D-Wave Quantum (NYSE:QBTS) Shares Up 6.9% - Time to Buy?

Key Points

• D-Wave Quantum's shares experienced a 6.9% increase in mid-day trading, reaching a price of $18.24, although overall trading volume decreased significantly by 79% from its average.
• Analyst ratings for QBTS are largely positive, with a consensus rating of "Buy" and an average price target of $16.70; Rosenblatt Securities notably set a price target of $30.00.
• Insiders have been selling shares, with Director Kirstjen Nielsen selling approximately 58,644 shares and CEO Alan E. Baratz selling 845,813 shares, leading to a combined decrease in ownership of over 900,000 shares.

Shares of D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report) were up 6.9% during trading on Thursday . The company traded as high as $18.42 and last traded at $18.24. Approximately 14,986,967 shares were traded during mid-day trading, a decline of 79% from the average daily volume of 70,094,547 shares. The stock had previously closed at $17.06.

Analysts Set New Price Targets

A number of research analysts have recently commented on QBTS shares. Roth Capital reissued a "buy" rating on shares of D-Wave Quantum in a report on Friday, June 13th. Needham & Company LLC increased their target price on shares of D-Wave Quantum from $8.50 to $13.00 and gave the stock a "buy" rating in a report on Friday, May 9th. Rosenblatt Securities initiated coverage on D-Wave Quantum in a report on Tuesday. They set a "buy" rating and a $30.00 price target on the stock. B. Riley boosted their price target on D-Wave Quantum from $20.00 to $22.00 and gave the stock a "buy" rating in a report on Wednesday, July 23rd. Finally, Williams Trading set a $20.00 price target on D-Wave Quantum in a report on Wednesday, June 18th. Ten investment analysts have rated the stock with a buy rating, According to data from MarketBeat.com, the stock has a consensus rating of "Buy" and a consensus target price of $16.70.

D-Wave Quantum Price Performance

The company has a fifty day moving average of $16.70 and a 200 day moving average of $10.70. The firm has a market capitalization of $4.79 billion, a P/E ratio of -27.32 and a beta of 1.41. The company has a debt-to-equity ratio of 0.15, a current ratio of 20.73 and a quick ratio of 20.61.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last announced its earnings results on Thursday, May 8th. The company reported ($0.02) EPS for the quarter, beating the consensus estimate of ($0.05) by $0.03. D-Wave Quantum had a negative return on equity of 227.95% and a negative net margin of 617.84%. The business had revenue of $15.00 million for the quarter, compared to analysts' expectations of $10.50 million. Sell-side analysts predict that D-Wave Quantum Inc. will post -0.41 earnings per share for the current year.

Insiders Place Their Bets

In other D-Wave Quantum news, CFO John M. Markovich sold 400,000 shares of D-Wave Quantum stock in a transaction that occurred on Wednesday, May 21st. The stock was sold at an average price of $17.30, for a total value of $6,920,000.00. Following the completion of the sale, the chief financial officer directly owned 1,577,944 shares in the company, valued at approximately $27,298,431.20. The trade was a 20.22% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Rohit Ghai sold 43,517 shares of the business's stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $16.80, for a total value of $731,085.60. Following the completion of the transaction, the director directly owned 57,778 shares in the company, valued at approximately $970,670.40. This trade represents a 42.96% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,636,796 shares of company stock valued at $27,872,091 over the last three months. Insiders own 3.20% of the company's stock.

Hedge Funds Weigh In On D-Wave Quantum

Institutional investors have recently added to or reduced their stakes in the business. Reyes Financial Architecture Inc. acquired a new position in D-Wave Quantum in the second quarter valued at approximately $29,000. Parallel Advisors LLC lifted its stake in D-Wave Quantum by 227.3% in the second quarter. Parallel Advisors LLC now owns 2,206 shares of the company's stock valued at $32,000 after buying an additional 1,532 shares during the period. Gables Capital Management Inc. acquired a new position in D-Wave Quantum in the second quarter valued at approximately $37,000. Fourth Dimension Wealth LLC acquired a new position in D-Wave Quantum in the fourth quarter valued at approximately $26,000. Finally, Russell Investments Group Ltd. lifted its stake in D-Wave Quantum by 133.9% in the first quarter. Russell Investments Group Ltd. now owns 5,528 shares of the company's stock valued at $42,000 after buying an additional 3,165 shares during the period. 42.47% of the stock is 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.