D-Wave Quantum (NYSE:QBTS) Trading 12.5% Higher – Should You Buy?

D-Wave Quantum Inc. (NYSE:QBTS)’s stock price traded up 12.5% during trading on Monday . The stock traded as high as $27.15 and last traded at $26.29. 44,699,720 shares changed hands during trading, an increase of 38% from the average session volume of 32,412,717 shares. The stock had previously closed at $23.37.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on the stock. Jefferies Financial Group reissued a “buy” rating on shares of D-Wave Quantum in a research report on Tuesday, May 12th. Roth Mkm boosted their target price on shares of D-Wave Quantum from $30.00 to $40.00 and gave the stock a “buy” rating in a research report on Tuesday, June 2nd. Mizuho boosted their target price on shares of D-Wave Quantum from $29.00 to $35.00 and gave the stock an “outperform” rating in a research report on Monday. Cantor Fitzgerald reissued an “overweight” rating and set a $40.00 target price on shares of D-Wave Quantum in a research report on Wednesday, May 13th. Finally, Weiss Ratings downgraded shares of D-Wave Quantum from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Wednesday, April 29th. Fourteen investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, D-Wave Quantum presently has a consensus rating of “Moderate Buy” and an average price target of $36.80.

D-Wave Quantum Stock Up 12.5%

The company has a current ratio of 21.41, a quick ratio of 21.31 and a debt-to-equity ratio of 0.03. The stock’s 50-day simple moving average is $21.71 and its 200-day simple moving average is $22.27. The firm has a market capitalization of $9.72 billion, a P/E ratio of -23.27 and a beta of 2.05.

D-Wave Quantum (NYSE:QBTS) last issued its quarterly earnings data on Tuesday, May 12th. The company reported ($0.05) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.08) by $0.03. D-Wave Quantum had a negative net margin of 2,957.23% and a negative return on equity of 44.06%. The business had revenue of $2.86 million during the quarter, compared to the consensus estimate of $4.19 million. During the same period in the prior year, the firm posted ($0.02) EPS. The firm’s quarterly revenue was down 80.9% compared to the same quarter last year. As a group, research analysts predict that D-Wave Quantum Inc. will post -0.43 earnings per share for the current fiscal year.

Insider Activity

In other D-Wave Quantum news, CFO John M. Markovich sold 50,979 shares of the company’s stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $26.24, for a total value of $1,337,688.96. Following the completion of the sale, the chief financial officer directly owned 1,388,933 shares of the company’s stock, valued at approximately $36,445,601.92. This represents a 3.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, VP Sophie C. Ames sold 23,025 shares of the company’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $18.98, for a total transaction of $437,014.50. Following the completion of the sale, the vice president directly owned 596,803 shares of the company’s stock, valued at $11,327,320.94. The trade was a 3.71% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 1,104,281 shares of company stock valued at $29,198,153. 1.30% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in QBTS. Caitong International Asset Management Co. Ltd lifted its stake in shares of D-Wave Quantum by 370.9% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 96,248 shares of the company’s stock valued at $2,378,000 after buying an additional 75,807 shares in the last quarter. SG Americas Securities LLC lifted its stake in shares of D-Wave Quantum by 254.7% during the 4th quarter. SG Americas Securities LLC now owns 2,272,020 shares of the company’s stock valued at $59,413,000 after buying an additional 1,631,415 shares in the last quarter. WBI Investments LLC purchased a new stake in shares of D-Wave Quantum during the 3rd quarter valued at approximately $844,000. Massachusetts Financial Services Co. MA purchased a new stake in shares of D-Wave Quantum during the 4th quarter valued at approximately $1,114,000. Finally, World Investment Advisors lifted 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 valued at $1,090,000 after buying an additional 27,592 shares in the last quarter. 42.47% of the stock is currently owned by hedge funds and other institutional investors.

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.