D-Wave Quantum (NYSE:QBTS) Trading Down 2% – What’s Next?

D-Wave Quantum Inc. (NYSE:QBTS)’s share price was down 2% during mid-day trading on Wednesday . The company traded as low as $23.06 and last traded at $23.52. Approximately 22,809,508 shares traded hands during mid-day trading, a decline of 29% from the average daily volume of 32,098,967 shares. The stock had previously closed at $23.99.

D-Wave Quantum News Summary

Here are the key news stories impacting D-Wave Quantum this week:

• Positive Sentiment: D-Wave secured an NSF grant of about $1.5 million to support fault-tolerant quantum computing research, adding another federal funding win and signaling continued government support. D-Wave Secures NSF Grant for Yale University-Led ERASE Initiative
• Positive Sentiment: The grant strengthens D-Wave’s credibility in the quantum computing race by tying it to a Yale-led initiative and the NSF’s National Quantum Virtual Laboratory program. Is D-Wave’s Dip an Opportunity or Red Flag?
• Neutral Sentiment: Broader sector coverage notes that quantum-computing companies still face limited revenue and ongoing cash burn, which keeps investors focused on long-term execution rather than near-term fundamentals. Quantum Computing’s Cash Crisis: Which Players Can Actually Survive the Long Game?
• Negative Sentiment: Some articles warn that quantum stocks remain richly valued and highly speculative, which can pressure sentiment even when company-specific news is positive. The Quantum Bubble Is Real Enough to Take Seriously

Wall Street Analysts Forecast Growth

QBTS has been the subject of a number of research analyst reports. Jefferies Financial Group restated a “buy” rating on shares of D-Wave Quantum in a research report on Tuesday, May 12th. Northland Securities assumed coverage on shares of D-Wave Quantum in a research report on Monday, April 20th. They issued a “market perform” rating and a $22.00 target price on the stock. Canaccord Genuity Group cut their target price on shares of D-Wave Quantum from $43.00 to $41.00 and set a “buy” rating for the company in a research note on Wednesday, May 13th. Zacks Research upgraded shares of D-Wave Quantum from a “strong sell” rating to a “hold” rating in a research report on Tuesday, April 28th. Finally, Roth Mkm raised their price target on shares of D-Wave Quantum from $30.00 to $40.00 and gave the company a “buy” rating in a research note on Tuesday, June 2nd. Fourteen analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $36.80.

D-Wave Quantum Price Performance

The stock’s 50-day moving average price is $23.55 and its 200 day moving average price is $22.19. The firm has a market capitalization of $8.70 billion, a price-to-earnings ratio of -20.81 and a beta of 2.05. The company has a quick ratio of 21.31, a current ratio of 21.41 and a debt-to-equity ratio of 0.03.

D-Wave Quantum (NYSE:QBTS) last posted its quarterly earnings results on Tuesday, May 12th. The company reported ($0.05) earnings per share for the quarter, topping the consensus estimate of ($0.08) by $0.03. D-Wave Quantum had a negative net margin of 2,957.23% and a negative return on equity of 44.06%. The firm had revenue of $2.86 million for the quarter, compared to the consensus estimate of $4.19 million. During the same period last year, the firm posted ($0.02) earnings per share. The company’s revenue for the quarter was down 80.9% on a year-over-year basis. Equities research analysts expect that D-Wave Quantum Inc. will post -0.43 earnings per share for the current fiscal year.

Insider Buying and Selling at D-Wave Quantum

In related news, VP Sophie C. Ames sold 23,025 shares of D-Wave Quantum stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $18.98, for a total transaction of $437,014.50. Following the transaction, the vice president owned 596,803 shares in the company, valued at approximately $11,327,320.94. This trade represents a 3.71% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Rohit Ghai sold 13,518 shares of the business’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $26.41, for a total value of $357,010.38. Following the transaction, the director directly owned 23,617 shares in the company, valued at $623,724.97. This trade represents a 36.40% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 1,363,842 shares of company stock worth $35,802,656. 1.30% of the stock is owned by company insiders.

Institutional Investors Weigh In On D-Wave Quantum

Hedge funds have recently modified their holdings of the company. Baird Financial Group Inc. increased its position in D-Wave Quantum by 12.0% during the first quarter. Baird Financial Group Inc. now owns 12,135 shares of the company’s stock worth $92,000 after purchasing an additional 1,300 shares during the last quarter. Royal Bank of Canada boosted its holdings in D-Wave Quantum by 59.8% in the 1st quarter. Royal Bank of Canada now owns 162,088 shares of the company’s stock valued at $1,231,000 after purchasing an additional 60,668 shares during the last quarter. AQR Capital Management LLC grew its stake in shares of D-Wave Quantum by 201.0% in the 1st quarter. AQR Capital Management LLC now owns 200,765 shares of the company’s stock valued at $1,526,000 after buying an additional 134,066 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in shares of D-Wave Quantum by 93.4% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 108,572 shares of the company’s stock valued at $825,000 after buying an additional 52,437 shares during the period. Finally, NewEdge Advisors LLC increased its holdings in shares of D-Wave Quantum by 125.7% during the 1st quarter. NewEdge Advisors LLC now owns 43,786 shares of the company’s stock worth $333,000 after buying an additional 24,382 shares during the last quarter. Hedge funds and other institutional investors own 42.47% of the company’s stock.

About D-Wave Quantum

D-Wave Quantum Inc (NYSE: QBTS) develops and provides quantum computing systems, software and services focused on quantum annealing technology. Headquartered in Burnaby, British Columbia, D-Wave designs specialized processors that leverage quantum mechanics to solve complex optimization and sampling problems. Since its founding in 1999 by physicists including Geordie Rose, the company has pursued the development of commercially viable quantum hardware and accompanying software tools.

The company’s product portfolio centers on its quantum annealers, which are complemented by hybrid solvers that integrate classical and quantum computing resources.