D-Wave Quantum (NYSE:QBTS) Shares Down 5.3% – Should You Sell?

Shares of D-Wave Quantum Inc. (NYSE:QBTS) fell 5.3% during mid-day trading on Friday . The stock traded as low as $13.71 and last traded at $13.8790. 18,060,750 shares were traded during mid-day trading, a decline of 38% from the average session volume of 29,325,928 shares. The stock had previously closed at $14.65.

Analyst Ratings Changes

Several analysts recently commented on QBTS shares. Wedbush began coverage on D-Wave Quantum in a research note on Wednesday, December 17th. They set an “outperform” rating and a $35.00 price objective on the stock. Benchmark reissued a “buy” rating and issued a $35.00 target price on shares of D-Wave Quantum in a research note on Friday, January 23rd. Jefferies Financial Group began coverage on D-Wave Quantum in a report on Tuesday, December 16th. They issued a “buy” rating and a $45.00 price target for the company. Roth Mkm dropped their price target on D-Wave Quantum from $40.00 to $30.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Finally, Canaccord Genuity Group set a $43.00 price objective on D-Wave Quantum in a report on Thursday, January 29th. Fourteen analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, D-Wave Quantum has a consensus rating of “Moderate Buy” and a consensus target price of $36.50.

D-Wave Quantum Price Performance

The company has a current ratio of 42.38, a quick ratio of 42.25 and a debt-to-equity ratio of 0.04. The company has a 50 day simple moving average of $20.08 and a 200 day simple moving average of $25.09. The stock has a market cap of $5.13 billion, a P/E ratio of -12.62 and a beta of 1.61.

D-Wave Quantum (NYSE:QBTS) last issued its quarterly earnings results on Thursday, February 26th. The company reported ($0.09) earnings per share for the quarter, missing the consensus estimate of ($0.05) by ($0.04). The business had revenue of $2.75 million for the quarter, compared to the consensus estimate of $3.74 million. D-Wave Quantum had a negative return on equity of 58.58% and a negative net margin of 1,444.10%.The firm’s quarterly revenue was up 21.7% on a year-over-year basis. Sell-side analysts forecast that D-Wave Quantum Inc. will post -0.41 earnings per share for the current fiscal year.

Insider Buying and Selling at D-Wave Quantum

In other news, CFO John M. Markovich sold 10,706 shares of the firm’s stock in a transaction dated Friday, March 13th. The stock was sold at an average price of $17.63, for a total value of $188,746.78. Following the completion of the transaction, the chief financial officer owned 1,451,427 shares in the company, valued at $25,588,658.01. This trade represents a 0.73% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Alan E. Baratz sold 35,013 shares of D-Wave Quantum stock in a transaction dated Wednesday, January 14th. The shares were sold at an average price of $28.06, for a total value of $982,464.78. Following the completion of the sale, the chief executive officer directly owned 2,598,150 shares in the company, valued at approximately $72,904,089. This represents a 1.33% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 72,898 shares of company stock valued at $1,749,054 over the last quarter. 3.20% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Hsbc Holdings PLC grew its stake in D-Wave Quantum by 78.0% in the fourth quarter. Hsbc Holdings PLC now owns 17,182 shares of the company’s stock valued at $452,000 after purchasing an additional 7,530 shares in the last quarter. World Investment Advisors raised its stake in shares of D-Wave Quantum by 195.7% during the 4th quarter. World Investment Advisors now owns 41,691 shares of the company’s stock worth $1,090,000 after purchasing an additional 27,592 shares in the last quarter. Corient Private Wealth LLC boosted its holdings in shares of D-Wave Quantum by 25.8% in the 4th quarter. Corient Private Wealth LLC now owns 30,797 shares of the company’s stock valued at $805,000 after buying an additional 6,319 shares during the last quarter. Tulsa Wealth Advisors INC acquired a new stake in shares of D-Wave Quantum in the 4th quarter valued at approximately $248,000. Finally, Caitong International Asset Management Co. Ltd grew its stake in shares of D-Wave Quantum by 16.3% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 111,923 shares of the company’s stock valued at $2,927,000 after buying an additional 15,675 shares in the last quarter. 42.47% of the stock is 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.