D-Wave Quantum (NYSE:QBTS) Trading Up 1.4% - Still a Buy?

Key Points

• D-Wave Quantum Inc. (NYSE: QBTS) shares saw a 1.4% increase, trading at $26.71 after reaching a high of $28.50, though overall volume decreased by 7% from the average session.
• Analysts generally have a positive outlook, with 11 rating the stock as a Buy and a consensus price target of $20.27, although Wall Street Zen recently lowered their rating to Sell.
• The company reported a 40.9% increase in quarterly revenue to $3.10 million, despite missing EPS estimates, indicating potential growth in the quantum computing market.

D-Wave Quantum Inc. (NYSE:QBTS - Get Free Report) shares traded up 1.4% during mid-day trading on Friday . The stock traded as high as $28.50 and last traded at $26.71. 60,389,175 shares changed hands during trading, a decline of 7% from the average session volume of 64,830,410 shares. The stock had previously closed at $26.34.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on the stock. Rosenblatt Securities started coverage on shares of D-Wave Quantum in a research report on Tuesday, July 29th. They set a "buy" rating and a $30.00 price target for the company. Needham & Company LLC reaffirmed a "buy" rating on shares of D-Wave Quantum in a research report on Monday, August 4th. Wall Street Zen lowered shares of D-Wave Quantum from a "hold" rating to a "sell" rating in a report on Saturday, August 9th. Canaccord Genuity Group assumed coverage on shares of D-Wave Quantum in a report on Wednesday, July 23rd. They issued a "buy" rating and a $20.00 price target on the stock. Finally, Cantor Fitzgerald started coverage on D-Wave Quantum in a report on Wednesday, July 2nd. They set an "overweight" rating and a $20.00 target price on the stock. Eleven investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock has an average rating of "Buy" and an average price target of $20.27.

D-Wave Quantum Price Performance

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 stock has a market capitalization of $9.13 billion, a price-to-earnings ratio of -25.43 and a beta of 1.39. The company has a 50-day simple moving average of $18.18 and a two-hundred day simple moving average of $14.01.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last released 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). The firm had revenue of $3.10 million for the quarter, compared to the consensus estimate of $2.55 million. D-Wave Quantum had a negative return on equity of 118.87% and a negative net margin of 1,263.92%.The business's quarterly revenue was up 40.9% compared to the same quarter last year. On average, equities research analysts predict that D-Wave Quantum Inc. will post -0.41 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Rohit Ghai sold 10,000 shares of the stock in a transaction on Monday, September 15th. The stock was sold at an average price of $17.93, for a total value of $179,300.00. Following the completion of the transaction, the director owned 47,778 shares of the company's stock, valued at approximately $856,659.54. This represents a 17.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CFO John M. Markovich sold 100,000 shares of D-Wave Quantum stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $18.00, for a total transaction of $1,800,000.00. Following the sale, the chief financial officer owned 1,558,753 shares in the company, valued at approximately $28,057,554. This represents a 6.03% decrease in their ownership of the stock. 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 company insiders.

Institutional Investors Weigh In On D-Wave Quantum

Hedge funds and other institutional investors have recently bought and sold shares of the business. bLong Financial LLC raised its position in shares of D-Wave Quantum by 2.3% during the second quarter. bLong Financial LLC now owns 24,643 shares of the company's stock worth $361,000 after purchasing an additional 551 shares during the period. Capital Advisory Group Advisory Services LLC increased its stake in D-Wave Quantum by 3.0% in the 2nd quarter. Capital Advisory Group Advisory Services LLC now owns 22,167 shares of the company's stock worth $325,000 after purchasing an additional 646 shares in the last quarter. Center for Financial Planning Inc. increased its stake in D-Wave Quantum by 23.6% in the 2nd quarter. Center for Financial Planning Inc. now owns 3,645 shares of the company's stock worth $53,000 after purchasing an additional 695 shares in the last quarter. Citizens Financial Group Inc. RI raised its holdings in D-Wave Quantum by 1.4% during the 2nd quarter. Citizens Financial Group Inc. RI now owns 79,327 shares of the company's stock worth $1,161,000 after buying an additional 1,081 shares during the period. Finally, Baird Financial Group Inc. lifted its stake in D-Wave Quantum by 12.0% during the first quarter. Baird Financial Group Inc. now owns 12,135 shares of the company's stock valued at $92,000 after buying an additional 1,300 shares in the last quarter. 42.47% of the stock is currently owned by institutional investors.

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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