Clear Street Group Inc. Acquires 1,232,106 Shares of D-Wave Quantum Inc. $QBTS

Key Points

• Clear Street Group increased its D-Wave Quantum stake by 40.4% in the fourth quarter, buying 1.23 million more shares and bringing its total holding to 4.28 million shares worth about $112 million.
• Institutional interest in QBTS remains strong overall, with several major funds also adding shares and institutional investors now owning 42.47% of the stock.
• Despite bullish analyst ratings and a consensus Moderate Buy with a $36.40 price target, insider selling has weighed on sentiment, including large recent sales by CEO Alan Baratz and CFO John Markovich.

Clear Street Group Inc. raised its holdings in D-Wave Quantum Inc. (NYSE:QBTS - Free Report) by 40.4% in the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 4,281,254 shares of the company's stock after acquiring an additional 1,232,106 shares during the quarter. D-Wave Quantum comprises approximately 0.4% of Clear Street Group Inc.'s holdings, making the stock its 17th largest position. Clear Street Group Inc. owned about 1.16% of D-Wave Quantum worth $111,955,000 at the end of the most recent quarter.

Several other large investors also recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its holdings in shares of D-Wave Quantum by 41.2% during the 3rd quarter. Vanguard Group Inc. now owns 38,454,869 shares of the company's stock valued at $950,220,000 after purchasing an additional 11,218,255 shares in the last quarter. UBS Group AG lifted its stake in shares of D-Wave Quantum by 541.6% in the 3rd quarter. UBS Group AG now owns 12,089,703 shares of the company's stock valued at $298,737,000 after purchasing an additional 10,205,427 shares during the last quarter. Northwestern Mutual Wealth Management Co. boosted its holdings in D-Wave Quantum by 136,842.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,194,866 shares of the company's stock worth $83,546,000 after purchasing an additional 3,192,533 shares in the last quarter. Goldman Sachs Group Inc. boosted its holdings in D-Wave Quantum by 311.6% in the fourth quarter. Goldman Sachs Group Inc. now owns 3,548,013 shares of the company's stock worth $92,781,000 after purchasing an additional 2,685,980 shares in the last quarter. Finally, Marex Group plc increased its position in D-Wave Quantum by 74.9% during the fourth quarter. Marex Group plc now owns 4,592,656 shares of the company's stock worth $120,098,000 after buying an additional 1,966,500 shares during the last quarter. 42.47% of the stock is owned by institutional investors.

Analyst Ratings Changes

QBTS has been the topic of several recent research reports. Needham & Company LLC restated a "buy" rating and set a $40.00 target price on shares of D-Wave Quantum in a report on Tuesday, June 2nd. Northland Securities assumed coverage on D-Wave Quantum in a research note on Monday, April 20th. They set a "market perform" rating and a $22.00 price target for the company. B. Riley Financial increased their price objective on D-Wave Quantum from $36.00 to $40.00 and gave the company a "buy" rating in a report on Tuesday, June 2nd. Weiss Ratings downgraded D-Wave Quantum from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Wednesday, April 29th. Finally, Canaccord Genuity Group reduced their target price on D-Wave Quantum from $43.00 to $41.00 and set a "buy" rating for the company in a report on Wednesday, May 13th. Fourteen investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, D-Wave Quantum has a consensus rating of "Moderate Buy" and a consensus price target of $36.40.

Insider Buying and Selling at D-Wave Quantum

In related news, CEO Alan E. Baratz sold 687,627 shares of the stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $26.13, for a total transaction of $17,967,693.51. Following the completion of the sale, the chief executive officer owned 3,299,771 shares in the company, valued at $86,223,016.23. This represents a 17.25% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO John M. Markovich sold 328,752 shares of D-Wave Quantum stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $27.70, for a total value of $9,106,430.40. Following the completion of the transaction, the chief financial officer directly owned 1,442,820 shares in the company, valued at approximately $39,966,114. This represents a 18.56% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,114,281 shares of company stock worth $29,374,353 in the last ninety days. 1.30% of the stock is owned by insiders.

Key Headlines Impacting D-Wave Quantum

Here are the key news stories impacting D-Wave Quantum this week:

• Positive Sentiment: D-Wave is pushing deeper into new commercial use cases, including a live quantum-classical testnet with Postquant Labs and reported early gains in drug discovery work with Shionogi, which supports the bull case for longer-term revenue growth. Are AI and Blockchain Shaping D-Wave's Next Growth Phase?
• Positive Sentiment: Analysts remain constructive, with Rosenblatt reaffirming a Buy rating and a $43 price target, suggesting Wall Street still sees meaningful upside from current levels. D-Wave Quantum (QBTS) Stock Valuation Gap Weighs Long-Term Momentum Against Recent Weakness
• Positive Sentiment: Broader coverage around governments accelerating quantum spending and enterprise adoption is keeping attention on the sector and could help sentiment toward quantum leaders like QBTS. The Quantum Race Is Heating Up, and Governments Worldwide Are Buying In
• Neutral Sentiment: CEO Alan Baratz discussed D-Wave’s quantum roadmap and enterprise adoption on NYSE Live, reinforcing the company’s long-term narrative but without a clear near-term financial catalyst. D-Wave CEO Dr. Alan Baratz Details the Quantum Roadmap and Enterprise Adoption
• Negative Sentiment: Insider selling is pressuring sentiment, especially after a large sale by CEO Alan Baratz and additional sales disclosed by CFO John Markovich, which may make investors question near-term confidence. Alan Baratz Sells 687,627 Shares of D-Wave Quantum NYSE: QBTS Stock
• Negative Sentiment: Commentary also points to a stretched valuation after the stock’s big run, with some investors wary that recent gains already price in a lot of future quantum optimism. D-Wave Quantum (QBTS) Stock Valuation Gap Weighs Long-Term Momentum Against Recent Weakness

D-Wave Quantum Stock Performance

Shares of QBTS opened at $23.40 on Friday. The company has a market capitalization of $8.66 billion, a PE ratio of -20.71 and a beta of 2.05. The company has a debt-to-equity ratio of 0.03, a current ratio of 21.41 and a quick ratio of 21.31. D-Wave Quantum Inc. has a one year low of $12.75 and a one year high of $46.75. The company's fifty day moving average price is $21.71 and its 200 day moving average price is $22.27.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last released its quarterly earnings results on Tuesday, May 12th. The company reported ($0.05) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.08) by $0.03. The company had revenue of $2.86 million during the quarter, compared to analysts' expectations of $4.19 million. D-Wave Quantum had a negative net margin of 2,957.23% and a negative return on equity of 44.06%. The business's quarterly revenue was down 80.9% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.02) earnings per share. As a group, analysts expect that D-Wave Quantum Inc. will post -0.43 earnings per share for the current year.

About D-Wave Quantum

D-Wave Quantum Inc NYSE: QBTS develops and provides quantum computing systems, software and services focused on quantum annealing technology. Headquartered in Burnaby, British Columbia, D-Wave designs specialized processors that leverage quantum mechanics to solve complex optimization and sampling problems. Since its founding in 1999 by physicists including Geordie Rose, the company has pursued the development of commercially viable quantum hardware and accompanying software tools.

The company's product portfolio centers on its quantum annealers, which are complemented by hybrid solvers that integrate classical and quantum computing resources.

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