IonQ (NYSE:IONQ) Shares Down 3.2% - Here's Why

Key Points

• IonQ's stock fell 3.2% to $41.61 with a significant drop in trading volume, indicating potential investor uncertainty.
• Several analysts have given IonQ a consensus rating of "Moderate Buy" with target prices differing from $35.00 to $55.00, showcasing mixed sentiments on the stock's future performance.
• Despite posting a negative EPS of ($0.70), IonQ's revenue for the quarter increased by 81.6% year-over-year, reaching $20.69 million, exceeding projections.

IonQ, Inc. (NYSE:IONQ - Get Free Report) dropped 3.2% during mid-day trading on Wednesday . The company traded as low as $41.23 and last traded at $41.61. Approximately 8,036,203 shares were traded during mid-day trading, a decline of 65% from the average daily volume of 23,001,584 shares. The stock had previously closed at $43.00.

Wall Street Analyst Weigh In

IONQ has been the topic of a number of recent research reports. Sanford C. Bernstein initiated coverage on shares of IonQ in a report on Wednesday, July 30th. They issued a "market perform" rating on the stock. DA Davidson cut IonQ from a "buy" rating to a "neutral" rating and set a $35.00 price target on the stock. in a report on Thursday, August 7th. Wolfe Research began coverage on IonQ in a report on Wednesday, July 30th. They set a "peer perform" rating on the stock. Benchmark lifted their price target on IonQ from $50.00 to $55.00 and gave the company a "buy" rating in a report on Monday, July 7th. Finally, Rosenblatt Securities began coverage on IonQ in a report on Tuesday, July 29th. They set a "buy" rating and a $70.00 price target on the stock. Five equities research analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $45.00.

IonQ Stock Down 1.9%

The firm has a market cap of $10.53 billion, a price-to-earnings ratio of -20.01 and a beta of 2.54. The stock's 50 day moving average is $41.72 and its 200 day moving average is $34.37.

IonQ (NYSE:IONQ - Get Free Report) last posted its quarterly earnings data on Wednesday, August 6th. The company reported ($0.70) EPS for the quarter, missing analysts' consensus estimates of ($0.13) by ($0.57). IonQ had a negative net margin of 885.21% and a negative return on equity of 67.11%. The company had revenue of $20.69 million for the quarter, compared to analyst estimates of $17.23 million. During the same quarter in the prior year, the business earned ($0.18) EPS. IonQ's revenue was up 81.6% compared to the same quarter last year. Analysts anticipate that IonQ, Inc. will post -0.86 earnings per share for the current fiscal year.

Insider Activity at IonQ

In other IonQ news, insider Peter Hume Chapman sold 3,581,193 shares of the company's stock in a transaction on Monday, June 16th. The stock was sold at an average price of $38.13, for a total value of $136,550,889.09. Following the transaction, the insider owned 390,329 shares of the company's stock, valued at approximately $14,883,244.77. This represents a 90.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Masi Niccolo De sold 2,597,500 shares of the company's stock in a transaction on Wednesday, June 11th. The shares were sold at an average price of $40.34, for a total value of $104,783,150.00. Following the completion of the transaction, the chief executive officer directly owned 711,987 shares in the company, valued at $28,721,555.58. This represents a 78.49% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 9,209,626 shares of company stock worth $361,253,723 over the last ninety days. Insiders own 5.20% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. TD Waterhouse Canada Inc. increased its holdings in shares of IonQ by 28.4% in the second quarter. TD Waterhouse Canada Inc. now owns 1,008 shares of the company's stock valued at $40,000 after buying an additional 223 shares in the last quarter. EverSource Wealth Advisors LLC grew its position in IonQ by 50.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 831 shares of the company's stock worth $36,000 after purchasing an additional 279 shares in the last quarter. Rothschild Investment LLC grew its position in IonQ by 12.2% during the 2nd quarter. Rothschild Investment LLC now owns 2,720 shares of the company's stock worth $117,000 after purchasing an additional 295 shares in the last quarter. Nisa Investment Advisors LLC grew its position in IonQ by 4.7% during the 2nd quarter. Nisa Investment Advisors LLC now owns 6,882 shares of the company's stock worth $296,000 after purchasing an additional 306 shares in the last quarter. Finally, Prospera Financial Services Inc grew its position in IonQ by 0.8% during the 2nd quarter. Prospera Financial Services Inc now owns 42,286 shares of the company's stock worth $1,817,000 after purchasing an additional 320 shares in the last quarter. Institutional investors own 41.42% of the company's stock.

About IonQ

IonQ, Inc engages in the development of general-purpose quantum computing systems in the United States. It sells access to quantum computers of various qubit capacities. The company makes access to its quantum computers through cloud platforms, such as Amazon Web Services (AWS) Amazon Braket, Microsoft's Azure Quantum, and Google's Cloud Marketplace, as well as through its cloud service.