D-Wave Quantum (NYSE:QBTS) Shares Up 1.3% - Should You Buy?

Key Points

• D-Wave Quantum's shares increased by 1.3% to close at $16.37, despite an 83% decline in trading volume compared to its average session.
• Analysts have raised price targets for D-Wave Quantum, with a new average target of $19.27 and eleven analysts giving it a Buy rating.
• In its latest earnings report, D-Wave Quantum reported a 40.9% year-over-year increase in revenue to $3.1 million, but missed EPS estimates by $0.03.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report)'s share price shot up 1.3% on Wednesday . The stock traded as high as $16.37 and last traded at $16.37. 10,942,262 shares traded hands during trading, a decline of 83% from the average session volume of 64,455,684 shares. The stock had previously closed at $16.15.

Analysts Set New Price Targets

Several analysts recently commented on QBTS shares. Piper Sandler lifted their target price on shares of D-Wave Quantum from $13.00 to $22.00 and gave the stock an "overweight" rating in a report on Friday, August 8th. Rosenblatt Securities started coverage on shares of D-Wave Quantum in a report on Tuesday, July 29th. They set a "buy" rating and a $30.00 target price for the company. Roth Capital reaffirmed a "buy" rating on shares of D-Wave Quantum in a report on Friday, June 13th. Canaccord Genuity Group started coverage on shares of D-Wave Quantum in a report on Wednesday, July 23rd. They set a "buy" rating and a $20.00 target price for the company. Finally, Williams Trading set a $20.00 target price on shares of D-Wave Quantum in a report on Wednesday, June 18th. Eleven investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, D-Wave Quantum has an average rating of "Buy" and an average price target of $19.27.

D-Wave Quantum Stock Performance

The company has a current ratio of 42.99, a quick ratio of 42.86 and a debt-to-equity ratio of 0.05. The firm has a market capitalization of $5.46 billion, a price-to-earnings ratio of -15.23 and a beta of 1.39. The stock's 50-day moving average is $16.76 and its 200-day moving average is $12.66.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last announced its quarterly earnings results 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). 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 analyst estimates of $2.55 million. The company's revenue was up 40.9% compared to the same quarter last year. On average, analysts predict that D-Wave Quantum Inc. will post -0.41 EPS for the current fiscal year.

Insider Transactions at D-Wave Quantum

In related news, Director Roger Biscay sold 106,626 shares of D-Wave Quantum stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $16.85, for a total transaction of $1,796,648.10. Following the sale, the director directly owned 14,260 shares in the company, valued at $240,281. This trade represents a 88.20% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO John M. Markovich sold 100,000 shares of D-Wave Quantum stock in a transaction on Tuesday, August 12th. The stock was sold at an average price of $18.00, for a total transaction of $1,800,000.00. Following the transaction, the chief financial officer owned 1,558,753 shares in the company, valued at approximately $28,057,554. This trade represents a 6.03% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 378,787 shares of company stock valued at $6,389,513. 3.20% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in QBTS. Price T Rowe Associates Inc. MD raised its position in shares of D-Wave Quantum by 34.7% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 38,270 shares of the company's stock worth $322,000 after acquiring an additional 9,856 shares in the last quarter. The Manufacturers Life Insurance Company acquired a new stake in shares of D-Wave Quantum in the 4th quarter valued at about $279,000. Northern Trust Corp grew its stake in shares of D-Wave Quantum by 25.9% in the 4th quarter. Northern Trust Corp now owns 978,087 shares of the company's stock valued at $8,216,000 after buying an additional 201,091 shares during the period. Schonfeld Strategic Advisors LLC acquired a new stake in shares of D-Wave Quantum in the 4th quarter valued at about $224,000. Finally, Mercer Global Advisors Inc. ADV acquired a new stake in shares of D-Wave Quantum in the 4th quarter valued at about $158,000. 42.47% of the stock is owned by institutional investors.

About D-Wave Quantum

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.