D-Wave Quantum (NYSE:QBTS) CFO Sells $5,142,000.00 in Stock

Key Points

• D-Wave Quantum CFO John Markovich sold 200,000 shares on June 15 at an average price of $25.71, for proceeds of $5.14 million. The filing said the sale was to cover tax withholding obligations tied to vesting equity awards.
• QBTS shares were under pressure after the disclosure, trading down to $23.91 on Tuesday amid heavy volume. The stock remains highly volatile, with a 52-week range of $12.75 to $46.75 and a beta of 2.05.
• Analyst sentiment remains largely constructive, with multiple firms reiterating buy ratings and Mizuho raising its price target to $35.00. However, some commentary flagged valuation risk and competitive pressure in the quantum computing sector.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report) CFO John Markovich sold 200,000 shares of D-Wave Quantum stock in a transaction on Monday, June 15th. The shares were sold at an average price of $25.71, for a total value of $5,142,000.00. Following the completion of the transaction, the chief financial officer owned 1,142,820 shares of the company's stock, valued at approximately $29,381,902.20. The trade was a 14.89% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

D-Wave Quantum Price Performance

Shares of QBTS stock traded down $2.35 during trading hours on Tuesday, hitting $23.91. 29,339,334 shares of the company's stock were exchanged, compared to its average volume of 32,392,406. D-Wave Quantum Inc. has a 52 week low of $12.75 and a 52 week high of $46.75. The stock has a market cap of $8.84 billion, a price-to-earnings ratio of -21.16 and a beta of 2.05. The company has a debt-to-equity ratio of 0.03, a current ratio of 21.41 and a quick ratio of 21.31. The stock's 50-day moving average is $21.95 and its 200-day moving average is $22.29.

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

Hedge Funds Weigh In On D-Wave Quantum

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Root Financial Partners LLC lifted its stake in shares of D-Wave Quantum by 388.0% in the 4th quarter. Root Financial Partners LLC now owns 976 shares of the company's stock valued at $26,000 after purchasing an additional 776 shares during the period. Kemnay Advisory Services Inc. acquired a new stake in shares of D-Wave Quantum during the fourth quarter worth $28,000. EverSource Wealth Advisors LLC grew its stake in shares of D-Wave Quantum by 267.7% during the fourth quarter. EverSource Wealth Advisors LLC now owns 1,151 shares of the company's stock worth $30,000 after purchasing an additional 838 shares during the period. Mcguire Capital Advisors Inc. bought a new stake in D-Wave Quantum in the fourth quarter valued at about $31,000. Finally, Ancora Advisors LLC acquired a new position in D-Wave Quantum in the third quarter valued at about $30,000. 42.47% of the stock is owned by institutional investors.

D-Wave Quantum News Summary

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

• Positive Sentiment: Analyst-day momentum and a higher price target from Mizuho helped reinforce optimism around D-Wave’s updated roadmap and longer-term commercialization plans for fault-tolerant quantum computing. D-Wave Quantum jumps as Mizuho ups price target after analyst day
• Positive Sentiment: Several articles highlighted D-Wave as a leading pure-play quantum name, with upbeat commentary on its gate-model roadmap and bullish technical setups, supporting investor interest in the stock. D-Wave Quantum (QBTS) Inspires Confidence With Latest Gate-Model Roadmap
• Neutral Sentiment: Monday’s broader “risk-on” rally lifted QBTS along with other quantum stocks, but that move appears to be unwinding as traders take profits and the sector gives back some of its gains. IonQ, Rigetti, D-Wave, and Quantum Computing Inc. All Fall 5% to 7% as the Quantum Rally Reverses
• Neutral Sentiment: Some coverage emphasized that D-Wave remains one of the key names in quantum computing, but also noted a competitive landscape and insider selling that could keep sentiment volatile. Can D-Wave Hold Its Own Against 2 Fast-Growing Rivals?
• Negative Sentiment: Fresh commentary focused on valuation risk, saying QBTS is being compared to “the NVIDIA of quantum computing” while also warning that the stock’s rich valuation leaves little room for execution missteps. Is QBTS the NVIDIA of Quantum Computing or is it Overvalued?

Analysts Set New Price Targets

QBTS has been the topic of several research reports. Weiss Ratings downgraded D-Wave Quantum from a "sell (d-)" rating to a "sell (e+)" rating in a report on Wednesday, April 29th. Needham & Company LLC reiterated a "buy" rating and issued a $40.00 price objective on shares of D-Wave Quantum in a research report on Tuesday, June 2nd. Rosenblatt Securities reiterated a "buy" rating and issued a $43.00 price objective on shares of D-Wave Quantum in a research report on Thursday, June 11th. Mizuho increased their price objective on D-Wave Quantum from $29.00 to $35.00 and gave the company an "outperform" rating in a research report on Monday. Finally, Jefferies Financial Group reiterated a "buy" rating on shares of D-Wave Quantum in a research report on Tuesday, May 12th. Fourteen analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $36.80.

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.

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