Quantum Computing (NASDAQ:QUBT) Trading Down 5.5% - Time to Sell?

Key Points

• Quantum Computing Inc. shares fell by 5.5% to a trading price of $14.05, marking a significant drop in trading volume, which was down 78% compared to the average session.
• Analysts have upgraded and downgraded the stock with ratings ranging from a "strong sell" to a "buy," with an average consensus target price of $18.50.
• Insider trading activity has seen significant sales, with key executives offloading over 519,000 shares in recent months, representing a notable decrease in their ownership stakes.

Quantum Computing Inc. (NASDAQ:QUBT - Get Free Report) shares dropped 5.5% during mid-day trading on Wednesday . The company traded as low as $13.72 and last traded at $14.05. Approximately 5,329,851 shares were traded during mid-day trading, a decline of 78% from the average daily volume of 24,063,283 shares. The stock had previously closed at $14.86.

Wall Street Analysts Forecast Growth

QUBT has been the subject of a number of research reports. Cantor Fitzgerald began coverage on Quantum Computing in a report on Wednesday, July 2nd. They issued a "neutral" rating and a $15.00 price objective for the company. Ascendiant Capital Markets upped their price target on Quantum Computing from $14.00 to $22.00 and gave the company a "buy" rating in a research report on Friday, June 6th. Finally, Wall Street Zen lowered Quantum Computing from a "hold" rating to a "strong sell" rating in a research report on Saturday, August 16th. One equities research analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $18.50.

Quantum Computing Price Performance

The company has a 50-day moving average of $17.42 and a two-hundred day moving average of $11.63. The company has a market capitalization of $2.53 billion, a PE ratio of -23.28 and a beta of 4.09.

Quantum Computing (NASDAQ:QUBT - Get Free Report) last posted its quarterly earnings results on Thursday, August 14th. The company reported ($0.06) EPS for the quarter, meeting analysts' consensus estimates of ($0.06). The business had revenue of $0.06 million for the quarter, compared to the consensus estimate of $0.10 million.

Insider Transactions at Quantum Computing

In other news, CFO Christopher Boehmler sold 46,440 shares of Quantum Computing stock in a transaction dated Thursday, June 12th. The stock was sold at an average price of $20.00, for a total value of $928,800.00. Following the sale, the chief financial officer directly owned 351,152 shares of the company's stock, valued at approximately $7,023,040. The trade was a 11.68% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Michael C. Turmelle sold 200,986 shares of Quantum Computing stock in a transaction dated Monday, June 9th. The stock was sold at an average price of $14.18, for a total value of $2,849,981.48. The disclosure for this sale can be found here. Over the last three months, insiders have sold 519,871 shares of company stock worth $8,369,064. Insiders own 19.30% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in QUBT. Rhumbline Advisers purchased a new position in Quantum Computing in the first quarter worth about $28,000. Nisa Investment Advisors LLC purchased a new position in Quantum Computing in the second quarter worth about $28,000. Thurston Springer Miller Herd & Titak Inc. purchased a new position in Quantum Computing in the second quarter worth about $29,000. Tower Research Capital LLC TRC purchased a new position in Quantum Computing in the fourth quarter worth about $30,000. Finally, Hollencrest Capital Management grew its position in Quantum Computing by 60.0% in the first quarter. Hollencrest Capital Management now owns 4,000 shares of the company's stock worth $32,000 after acquiring an additional 1,500 shares in the last quarter. Hedge funds and other institutional investors own 4.26% of the company's stock.

Quantum Computing Company Profile

Quantum Computing Inc, an integrated photonics company, offers accessible and affordable quantum machines. The company offers Dirac systems are portable, low power, and room temperature qubit and qudit entropy quantum computers (EQC); reservoir computing; remote sensing; and single photon imaging. It also provides Quantum random number generator (uQRNG), a portable device that provides genuine random numbers directly from quantum processes; and quantum authentication which eliminates vulnerabilities inherent in classical cryptographic schemes by offering a comprehensive entanglement-based quantum cyber solution that seamlessly integrates into existing telecom fiber and communication infrastructure.