D-Wave Quantum Inc. $QBTS Shares Purchased by Federated Hermes Inc.

Key Points

• Federated Hermes massively increased its stake in D‑Wave, adding 184,288 shares in Q3 (a 259,560.6% increase) and now owns 184,359 shares worth about $4.56 million (0.05% of the company).
• Analysts are broadly positive: D‑Wave has a consensus rating of “Moderate Buy” with an average price target of $38.21 and multiple firms (Cantor Fitzgerald, Needham, Jefferies, Mizuho) issuing $40–$48 targets or buy/outperform ratings.
• Recent results show revenue growth (Q revenue $3.74M, +105.6% YoY) and an EPS beat (-$0.05 vs. -$0.07), but the company remains unprofitable with negative margins, while insiders sold roughly 2.35M shares in the last quarter.

Federated Hermes Inc. increased its position in shares of D-Wave Quantum Inc. (NYSE:QBTS - Free Report) by 259,560.6% during the third quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 184,359 shares of the company's stock after buying an additional 184,288 shares during the period. Federated Hermes Inc. owned 0.05% of D-Wave Quantum worth $4,556,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Baird Financial Group Inc. raised its position in shares of D-Wave Quantum by 12.0% in the first quarter. Baird Financial Group Inc. now owns 12,135 shares of the company's stock worth $92,000 after acquiring an additional 1,300 shares during the period. Royal Bank of Canada increased its stake in shares of D-Wave Quantum by 59.8% in the 1st quarter. Royal Bank of Canada now owns 162,088 shares of the company's stock valued at $1,231,000 after purchasing an additional 60,668 shares in the last quarter. AQR Capital Management LLC increased its stake in shares of D-Wave Quantum by 201.0% in the 1st quarter. AQR Capital Management LLC now owns 200,765 shares of the company's stock valued at $1,526,000 after purchasing an additional 134,066 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in D-Wave Quantum by 93.4% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 108,572 shares of the company's stock worth $825,000 after purchasing an additional 52,437 shares during the period. Finally, NewEdge Advisors LLC boosted its position in D-Wave Quantum by 125.7% during the first quarter. NewEdge Advisors LLC now owns 43,786 shares of the company's stock worth $333,000 after purchasing an additional 24,382 shares in the last quarter. Institutional investors and hedge funds own 42.47% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on QBTS. Cantor Fitzgerald boosted their price objective on D-Wave Quantum from $20.00 to $40.00 and gave the company an "overweight" rating in a research report on Friday, November 7th. Weiss Ratings restated a "sell (d-)" rating on shares of D-Wave Quantum in a research report on Monday, December 29th. Needham & Company LLC reiterated a "buy" rating and issued a $48.00 target price on shares of D-Wave Quantum in a research report on Thursday, January 29th. Jefferies Financial Group initiated coverage on shares of D-Wave Quantum in a research note on Tuesday, December 16th. They set a "buy" rating and a $45.00 target price for the company. Finally, Mizuho assumed coverage on D-Wave Quantum in a report on Thursday, December 11th. They issued an "outperform" rating and a $46.00 price objective on the stock. Thirteen investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, D-Wave Quantum currently has a consensus rating of "Moderate Buy" and an average price target of $38.21.

D-Wave Quantum Stock Down 1.4%

Shares of NYSE QBTS opened at $20.92 on Tuesday. The stock has a market cap of $7.73 billion, a PE ratio of -15.49 and a beta of 1.56. The company has a current ratio of 54.68, a quick ratio of 54.49 and a debt-to-equity ratio of 0.05. D-Wave Quantum Inc. has a 12-month low of $4.45 and a 12-month high of $46.75. The company has a 50-day moving average of $26.40 and a 200 day moving average of $24.80.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last issued its earnings results on Thursday, November 6th. The company reported ($0.05) earnings per share for the quarter, topping the consensus estimate of ($0.07) by $0.02. D-Wave Quantum had a negative return on equity of 97.58% and a negative net margin of 1,651.81%.The business had revenue of $3.74 million for the quarter, compared to analysts' expectations of $3.03 million. The firm's quarterly revenue was up 105.6% on a year-over-year basis. As a group, sell-side analysts predict that D-Wave Quantum Inc. will post -0.41 EPS for the current fiscal year.

Insider Buying and Selling

In other D-Wave Quantum news, CEO Alan E. Baratz sold 35,013 shares of the firm's stock in a transaction on Wednesday, January 14th. The stock was sold at an average price of $28.06, for a total value of $982,464.78. Following the completion of the sale, the chief executive officer directly owned 2,598,150 shares of the company's stock, valued at $72,904,089. This trade represents a 1.33% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Kirstjen Nielsen sold 7,000 shares of D-Wave Quantum stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $22.62, for a total value of $158,340.00. Following the transaction, the director owned 112,673 shares in the company, valued at approximately $2,548,663.26. This represents a 5.85% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 2,346,916 shares of company stock worth $65,591,314 over the last quarter. Corporate insiders own 3.20% of the company's stock.

D-Wave Quantum Profile

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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