D-Wave Quantum (NYSE:QBTS) Trading Down 4.1% - Here's What Happened

Key Points

• D-Wave Quantum Inc. experienced a 4.1% decline in stock price during mid-day trading, with shares trading between $32.51 and $34.26.
• Analysts have given D-Wave a consensus rating of "Moderate Buy" with a price target averaging $20.27, while recent reports show a mix of upgrades and downgrades among various firms.
• D-Wave's latest quarterly earnings report indicated a revenue of $3.10 million, surpassing estimates, but the company reported a loss missing EPS expectations by $0.03.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report) was down 4.1% during mid-day trading on Wednesday . The stock traded as low as $32.51 and last traded at $34.26. Approximately 83,255,377 shares were traded during mid-day trading, an increase of 28% from the average daily volume of 65,084,738 shares. The stock had previously closed at $35.72.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on QBTS shares. Rosenblatt Securities started coverage on shares of D-Wave Quantum in a research report on Tuesday, July 29th. They issued a "buy" rating and a $30.00 target price on the stock. Needham & Company LLC reiterated a "buy" rating on shares of D-Wave Quantum in a research report on Monday, August 4th. Zacks Research downgraded shares of D-Wave Quantum from a "hold" rating to a "strong sell" rating in a research note on Monday. B. Riley raised their price target on shares of D-Wave Quantum from $22.00 to $33.00 and gave the stock a "buy" rating in a research note on Monday, September 22nd. Finally, Stifel Nicolaus began 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 on the stock. Eleven equities research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $20.27.

D-Wave Quantum Stock Down 4.1%

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 stock has a market cap of $11.72 billion, a price-to-earnings ratio of -32.63 and a beta of 1.49. The business's fifty day moving average is $19.88 and its two-hundred day moving average is $15.20.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported ($0.08) 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 firm 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% on a year-over-year basis. Equities analysts forecast that D-Wave Quantum Inc. will post -0.41 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other D-Wave Quantum news, Director Rohit Ghai sold 10,000 shares of the company's stock in a transaction on Monday, September 15th. The shares were sold at an average price of $17.93, for a total transaction of $179,300.00. Following the completion of the transaction, the director owned 47,778 shares in the company, valued at approximately $856,659.54. This represents a 17.31% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO John M. Markovich sold 100,000 shares of the company's 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 of the company's stock, valued at approximately $28,057,554. The trade was a 6.03% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 168,000 shares of company stock worth $2,937,740. 3.20% of the stock is owned by insiders.

Hedge Funds Weigh In On D-Wave Quantum

Institutional investors and hedge funds have recently made changes to their positions in the stock. GAMMA Investing LLC grew its stake in shares of D-Wave Quantum by 34.6% during the 3rd quarter. GAMMA Investing LLC now owns 1,874 shares of the company's stock worth $46,000 after purchasing an additional 482 shares during the period. Reyes Financial Architecture Inc. acquired a new position in shares of D-Wave Quantum during the 2nd quarter worth $29,000. Atlantic Union Bankshares Corp acquired a new position in shares of D-Wave Quantum during the 2nd quarter worth $29,000. Parallel Advisors LLC grew its stake in shares of D-Wave Quantum by 227.3% during the 2nd quarter. Parallel Advisors LLC now owns 2,206 shares of the company's stock worth $32,000 after purchasing an additional 1,532 shares during the period. Finally, Gables Capital Management Inc. acquired a new position in shares of D-Wave Quantum during the 2nd quarter worth $37,000. 42.47% of the stock is 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.

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