Quantum Computing (NASDAQ:QUBT) Trading Down 7.4% - Should You Sell?

Key Points

• Quantum Computing Inc. (NASDAQ:QUBT) shares have seen a significant decline of 7.4%, trading between $15.55 and $16.00, with an increased trading volume of 45,795,042 shares.
• Analysts' ratings vary, with Cantor Fitzgerald giving a "neutral" rating and a price target of $15.00, while Ascendiant Capital Markets raised their target from $22.00 to $40.00 with a "buy" recommendation.
• Insider activity shows significant selling, including a CEO sale of 1,000,000 shares valued at approximately $14.41 each, indicating potential concerns from leadership regarding the stock's future performance.

Quantum Computing Inc. (NASDAQ:QUBT - Get Free Report) shares traded down 7.4% during mid-day trading on Tuesday . The stock traded as low as $15.55 and last traded at $16.00. 45,795,042 shares traded hands during mid-day trading, an increase of 69% from the average session volume of 27,136,908 shares. The stock had previously closed at $17.28.

Wall Street Analyst Weigh In

Several brokerages have recently commented on QUBT. Cantor Fitzgerald started coverage on shares of Quantum Computing in a research report on Wednesday, July 2nd. They set a "neutral" rating and a $15.00 price objective for the company. Ascendiant Capital Markets lifted their price target on shares of Quantum Computing from $22.00 to $40.00 and gave the company a "buy" rating in a research note on Friday, October 3rd. Weiss Ratings reissued a "sell (e+)" rating on shares of Quantum Computing in a research report on Wednesday, October 8th. Lake Street Capital started 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. Finally, Wall Street Zen lowered Quantum Computing from a "hold" rating to a "strong sell" rating in a report on Saturday, August 16th. Two research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $26.33.

Quantum Computing Stock Performance

The stock has a market cap of $3.59 billion, a PE ratio of -23.53 and a beta of 3.85. The company's 50-day moving average price is $17.86 and its two-hundred day moving average price is $14.88.

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

Insider Buying and Selling at Quantum Computing

In other Quantum Computing news, Director Javad Shabani sold 20,000 shares of the business's stock in a transaction on Friday, September 5th. The shares were sold at an average price of $15.30, for a total value of $306,000.00. Following the completion of the sale, the director directly owned 17,474 shares of the company's stock, valued at $267,352.20. The trade was a 53.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Yuping Huang sold 1,000,000 shares of the company's stock in a transaction dated Thursday, September 4th. The shares were sold at an average price of $14.41, for a total transaction of $14,410,000.00. Following the sale, the chief executive officer owned 21,287,718 shares of the company's stock, valued at approximately $306,756,016.38. The trade was a 4.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 1,154,649 shares of company stock valued at $16,805,481. 19.30% of the stock is owned by insiders.

Hedge Funds Weigh In On Quantum Computing

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Cambridge Investment Research Advisors Inc. lifted its position in Quantum Computing by 159.6% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 33,724 shares of the company's stock valued at $270,000 after purchasing an additional 20,731 shares during the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in Quantum Computing during the 1st quarter valued at $798,000. Teacher Retirement System of Texas bought a new stake in Quantum Computing during the 1st quarter valued at $136,000. Vanguard Group Inc. boosted its position in Quantum Computing by 24.0% during the 1st quarter. Vanguard Group Inc. now owns 5,191,404 shares of the company's stock valued at $41,531,000 after buying an additional 1,004,675 shares during the period. Finally, Swiss National Bank bought a new stake in Quantum Computing in the 1st quarter worth $1,806,000. 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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