D-Wave Quantum (NYSE:QBTS) Stock Price Down 7.3% – What’s Next?

D-Wave Quantum Inc. (NYSE:QBTS)’s stock price dropped 7.3% during trading on Thursday . The company traded as low as $16.81 and last traded at $16.93. 18,727,693 shares traded hands during mid-day trading, a decline of 40% from the average daily volume of 30,993,070 shares. The stock had previously closed at $18.27.

Analysts Set New Price Targets

QBTS has been the topic of several recent research reports. Roth Capital boosted their price target on D-Wave Quantum from $30.00 to $40.00 and gave the company a “buy” rating in a research report on Tuesday, June 2nd. Northland Securities assumed coverage on D-Wave Quantum in a research report on Monday, April 20th. They set a “market perform” rating and a $22.00 price objective for the company. Weiss Ratings upgraded D-Wave Quantum from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Tuesday, June 23rd. Stifel Nicolaus set a $35.00 price target on D-Wave Quantum in a research note on Tuesday, June 2nd. Finally, Cantor Fitzgerald restated an “overweight” rating and set a $40.00 price target on shares of D-Wave Quantum in a research note on Wednesday, May 13th. Fourteen research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $36.80.

D-Wave Quantum Stock Down 0.9%

The stock has a market capitalization of $6.20 billion, a PE ratio of -14.84 and a beta of 2.11. The firm’s fifty day moving average is $23.50 and its 200-day moving average is $21.63. 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 announced its quarterly earnings data on Tuesday, May 12th. The company reported ($0.05) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.08) by $0.03. D-Wave Quantum had a negative return on equity of 44.06% and a negative net margin of 2,957.23%.The company had revenue of $2.86 million for the quarter, compared to analyst estimates of $4.19 million. During the same quarter in the previous year, the company earned ($0.02) EPS. The firm’s revenue for the quarter was down 80.9% compared to the same quarter last year. On average, equities research analysts predict that D-Wave Quantum Inc. will post -0.42 earnings per share for the current year.

Insider Transactions at D-Wave Quantum

In other D-Wave Quantum news, Director John D. Dilullo sold 7,850 shares of the firm’s stock in a transaction on Friday, June 5th. The stock was sold at an average price of $24.43, for a total value of $191,775.50. Following the completion of the sale, the director owned 21,310 shares of the company’s stock, valued at approximately $520,603.30. This trade represents a 26.92% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO John M. Markovich sold 200,000 shares of the business’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $25.71, for a total transaction of $5,142,000.00. Following the sale, the chief financial officer owned 1,142,820 shares in the company, valued at $29,381,902.20. The trade was a 14.89% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders sold 1,363,842 shares of company stock valued at $35,802,656. 1.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. UBS Group AG lifted its position in shares of D-Wave Quantum by 541.6% during the 3rd 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 period. Geode Capital Management LLC grew its holdings in shares of D-Wave Quantum by 11.5% in the 4th quarter. Geode Capital Management LLC now owns 8,394,726 shares of the company’s stock worth $220,085,000 after acquiring an additional 866,405 shares during the period. State Street Corp grew its holdings in shares of D-Wave Quantum by 5.3% in the 4th quarter. State Street Corp now owns 7,707,085 shares of the company’s stock worth $201,540,000 after acquiring an additional 385,809 shares during the period. Marex Group plc grew its holdings in shares of D-Wave Quantum by 74.9% in the 4th quarter. Marex Group plc now owns 4,592,656 shares of the company’s stock worth $120,098,000 after acquiring an additional 1,966,500 shares during the period. Finally, Clear Street Group Inc. increased its stake in D-Wave Quantum by 40.4% in the 4th quarter. Clear Street Group Inc. now owns 4,281,254 shares of the company’s stock valued at $111,955,000 after purchasing an additional 1,232,106 shares in the last quarter. 42.47% of the stock is currently owned by institutional investors and hedge funds.

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.