D-Wave Quantum (NYSE:QBTS) Shares Up 1.2% - Should You Buy?

Key Points

• D-Wave Quantum's stock price increased by 1.2%, closing at $16.05, despite an 86% decline in trading volume compared to its average.
• Several analysts have upgraded their ratings for D-Wave Quantum, with a consensus target price of $19.27 and 11 analysts rating the stock as a “Buy”.
• The company reported revenue of $3.10 million for the last quarter, a 40.9% increase year-over-year, although it missed EPS estimates.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report)'s share price traded up 1.2% during trading on Wednesday . The stock traded as high as $16.10 and last traded at $16.05. 8,971,871 shares traded hands during trading, a decline of 86% from the average session volume of 65,481,707 shares. The stock had previously closed at $15.85.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on QBTS shares. Piper Sandler boosted their price target on D-Wave Quantum from $13.00 to $22.00 and gave the company an "overweight" rating in a report on Friday, August 8th. Roth Capital reiterated a "buy" rating on shares of D-Wave Quantum in a research note on Friday, June 13th. B. Riley increased their price target on shares of D-Wave Quantum from $20.00 to $22.00 and gave the stock a "buy" rating in a report on Wednesday, July 23rd. Benchmark restated a "buy" rating and set a $20.00 price target on shares of D-Wave Quantum in a research report on Monday, August 4th. Finally, Needham & Company LLC reiterated a "buy" rating on shares of D-Wave Quantum in a research report on Monday, August 4th. Eleven research analysts have rated the stock with a Buy rating, According to MarketBeat.com, D-Wave Quantum presently has an average rating of "Buy" and an average target price of $19.27.

D-Wave Quantum Trading Up 0.5%

The company has a fifty day moving average of $16.72 and a 200-day moving average of $12.55. 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 company has a market capitalization of $5.25 billion, a price-to-earnings ratio of -14.63 and a beta of 1.39.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported ($0.08) EPS for the quarter, missing analysts' consensus estimates of ($0.05) by ($0.03). The firm had revenue of $3.10 million for 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%. D-Wave Quantum's quarterly revenue was up 40.9% compared to the same quarter last year. As a group, equities research analysts anticipate that D-Wave Quantum Inc. will post -0.41 earnings per share for the current fiscal year.

Insider Buying and Selling

In other D-Wave Quantum news, Director John D. Dilullo sold 22,000 shares of D-Wave Quantum stock in a transaction on Friday, June 13th. The shares were sold at an average price of $15.12, for a total transaction of $332,640.00. Following the sale, the director owned 59,295 shares of the company's stock, valued at $896,540.40. The trade was a 27.06% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Rohit Ghai sold 43,517 shares of the firm's stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $16.80, for a total transaction 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 represents a 42.96% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 378,787 shares of company stock worth $6,389,513 in the last ninety days. Company insiders own 3.20% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Osaic Holdings Inc. grew its position in shares of D-Wave Quantum by 125.7% in the second quarter. Osaic Holdings Inc. now owns 247,004 shares of the company's stock valued at $3,616,000 after purchasing an additional 137,549 shares in the last quarter. Orion Porfolio Solutions LLC acquired a new position in D-Wave Quantum during the second quarter worth $818,000. B. Riley Wealth Advisors Inc. purchased a new stake in D-Wave Quantum in the 2nd quarter valued at $203,000. Marex Group plc purchased a new stake in D-Wave Quantum in the 2nd quarter valued at $80,070,000. Finally, Advisory Services Network LLC acquired a new stake in shares of D-Wave Quantum in the 2nd quarter worth $554,000. 42.47% of the stock is currently owned by institutional investors and hedge funds.

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.