IonQ (NYSE:IONQ) Trading 1.8% Higher - Here's Why

Key Points

• IonQ rose 1.8% to $36.42 in Friday trading, although volume was 29% below its average. The stock remains highly volatile, with a beta of 3.23 and a market capitalization of $13.59 billion.
• IonQ completed its acquisition of SkyWater Technology, giving it direct U.S. semiconductor-manufacturing capabilities and potentially strengthening its vertically integrated quantum-computing hardware roadmap.
• Investor focus is turning to IonQ’s expected August 5 earnings report after the company missed its latest EPS estimate despite revenue rising 754.7% year over year. Analysts maintain a “Moderate Buy” consensus with a $69.46 price target, but the company’s losses, high valuation and exposure to the broader quantum-sector sell-off remain risks.

IonQ, Inc. (NYSE:IONQ - Get Free Report) rose 1.8% during trading on Friday . The company traded as high as $37.65 and last traded at $36.42. 18,093,268 shares traded hands during mid-day trading, a decline of 29% from the average daily volume of 25,502,869 shares. The stock had previously closed at $35.77.

Key IonQ News

Here are the key news stories impacting IonQ this week:

• Positive Sentiment: IonQ completed its acquisition of SkyWater Technology, giving it direct access to domestic semiconductor-fabrication capabilities. Management says the combination will support a vertically integrated quantum platform spanning quantum foundry operations, advanced packaging and manufacturing. IonQ Completes Acquisition of SkyWater Technology
• Positive Sentiment: The SkyWater deal could improve IonQ’s hardware roadmap by reducing reliance on outside chip suppliers and strengthening its position in the U.S. quantum ecosystem. Wedbush viewed regulatory approval for the transaction as a potential roadmap improvement. Wedbush on IonQ’s SkyWater acquisition
• Positive Sentiment: Some analysts and commentators remain bullish on IonQ’s trapped-ion technology and cite its accuracy advantage over certain competitors. That optimism, combined with the acquisition, is helping frame IonQ as one of the stronger long-term quantum-computing candidates. IonQ bullish stance and rating upgrade
• Neutral Sentiment: IonQ is among the most heavily searched stocks on Zacks, indicating heightened investor interest but not necessarily a change in the company’s fundamentals. Investors heavily search IonQ
• Negative Sentiment: Investors are also looking ahead to IonQ’s expected second-quarter earnings report on August 5. The event could intensify volatility, particularly after the company’s latest quarterly earnings-per-share miss despite strong revenue growth.
• Negative Sentiment: The broader quantum-computing and technology sectors remain under pressure after a significant sell-off. IonQ’s high valuation, continued losses and highly speculative profile leave the stock vulnerable if earnings, guidance or acquisition integration do not meet expectations. Quantum earnings and sector sell-off

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on IONQ shares. Weiss Ratings raised shares of IonQ from a "sell (d-)" rating to a "sell (d+)" rating in a report on Monday, May 11th. Rosenblatt Securities reissued a "buy" rating and set a $100.00 price target on shares of IonQ in a research report on Thursday, June 11th. Northland Securities boosted their price target on shares of IonQ from $55.00 to $70.00 and gave the stock an "outperform" rating in a report on Monday, June 22nd. Morgan Stanley set a $48.50 price objective on shares of IonQ in a research report on Thursday, May 7th. Finally, Wedbush reiterated an "outperform" rating and issued a $60.00 price objective on shares of IonQ in a research note on Monday, May 4th. One investment analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $69.46.

IonQ Trading Up 1.8%

The business's fifty day moving average is $51.11 and its 200 day moving average is $43.68. The company has a market cap of $13.59 billion, a P/E ratio of -130.07 and a beta of 3.23.

IonQ (NYSE:IONQ - Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The company reported ($0.34) earnings per share for the quarter, missing the consensus estimate of ($0.26) by ($0.08). IonQ had a net margin of 174.88% and a negative return on equity of 23.20%. The firm had revenue of $64.67 million for the quarter, compared to the consensus estimate of $49.75 million. During the same period last year, the company posted ($0.14) earnings per share. IonQ's revenue for the quarter was up 754.7% on a year-over-year basis. As a group, research analysts expect that IonQ, Inc. will post -2.26 EPS for the current fiscal year.

Insider Transactions at IonQ

In other news, insider Robert T. Cardillo sold 3,773 shares of the stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $49.90, for a total transaction of $188,272.70. Following the completion of the transaction, the insider owned 139,967 shares in the company, valued at approximately $6,984,353.30. This represents a 2.62% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider John W. Raymond sold 3,815 shares of the business's stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $55.01, for a total value of $209,863.15. Following the completion of the sale, the insider owned 80,148 shares in the company, valued at $4,408,941.48. This represents a 4.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 13,102 shares of company stock worth $701,489 over the last 90 days. 0.55% of the stock is owned by insiders.

Institutional Trading of IonQ

Several institutional investors and hedge funds have recently modified their holdings of IONQ. Beaird Harris Wealth Management LLC grew its stake in shares of IonQ by 117.4% during the third quarter. Beaird Harris Wealth Management LLC now owns 500 shares of the company's stock valued at $31,000 after buying an additional 270 shares during the last quarter. Accent Capital Management LLC increased its position in IonQ by 171.8% during the 4th quarter. Accent Capital Management LLC now owns 587 shares of the company's stock valued at $26,000 after purchasing an additional 371 shares during the period. Kelleher Financial Advisors bought a new position in IonQ in the third quarter worth about $36,000. Fortitude Family Office LLC raised its position in shares of IonQ by 3,800.0% in the 4th quarter. Fortitude Family Office LLC now owns 624 shares of the company's stock worth $28,000 after acquiring an additional 608 shares in the last quarter. Finally, Banque Transatlantique SA bought a new position in IonQ in the third quarter worth $43,000. Hedge funds and other institutional investors own 41.42% of the company's stock.

IonQ Company Profile

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. It also provides contracts associated with the design, development, and construction of specialized quantum computing hardware systems; maintenance and support services; and consulting services related to co-developing algorithms on quantum computing systems.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.