D-Wave Quantum (NYSE:QBTS) Shares Gap Up - Here's Why

Key Points

• D-Wave Quantum (NYSE:QBTS) experienced a significant stock price increase, closing at $31.07 after opening at $30.60, up from a previous close of $29.21.
• Analysts show a positive outlook with 11 "buy" ratings and a consensus target price of $20.27, though Weiss Ratings has issued a "sell" rating.
• The company's revenue rose 40.9% year-over-year, totaling $3.10 million for the quarter, despite a reported loss per share of ($0.08) that missed expectations.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report)'s stock price gapped up before the market opened on Friday . The stock had previously closed at $29.21, but opened at $30.60. D-Wave Quantum shares last traded at $31.07, with a volume of 22,122,054 shares.

Wall Street Analysts Forecast Growth

QBTS has been the subject of several analyst reports. B. Riley raised their target price on shares of D-Wave Quantum from $22.00 to $33.00 and gave the company a "buy" rating in a research note on Monday, September 22nd. Stifel Nicolaus assumed coverage on shares of D-Wave Quantum in a research note on Tuesday, August 5th. They issued a "buy" rating and a $26.00 price target for the company. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of D-Wave Quantum in a report on Saturday, September 27th. Roth Capital reissued a "buy" rating on shares of D-Wave Quantum in a research report on Friday, June 13th. Finally, Canaccord Genuity Group initiated coverage on D-Wave Quantum in a research note on Wednesday, July 23rd. They set a "buy" rating and a $20.00 target price for the company. Eleven analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, D-Wave Quantum has a consensus rating of "Moderate Buy" and an average target price of $20.27.

D-Wave Quantum Trading Up 12.0%

The company has a debt-to-equity ratio of 0.05, a current ratio of 42.99 and a quick ratio of 42.86. The business's 50-day moving average price is $18.91 and its two-hundred day moving average price is $14.64. The company has a market capitalization of $11.19 billion, a price-to-earnings ratio of -31.16 and a beta of 1.49.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last posted its quarterly earnings data on Thursday, August 7th. The company reported ($0.08) EPS for the quarter, missing analysts' consensus estimates of ($0.05) by ($0.03). D-Wave Quantum had a negative return on equity of 118.87% and a negative net margin of 1,263.92%.The company had revenue of $3.10 million for the quarter, compared to the consensus estimate of $2.55 million. The business's revenue was up 40.9% on a year-over-year basis. Research analysts predict 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, CFO John M. Markovich sold 50,000 shares of the firm's stock in a transaction on Thursday, September 11th. The stock was sold at an average price of $16.30, for a total value of $815,000.00. Following the sale, the chief financial officer owned 1,599,511 shares of the company's stock, valued at approximately $26,072,029.30. This trade represents a 3.03% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director John D. Dilullo sold 8,000 shares of the firm's stock in a transaction on Monday, September 15th. The shares were sold at an average price of $17.93, for a total value 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 represents a 18.06% decrease in their position. The disclosure for this sale can be found here. Insiders sold 168,000 shares of company stock valued at $2,937,740 over the last quarter. 3.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On D-Wave Quantum

Several institutional investors and hedge funds have recently added to or reduced their stakes in QBTS. GAMMA Investing LLC lifted its holdings in D-Wave Quantum by 4,019.5% during the 1st quarter. GAMMA Investing LLC now owns 10,587 shares of the company's stock worth $80,000 after buying an additional 10,330 shares during the period. Rhumbline Advisers raised its position in shares of D-Wave Quantum by 81.8% during the first quarter. Rhumbline Advisers now owns 242,515 shares of the company's stock worth $1,843,000 after acquiring an additional 109,110 shares during the last quarter. Veracity Capital LLC raised its position in shares of D-Wave Quantum by 9.3% during the first quarter. Veracity Capital LLC now owns 29,725 shares of the company's stock worth $226,000 after acquiring an additional 2,532 shares during the last quarter. Patriot Financial Group Insurance Agency LLC raised its position in shares of D-Wave Quantum by 52.1% in the 1st quarter. Patriot Financial Group Insurance Agency LLC now owns 88,363 shares of the company's stock worth $672,000 after acquiring an additional 30,263 shares in the last quarter. Finally, Yarbrough Capital LLC acquired a new stake in D-Wave Quantum during the first quarter worth approximately $920,000. 42.47% of the stock is currently owned by institutional investors and hedge funds.

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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