D-Wave Quantum (NYSE:QBTS) Given Buy Rating at Needham & Company LLC

D-Wave Quantum (NYSE:QBTS)‘s stock had its “buy” rating reissued by stock analysts at Needham & Company LLC in a research report issued to clients and investors on Wednesday,Benzinga reports. They presently have a $40.00 price objective on the stock. Needham & Company LLC’s target price indicates a potential upside of 78.71% from the company’s previous close.

Several other equities analysts have also commented on the stock. Mizuho dropped their price target on shares of D-Wave Quantum from $31.00 to $29.00 and set an “outperform” rating for the company in a research report on Wednesday. TD Cowen initiated coverage on shares of D-Wave Quantum in a research note on Thursday, February 12th. They issued a “buy” rating for the company. Canaccord Genuity Group set a $43.00 target price on shares of D-Wave Quantum in a research note on Thursday, January 29th. Roth Mkm reduced their price objective on shares of D-Wave Quantum from $40.00 to $30.00 and set a “buy” rating on the stock in a research note on Friday, February 27th. Finally, Benchmark reiterated a “buy” rating and set a $35.00 price objective on shares of D-Wave Quantum in a research note on Friday, January 23rd. Fourteen analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $34.80.

D-Wave Quantum Stock Performance

Shares of QBTS stock opened at $22.38 on Wednesday. D-Wave Quantum has a one year low of $10.36 and a one year high of $46.75. The company has a debt-to-equity ratio of 0.04, a quick ratio of 42.25 and a current ratio of 42.38. The company has a 50 day moving average price of $17.90 and a 200 day moving average price of $22.80. The firm has a market capitalization of $8.28 billion, a price-to-earnings ratio of -20.35 and a beta of 1.95.

D-Wave Quantum (NYSE:QBTS) last issued its quarterly earnings results on Tuesday, May 12th. The company reported ($0.05) EPS for the quarter, topping the consensus estimate of ($0.08) by $0.03. D-Wave Quantum had a negative net margin of 1,444.10% and a negative return on equity of 58.58%. The firm had revenue of $2.86 million during the quarter, compared to analyst estimates of $4.19 million. During the same quarter in the prior year, the business posted ($0.02) earnings per share. D-Wave Quantum’s revenue for the quarter was down 80.9% compared to the same quarter last year. Sell-side analysts anticipate that D-Wave Quantum will post -0.44 EPS for the current year.

Insider Buying and Selling at D-Wave Quantum

In other D-Wave Quantum news, VP Sophie C. Ames sold 3,070 shares of the stock in a transaction on Monday, April 20th. The shares were sold at an average price of $21.35, for a total transaction of $65,544.50. Following the sale, the vice president directly owned 643,678 shares of the company’s stock, valued at approximately $13,742,525.30. This represents a 0.47% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO John M. Markovich sold 10,706 shares of the stock in a transaction on Friday, March 13th. The stock was sold at an average price of $17.63, for a total transaction of $188,746.78. Following the sale, the chief financial officer directly owned 1,451,427 shares in the company, valued at $25,588,658.01. This trade represents a 0.73% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 31,776 shares of company stock valued at $574,571 over the last three months. 3.20% of the stock is currently owned by company insiders.

Institutional Trading of D-Wave Quantum

A number of institutional investors and hedge funds have recently modified their holdings of QBTS. Root Financial Partners LLC increased its holdings in shares of D-Wave Quantum by 388.0% in the 4th quarter. Root Financial Partners LLC now owns 976 shares of the company’s stock worth $26,000 after acquiring an additional 776 shares during the period. Parallel Advisors LLC increased its holdings in shares of D-Wave Quantum by 545.5% in the 1st quarter. Parallel Advisors LLC now owns 1,788 shares of the company’s stock worth $26,000 after acquiring an additional 1,511 shares during the period. Kemnay Advisory Services Inc. acquired a new stake in shares of D-Wave Quantum in the 4th quarter worth about $28,000. PeakShares LLC acquired a new stake in shares of D-Wave Quantum in the 1st quarter worth about $29,000. Finally, EverSource Wealth Advisors LLC increased its holdings in shares of D-Wave Quantum by 267.7% in the 4th quarter. EverSource Wealth Advisors LLC now owns 1,151 shares of the company’s stock worth $30,000 after acquiring an additional 838 shares during the period. 42.47% of the stock is owned by institutional investors and hedge funds.

D-Wave Quantum News Summary

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

• Positive Sentiment: D-Wave reported Q1 EPS of ($0.05), beating estimates for a loss of ($0.08), which suggests losses are narrowing faster than expected. The company also highlighted record bookings growth of nearly 2,000%, a sign of strong demand and improving commercial momentum. Article Title
• Positive Sentiment: Analysts and market coverage noted that the company’s booking growth, government deals, and Advantage2 momentum could support the long-term quantum computing story, even if near-term fundamentals remain uneven. Article Title
• Neutral Sentiment: Investors are also focused on management’s earnings call and presentation for clues about commercialization timing, revenue ramp, and whether recent booking strength can translate into sustained sales growth. Article Title
• Negative Sentiment: Revenue came in at $2.86 million, well below the $4.19 million estimate and down 80.9% year over year, reinforcing concerns about lumpy sales and the company’s still-challenged path to profitability. Article Title
• Negative Sentiment: Several market write-ups pointed out that despite the EPS beat, the stock was under pressure because the revenue miss overshadowed the beat and the company remains unprofitable with wide negative margins. Article Title

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.