D-Wave Quantum (NYSE:QBTS) Shares Gap Down - What's Next?

Key Points

• D-Wave Quantum Inc. shares gapped down significantly from a previous closing price of $26.88 to an opening price of $24.49, reflecting market volatility ahead of trading on Monday.
• Despite a recent dip, analysts maintain a consensus rating of "Buy" with an average target price of $20.27 across twelve investment analysts, indicating potential investor confidence.
• The company reported a 40.9% year-over-year revenue increase at $3.10 million, although it missed EPS estimates with a loss of ($0.08) per share, suggesting ongoing financial challenges amid growth.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report) shares gapped down before the market opened on Monday . The stock had previously closed at $26.88, but opened at $24.49. D-Wave Quantum shares last traded at $25.36, with a volume of 31,096,385 shares changing hands.

Analysts Set New Price Targets

QBTS has been the topic of a number of analyst reports. Roth Capital reiterated a "buy" rating on shares of D-Wave Quantum in a research report on Friday, June 13th. Piper Sandler increased their price objective on shares of D-Wave Quantum from $13.00 to $22.00 and gave the stock an "overweight" rating in a research note on Friday, August 8th. Wall Street Zen lowered shares of D-Wave Quantum from a "hold" rating to a "sell" rating in a report on Saturday, August 9th. Benchmark reaffirmed a "buy" rating and issued a $20.00 price objective on shares of D-Wave Quantum in a research report on Monday, August 4th. Finally, Rosenblatt Securities started coverage on shares of D-Wave Quantum in a research note on Tuesday, July 29th. They issued a "buy" rating and a $30.00 target price for the company. Eleven investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, D-Wave Quantum has a consensus rating of "Buy" and an average target price of $20.27.

D-Wave Quantum Stock Performance

The company has a quick ratio of 42.86, a current ratio of 42.99 and a debt-to-equity ratio of 0.05. The company has a market cap of $8.91 billion, a PE ratio of -24.81 and a beta of 1.40. The stock's 50 day simple moving average is $17.40 and its two-hundred day simple moving average is $13.53.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The company reported ($0.08) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by ($0.03). The firm had revenue of $3.10 million during the quarter, compared to analyst estimates of $2.55 million. D-Wave Quantum had a negative net margin of 1,263.92% and a negative return on equity of 118.87%. The firm's revenue for the quarter was up 40.9% compared to the same quarter last year. As a group, research analysts anticipate that D-Wave Quantum Inc. will post -0.41 earnings per share for the current year.

Insider Buying and Selling

In other D-Wave Quantum news, Director John D. Dilullo sold 8,000 shares of the firm's stock in a transaction dated Monday, September 15th. The stock was sold at an average price of $17.93, for a total transaction of $143,440.00. Following the completion of the sale, the director directly owned 36,295 shares in the company, valued at approximately $650,769.35. This trade represents a 18.06% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO John M. Markovich sold 100,000 shares of the firm's stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $18.00, for a total value of $1,800,000.00. Following the completion of the transaction, the chief financial officer directly owned 1,558,753 shares in the company, valued at $28,057,554. The trade was a 6.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 168,000 shares of company stock valued at $2,937,740. 3.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On D-Wave Quantum

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Vontobel Holding Ltd. increased its holdings in shares of D-Wave Quantum by 786.8% in the first quarter. Vontobel Holding Ltd. now owns 110,850 shares of the company's stock worth $842,000 after acquiring an additional 98,350 shares in the last quarter. Kingswood Wealth Advisors LLC bought a new position in D-Wave Quantum during the 1st quarter worth $167,000. Swiss National Bank bought a new position in shares of D-Wave Quantum in the 1st quarter valued at $3,532,000. Bouvel Investment Partners LLC bought a new position in shares of D-Wave Quantum in the 2nd quarter valued at $2,145,000. Finally, Verity Asset Management Inc. acquired a new stake in shares of D-Wave Quantum during the 1st quarter valued at $251,000. Institutional investors and hedge funds own 42.47% of the company's stock.

D-Wave Quantum Company Profile

D-Wave Quantum Inc develops and delivers quantum computing systems, software, and services worldwide. The company offers Advantage, a fifth-generation quantum computer; Ocean, a suite of open-source python tools; and Leap, a cloud-based service that provides real-time access to a live quantum computer, as well as access to Advantage, hybrid solvers, the Ocean software development kit, live code, demos, learning resources, and a vibrant developer community.

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