to attract attention as a leading trapped-ion quantum company, with cloud-provider partnerships and government quantum initiatives providing potential long-term catalysts. However, commercialization and revenue impact remain uncertain. IonQ vs. Nebius Group
• Negative Sentiment: IonQ priced a $2.0 billion equity offering shortly after announcing the up-to-$1.3 billion Elisity acquisition. The additional shares increase dilution risk and have intensified investor concerns about the valuation and timing of the transaction. IonQ Announces Pricing of $2.0 Billion Equity Offering
• Negative Sentiment: Investors are questioning whether Elisity will contribute near-term earnings or cash flow, particularly as IonQ pursues an acquisition-heavy strategy. Recent reported insider activity also showed sales but no open-market purchases, adding to cautious sentiment. IonQ Slides as Investors Digest All-Stock Elisity Deal and Dilution Risk

Insider Activity at IonQ

In related news, insider John Raymond sold 2,407 shares of IonQ stock in a transaction that occurred on Thursday, September 10th. The shares were sold at an average price of $37.21, for a total value of $89,564.47. Following the completion of the sale, 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 Securities & Exchange Commission, which is available at this link. 0.55% of the stock is owned by insiders.

Hedge Funds Weigh In On IonQ

Several hedge funds have recently made changes to their positions in the company. BlackRock Inc. acquired a new position in shares of IonQ in the second quarter worth about $1,112,945,000. Bank of America Corp DE purchased a new position in shares of IonQ in the 2nd quarter valued at about $344,757,000. Bank of New York Mellon Corp purchased a new position in shares of IonQ in the 2nd quarter valued at about $113,863,000. Legal & General Group Plc purchased a new position in shares of IonQ in the 2nd quarter valued at about $82,126,000. Finally, Deutsche Bank AG acquired a new position in IonQ in the 2nd quarter worth about $27,836,000. 41.42% of the stock is owned by institutional investors and hedge funds.

About IonQ

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.

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