D-Wave Quantum Inc. (NASDAQ:QBTS) Given Consensus Recommendation of "Moderate Buy" by Analysts

Key Points

• Analysts remain broadly bullish: D-Wave Quantum has a “Moderate Buy” consensus from 15 analysts, with 12 buy ratings and an average 12-month price target of $36.36 versus a recent price of $20.90.
• Quarterly results fell short of expectations: The company reported a $0.10 per-share loss and $3.08 million in revenue, missing estimates of a $0.08 loss and $4.03 million in revenue, while continuing to post substantial losses.
• Insiders have been selling shares: Company insiders sold 1.36 million shares worth approximately $35.8 million over the past three months, although institutional investors own 42.47% of the stock.

D-Wave Quantum Inc. (NASDAQ:QBTS - Get Free Report) has been given a consensus rating of "Moderate Buy" by the fifteen ratings firms that are presently covering the firm, Marketbeat.com reports. One research analyst has rated the stock with a sell rating, one has given a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the company. The average 12-month price target among brokerages that have issued ratings on the stock in the last year is $36.3571.

Several equities analysts have recently commented on QBTS shares. Wall Street Zen upgraded D-Wave Quantum from a "strong sell" rating to a "sell" rating in a research report on Saturday, August 8th. Jefferies Financial Group set a $40.00 target price on D-Wave Quantum in a research note on Friday, August 7th. B. Riley Financial increased their price target on shares of D-Wave Quantum from $36.00 to $40.00 and gave the company a "buy" rating in a research report on Tuesday, June 2nd. Canaccord Genuity Group set a $35.00 price target on shares of D-Wave Quantum in a research note on Thursday, August 6th. Finally, Rosenblatt Securities reaffirmed a "buy" rating and issued a $43.00 price objective on shares of D-Wave Quantum in a research note on Friday, August 7th.

D-Wave Quantum Stock Up 0.8%

Shares of NASDAQ:QBTS opened at $20.90 on Friday. D-Wave Quantum has a 52-week low of $12.75 and a 52-week high of $46.75. The firm has a fifty day moving average of $21.09 and a 200 day moving average of $20.36. The firm has a market capitalization of $7.73 billion, a PE ratio of -29.44 and a beta of 2.15. The company has a debt-to-equity ratio of 0.03, a quick ratio of 21.31 and a current ratio of 21.41.

D-Wave Quantum (NASDAQ:QBTS - Get Free Report) last released its earnings results on Thursday, August 6th. The company reported ($0.10) EPS for the quarter, missing analysts' consensus estimates of ($0.08) by ($0.02). D-Wave Quantum had a negative net margin of 2,001.59% and a negative return on equity of 28.19%. The firm had revenue of $3.08 million during the quarter, compared to the consensus estimate of $4.03 million. During the same period in the prior year, the company earned ($0.08) EPS. The firm's revenue was down 0.6 compared to the same quarter last year. As a group, research analysts anticipate that D-Wave Quantum will post -0.42 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director John D. Dilullo sold 7,850 shares of D-Wave Quantum stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $24.43, for a total value of $191,775.50. Following the transaction, the director owned 21,310 shares in the company, valued at approximately $520,603.30. The trade was a 26.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Alan E. Baratz sold 687,627 shares of the business's stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $26.13, for a total value of $17,967,693.51. Following the completion of the sale, the chief executive officer directly owned 3,299,771 shares of the company's stock, valued at approximately $86,223,016.23. This trade represents a 17.25% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 1,363,842 shares of company stock valued at $35,789,148 over the last three months. 1.30% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On D-Wave Quantum

A number of large investors have recently bought and sold shares of QBTS. BlackRock Inc. purchased a new stake in shares of D-Wave Quantum during the second quarter valued at approximately $795,206,000. UBS Group AG increased its stake 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 buying an additional 10,205,427 shares during the period. Geode Capital Management LLC raised its holdings in D-Wave Quantum by 11.5% during the 4th quarter. Geode Capital Management LLC now owns 8,394,726 shares of the company's stock valued at $220,085,000 after buying an additional 866,405 shares during the last quarter. State Street Corp raised its holdings in D-Wave Quantum by 5.3% during the 4th quarter. State Street Corp now owns 7,707,085 shares of the company's stock valued at $201,540,000 after buying an additional 385,809 shares during the last quarter. Finally, Marex Group plc boosted its position in D-Wave Quantum by 74.9% during 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 during the period. 42.47% of the stock is owned by hedge funds and other institutional investors.

D-Wave Quantum News Summary

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

• Positive Sentiment: Analyst confidence remains strong. Mizuho maintained an Outperform rating, describing D-Wave as well positioned in quantum computing, while Cantor Fitzgerald and Evercore ISI reaffirmed their Buy ratings. These endorsements may support the stock by reinforcing expectations for long-term growth. D-Wave Stock Is Well Positioned Cantor Fitzgerald Buy Rating Evercore ISI Buy Rating
• Positive Sentiment: Canadian government funding advances D-Wave’s commercial technology. D-Wave was awarded up to C$300,000 from the National Research Council of Canada to develop algorithms and open-source software for larger optimization problems on its Advantage2 annealing systems. While modest financially, the award validates the company’s technology and could help expand commercial use. D-Wave Awarded Canadian Research Funding
• Positive Sentiment: Investor comparisons highlight D-Wave’s bookings and commercial opportunity. A review of quantum stocks characterized D-Wave’s bookings as a key strength, while broader industry coverage points to commercial adoption, revenue growth and partnerships as potential sources of substantial upside. Quantum Stock Comparison Quantum Stocks With Upside
• Neutral Sentiment: Recent reports on Infleqtion and Quantinuum show that quantum peers are also attracting contracts, partnerships and investor interest. This supports sector momentum but may increase competition for D-Wave. Infleqtion Revenue Growth Quantinuum Earnings
• Negative Sentiment: Financial results remain a concern. D-Wave’s latest quarter missed both earnings and revenue expectations, and the company continues to report significant losses. That weak near-term financial performance could limit gains if commercial bookings do not translate into sustained revenue growth.

About D-Wave Quantum

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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