Quantum Computing (NASDAQ:QUBT) Shares Gap Up - Should You Buy?

Key Points

• Quantum Computing Inc. (NASDAQ:QUBT) shares gapped up from a previous close of $14.87 to an opening price of $16.81 before trading at $16.42 with a high trading volume of 14,770,985 shares.
• Recent analyst ratings show a mix of opinions, with two analysts issuing a Buy rating, while others have downgraded the stock, leading to an average rating of "Hold" and a target price of $26.33.
• CEO Yuping Huang sold 1,000,000 shares at approximately $14.41 each, resulting in a 4.49% decrease in his ownership, while insiders sold a total of 1,154,649 shares valued at about $16.8 million in recent months.

Quantum Computing Inc. (NASDAQ:QUBT - Get Free Report)'s stock price gapped up prior to trading on Thursday . The stock had previously closed at $14.87, but opened at $16.81. Quantum Computing shares last traded at $16.42, with a volume of 14,770,985 shares trading hands.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the company. Wall Street Zen downgraded Quantum Computing from a "hold" rating to a "strong sell" rating in a research report on Saturday, August 16th. Cantor Fitzgerald assumed coverage on Quantum Computing in a research report on Wednesday, July 2nd. They issued a "neutral" rating and a $15.00 target price for the company. Lake Street Capital assumed coverage on Quantum Computing in a research report on Thursday, September 18th. They issued a "buy" rating and a $24.00 target price for the company. Weiss Ratings reiterated a "sell (e+)" rating on shares of Quantum Computing in a research report on Wednesday, October 8th. Finally, Ascendiant Capital Markets increased their target price on Quantum Computing from $22.00 to $40.00 and gave the company a "buy" rating in a research report on Friday, October 3rd. Two equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $26.33.

Quantum Computing Price Performance

The company has a market capitalization of $3.65 billion, a P/E ratio of -23.98 and a beta of 3.85. The stock has a 50-day moving average price of $17.83 and a 200-day moving average price of $14.88.

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

Insider Buying and Selling

In other news, CEO Yuping Huang sold 1,000,000 shares of the firm's stock in a transaction dated Thursday, September 4th. The stock was sold at an average price of $14.41, for a total transaction of $14,410,000.00. Following the completion of the transaction, the chief executive officer directly owned 21,287,718 shares in the company, valued at $306,756,016.38. This trade represents a 4.49% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Robert B. Fagenson sold 35,000 shares of the firm's stock in a transaction dated Wednesday, September 10th. The stock was sold at an average price of $15.52, for a total value of $543,200.00. Following the transaction, the director owned 50,000 shares of the company's stock, valued at $776,000. This trade represents a 41.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,154,649 shares of company stock valued at $16,805,481 over the last three months. 19.30% of the stock is owned by insiders.

Hedge Funds Weigh In On Quantum Computing

Hedge funds have recently made changes to their positions in the stock. KLP Kapitalforvaltning AS grew its stake in Quantum Computing by 39.0% during the third quarter. KLP Kapitalforvaltning AS now owns 37,800 shares of the company's stock worth $696,000 after purchasing an additional 10,600 shares during the period. Gladstone Institutional Advisory LLC grew its stake in Quantum Computing by 9.3% during the third quarter. Gladstone Institutional Advisory LLC now owns 12,975 shares of the company's stock worth $239,000 after purchasing an additional 1,100 shares during the period. Global Retirement Partners LLC grew its stake in Quantum Computing by 12.5% during the third quarter. Global Retirement Partners LLC now owns 10,055 shares of the company's stock worth $185,000 after purchasing an additional 1,115 shares during the period. Altus Wealth Group LLC acquired a new stake in Quantum Computing during the third quarter worth approximately $281,000. Finally, Vontobel Holding Ltd. acquired a new stake in Quantum Computing during the third quarter worth approximately $200,000. 4.26% of the stock is currently owned by institutional investors.

About Quantum Computing

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.

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