D-Wave Quantum (NYSE:QBTS) Price Target Lowered to $29.00 at Mizuho

Key Points

• Mizuho lowered its price target on D-Wave Quantum from $31 to $29, while keeping an outperform rating. The new target still implies about 29.6% upside from the current share price.
• D-Wave’s latest earnings showed a mixed picture: it posted a smaller-than-expected loss of ($0.05) per share, but revenue of $2.86 million missed estimates and fell 80.9% year over year.
• Sentiment around the stock remains divided, with multiple analysts still rating it a Buy and consensus target near $34.80, even as insiders have sold shares and the company remains deeply unprofitable.

D-Wave Quantum (NYSE:QBTS - Get Free Report) had its target price lowered by equities research analysts at Mizuho from $31.00 to $29.00 in a research note issued on Wednesday,Benzinga reports. The firm currently has an "outperform" rating on the stock. Mizuho's price objective would indicate a potential upside of 29.56% from the stock's current price.

QBTS has been the topic of a number of other reports. Jefferies Financial Group restated a "buy" rating on shares of D-Wave Quantum in a report on Tuesday. Zacks Research upgraded shares of D-Wave Quantum from a "strong sell" rating to a "hold" rating in a report on Tuesday, April 28th. Rosenblatt Securities restated a "buy" rating and set a $43.00 target price on shares of D-Wave Quantum in a report on Wednesday, January 28th. Benchmark restated a "buy" rating and set a $35.00 target price on shares of D-Wave Quantum in a report on Friday, January 23rd. Finally, Needham & Company LLC decreased their price objective on shares of D-Wave Quantum from $48.00 to $40.00 and set a "buy" rating on the stock in a report on Thursday, February 26th. Fourteen equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, D-Wave Quantum currently has a consensus rating of "Moderate Buy" and an average target price of $34.80.

D-Wave Quantum Price Performance

Shares of QBTS opened at $22.38 on Wednesday. The company has a market cap of $8.28 billion, a price-to-earnings ratio of -20.35 and a beta of 1.95. D-Wave Quantum has a 1-year low of $10.36 and a 1-year high of $46.75. The company's fifty day simple moving average is $17.90 and its 200 day simple moving average is $22.80. The company has a current ratio of 42.38, a quick ratio of 42.25 and a debt-to-equity ratio of 0.04.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last issued its earnings results on Tuesday, May 12th. The company reported ($0.05) earnings per share for the quarter, topping analysts' consensus estimates of ($0.08) by $0.03. The business had revenue of $2.86 million for the quarter, compared to the consensus estimate of $4.19 million. D-Wave Quantum had a negative net margin of 1,444.10% and a negative return on equity of 58.58%. The firm's revenue for the quarter was down 80.9% on a year-over-year basis. During the same period in the previous year, the company earned ($0.02) earnings per share. On average, research analysts forecast that D-Wave Quantum will post -0.44 earnings per share for the current fiscal year.

Insider Activity at D-Wave Quantum

In other D-Wave Quantum news, Director John D. Dilullo sold 8,000 shares of the company's 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 transaction, the director directly owned 19,803 shares in the company, valued at $356,652.03. The trade was a 28.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO John M. Markovich sold 10,706 shares of the company's stock in a transaction on Friday, March 13th. The shares were sold at an average price of $17.63, for a total transaction of $188,746.78. Following the completion of the transaction, the chief financial officer owned 1,451,427 shares in the company, valued at approximately $25,588,658.01. This represents a 0.73% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 31,776 shares of company stock valued at $574,571 in the last ninety days. Company insiders own 3.20% of the company's stock.

Hedge Funds Weigh In On D-Wave Quantum

Institutional investors and hedge funds have recently modified their holdings of the stock. Csenge Advisory Group grew its stake in shares of D-Wave Quantum by 99.1% in the third quarter. Csenge Advisory Group now owns 35,886 shares of the company's stock valued at $887,000 after acquiring an additional 17,860 shares in the last quarter. Mutual Advisors LLC acquired a new position in shares of D-Wave Quantum in the third quarter valued at about $1,069,000. Federated Hermes Inc. grew its stake in shares of D-Wave Quantum by 259,560.6% in the third quarter. Federated Hermes Inc. now owns 184,359 shares of the company's stock valued at $4,556,000 after acquiring an additional 184,288 shares in the last quarter. Caitong International Asset Management Co. Ltd grew its stake in shares of D-Wave Quantum by 370.9% in the third quarter. Caitong International Asset Management Co. Ltd now owns 96,248 shares of the company's stock valued at $2,378,000 after acquiring an additional 75,807 shares in the last quarter. Finally, SG Americas Securities LLC grew its stake in shares of D-Wave Quantum by 254.7% in the fourth quarter. SG Americas Securities LLC now owns 2,272,020 shares of the company's stock valued at $59,413,000 after acquiring an additional 1,631,415 shares in the last quarter. 42.47% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about D-Wave Quantum

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

• Positive Sentiment: D-Wave reported Q1 EPS of ($0.05), beating estimates for a loss of ($0.08), which suggests losses are narrowing faster than expected. The company also highlighted record bookings growth of nearly 2,000%, a sign of strong demand and improving commercial momentum. Article Title
• Positive Sentiment: Analysts and market coverage noted that the company’s booking growth, government deals, and Advantage2 momentum could support the long-term quantum computing story, even if near-term fundamentals remain uneven. Article Title
• Neutral Sentiment: Investors are also focused on management’s earnings call and presentation for clues about commercialization timing, revenue ramp, and whether recent booking strength can translate into sustained sales growth. Article Title
• Negative Sentiment: Revenue came in at $2.86 million, well below the $4.19 million estimate and down 80.9% year over year, reinforcing concerns about lumpy sales and the company’s still-challenged path to profitability. Article Title
• Negative Sentiment: Several market write-ups pointed out that despite the EPS beat, the stock was under pressure because the revenue miss overshadowed the beat and the company remains unprofitable with wide negative margins. Article Title

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.