D-Wave Quantum (NASDAQ:QBTS) Stock Price Down 4.1% – Here’s Why

Shares of D-Wave Quantum Inc. (NASDAQ:QBTS) were down 4.1% on Thursday. The company traded as low as $14.30 and last traded at $14.60. Approximately 16,643,838 shares changed hands during trading, a decline of 38% from the average daily volume of 26,631,572 shares. The stock had previously closed at $15.22.

Analyst Ratings Changes

A number of equities analysts have recently commented on the stock. Wedbush started coverage on shares of D-Wave Quantum in a research note on Monday, August 3rd. They issued an “outperform” rating and a $40.00 target price on the stock. Zacks Research cut D-Wave Quantum from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 18th. Canaccord Genuity Group set a $35.00 target price on D-Wave Quantum in a research report on Thursday, August 6th. Jefferies Financial Group set a $40.00 target price on D-Wave Quantum in a report on Friday, August 7th. Finally, Roth Capital reissued a “buy” rating and set a $30.00 price target on shares of D-Wave Quantum in a research report on Thursday, August 6th. Thirteen research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $36.27.

D-Wave Quantum Stock Performance

The company has a debt-to-equity ratio of 0.03, a quick ratio of 20.42 and a current ratio of 20.55. The company has a market capitalization of $5.39 billion, a PE ratio of -20.52 and a beta of 2.18. The company has a 50 day moving average price of $17.87 and a 200 day moving average price of $19.74.

D-Wave Quantum (NASDAQ:QBTS) last issued its quarterly earnings results on Thursday, August 6th. The company reported ($0.10) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.08) by ($0.02). The company had revenue of $3.08 million during the quarter, compared to the consensus estimate of $4.03 million. D-Wave Quantum had a negative return on equity of 26.67% and a negative net margin of 2,001.59%. The firm’s quarterly revenue was down 0.6 on a year-over-year basis. During the same quarter last year, the firm posted ($0.08) EPS. Equities analysts forecast that D-Wave Quantum Inc. will post -0.46 EPS for the current year.

Insider Activity at D-Wave Quantum

In related news, VP Sophie Ames sold 3,070 shares of D-Wave Quantum stock in a transaction dated Monday, July 20th. The stock was sold at an average price of $16.95, for a total value of $52,036.50. Following the completion of the transaction, the vice president directly owned 589,009 shares in the company, valued at approximately $9,983,702.55. This trade represents a 0.52% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 1.30% of the company’s stock.

Institutional Investors Weigh In On D-Wave Quantum

Several institutional investors and hedge funds have recently made changes to their positions in the company. BlackRock Inc. acquired a new stake in shares of D-Wave Quantum during the second quarter worth $795,206,000. Clear Street Group Inc. raised its stake in D-Wave Quantum by 40.4% during the fourth quarter. Clear Street Group Inc. now owns 4,281,254 shares of the company’s stock worth $111,955,000 after acquiring an additional 1,232,106 shares during the period. Bank of America Corp DE bought a new position in D-Wave Quantum in the second quarter worth about $104,183,000. Van ECK Associates Corp boosted its stake in D-Wave Quantum by 52.6% in the second quarter. Van ECK Associates Corp now owns 2,339,788 shares of the company’s stock valued at $56,132,000 after acquiring an additional 806,835 shares during the period. Finally, Bank of New York Mellon Corp bought a new position in shares of D-Wave Quantum during the second quarter valued at approximately $54,951,000. 42.47% of the stock is owned by institutional investors and hedge funds.

About D-Wave Quantum

D-Wave Quantum Inc is a quantum-computing company that develops and delivers quantum systems, software and cloud-based services for commercial, government and research customers. The company focuses on quantum annealing, an approach designed to address complex optimization problems, and is also developing gate-model quantum-computing capabilities.

Its offerings include D-Wave quantum computers, the Leap quantum cloud service, and the Ocean software development kit. Through these products, customers can access quantum hardware, build and test applications, and combine quantum processing with classical computing through hybrid solvers.