D-Wave Quantum (NYSE:QBTS) Shares Down 6.2% – What’s Next?

D-Wave Quantum Inc. (NYSE:QBTS) shares dropped 6.2% on Tuesday . The stock traded as low as $25.94 and last traded at $27.0550. Approximately 50,923,455 shares traded hands during trading, an increase of 24% from the average daily volume of 40,984,133 shares. The stock had previously closed at $28.83.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on QBTS shares. B. Riley raised their target price on shares of D-Wave Quantum from $22.00 to $33.00 and gave the company a “buy” rating in a report on Monday, September 22nd. Jefferies Financial Group initiated coverage on shares of D-Wave Quantum in a research report on Tuesday, December 16th. They set a “buy” rating and a $45.00 price target on the stock. Wall Street Zen raised shares of D-Wave Quantum from a “sell” rating to a “hold” rating in a research note on Saturday, January 10th. Williams Trading set a $35.00 target price on D-Wave Quantum in a research note on Monday, November 10th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $40.00 target price on shares of D-Wave Quantum in a report on Wednesday, January 7th. Fourteen equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $33.67.

D-Wave Quantum Stock Down 6.2%

The company has a debt-to-equity ratio of 0.05, a current ratio of 54.68 and a quick ratio of 54.49. The company has a market capitalization of $9.47 billion, a price-to-earnings ratio of -20.04 and a beta of 1.57. The firm’s fifty day moving average price is $26.21 and its 200-day moving average price is $24.23.

D-Wave Quantum (NYSE:QBTS) last issued its earnings results on Thursday, November 6th. The company reported ($0.05) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.02. D-Wave Quantum had a negative return on equity of 97.58% and a negative net margin of 1,651.81%.The business had revenue of $3.74 million during the quarter, compared to analysts’ expectations of $3.03 million. The business’s revenue was up 105.6% on a year-over-year basis. Sell-side analysts expect that D-Wave Quantum Inc. will post -0.41 earnings per share for the current fiscal year.

Insider Activity at D-Wave Quantum

In related news, Director Rohit Ghai sold 10,000 shares of D-Wave Quantum stock in a transaction that occurred on Monday, December 15th. The shares were sold at an average price of $24.28, for a total transaction of $242,800.00. Following the sale, the director directly owned 37,778 shares in the company, valued at $917,249.84. This trade represents a 20.93% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Alan E. Baratz sold 806,288 shares of the firm’s stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $28.87, for a total transaction of $23,277,534.56. Following the transaction, the chief executive officer directly owned 2,801,265 shares of the company’s stock, valued at $80,872,520.55. The trade was a 22.35% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 2,346,916 shares of company stock worth $65,591,314 in the last quarter. 3.20% of the stock is owned by insiders.

Institutional Investors Weigh In On D-Wave Quantum

A number of institutional investors have recently made changes to their positions in QBTS. Vanguard Group Inc. raised its position in shares of D-Wave Quantum by 41.2% during the third quarter. Vanguard Group Inc. now owns 38,454,869 shares of the company’s stock worth $950,220,000 after acquiring an additional 11,218,255 shares during the last quarter. UBS Group AG boosted its holdings in D-Wave Quantum by 541.6% in the third quarter. UBS Group AG now owns 12,089,703 shares of the company’s stock valued at $298,737,000 after acquiring an additional 10,205,427 shares during the last quarter. Marex Group plc acquired a new stake in D-Wave Quantum during the 2nd quarter valued at approximately $80,070,000. Arrowstreet Capital Limited Partnership acquired a new stake in D-Wave Quantum during the 2nd quarter valued at approximately $45,372,000. Finally, Clear Street Group Inc. bought a new position in D-Wave Quantum during the 3rd quarter worth approximately $75,344,000. Institutional investors own 42.47% of the company’s stock.

D-Wave Quantum Company Profile

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.