D-Wave Quantum (NASDAQ:QBTS) Reaches New 12-Month Low – Here’s Why

Shares of D-Wave Quantum Inc. (NASDAQ:QBTS) reached a new 52-week low on Wednesday. The company traded as low as $12.62 and last traded at $12.6560, with a volume of 2,784,508 shares changing hands. The stock had previously closed at $13.38.

Trending Headlines about D-Wave Quantum

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

• Positive Sentiment: D-Wave extended its partnership with SkyWater Technology through a new multi-year agreement covering specialized semiconductor process development, manufacturing and intellectual-property protection. The arrangement should support future generations of D-Wave’s superconducting quantum systems and may improve production continuity as the company scales its annealing and gate-model platforms. D-Wave Quantum, SkyWater Extend Quantum Chip Manufacturing Partnership to Include IP Protection
• Positive Sentiment: The SkyWater announcement has placed QBTS among quantum-computing stocks attracting renewed attention, with manufacturing partnerships, product development and commercialization initiatives viewed as possible long-term catalysts. However, the reports did not disclose significant near-term revenue or earnings contributions from the agreement. 3 Quantum Computing Stocks in the Limelight After October Deals
• Neutral Sentiment: The Pentagon’s roughly $350 million quantum-computing initiative is supporting sector interest, but current commentary suggests IonQ may capture more of the direct benefit through its relationship with DARPA. The program’s eventual revenue impact for D-Wave remains uncertain. The Pentagon’s $350 Million Quantum Push
• Negative Sentiment: D-Wave shares have remained under pressure alongside IonQ and Rigetti after IonQ announced an all-stock acquisition of cybersecurity company Elisity. The deal raised concerns about valuation and strategic dilution across the already volatile quantum-computing group. IonQ Sinks 9% on All-Stock Elisity Deal
• Negative Sentiment: A securities law firm announced an investigation into potential federal securities-law violations involving D-Wave and encouraged investors with losses to contact it. The announcement does not establish wrongdoing, but it adds headline and litigation risk to QBTS. QBTS Investigation

Wall Street Analyst Weigh In

A number of research firms recently weighed in on QBTS. Rosenblatt Securities reaffirmed a “buy” rating and set a $43.00 target price on shares of D-Wave Quantum in a report on Friday, August 7th. BMO Capital Markets started coverage on D-Wave Quantum in a report on Thursday, August 20th. They issued an “outperform” rating and a $35.00 price target on the stock. Weiss Ratings raised shares of D-Wave Quantum from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Friday, August 28th. Jefferies Financial Group set a $40.00 target price on shares of D-Wave Quantum in a research report on Friday, August 7th. Finally, Canaccord Genuity Group set a $35.00 price target on shares of D-Wave Quantum in a research note on Thursday, August 6th. Thirteen research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $36.27.

D-Wave Quantum Trading Down 5.6%

The firm’s 50-day simple moving average is $17.58 and its 200-day simple moving average is $19.73. The firm has a market capitalization of $4.67 billion, a PE ratio of -17.75 and a beta of 2.18. The company has a quick ratio of 20.42, a current ratio of 20.55 and a debt-to-equity ratio of 0.03.

D-Wave Quantum (NASDAQ:QBTS) last released its quarterly earnings data on Thursday, August 6th. The company reported ($0.10) EPS for the quarter, missing the consensus estimate of ($0.08) by ($0.02). D-Wave Quantum had a negative return on equity of 26.67% and a negative net margin of 2,001.59%. The company had revenue of $3.08 million during the quarter, compared to analysts’ expectations of $4.03 million. During the same quarter in the prior year, the firm posted ($0.08) EPS. The firm’s quarterly revenue was down 0.6 on a year-over-year basis. Equities analysts expect that D-Wave Quantum Inc. will post -0.46 earnings per share for the current year.

Insider Activity

In other news, VP Sophie Ames sold 3,070 shares of the company’s stock in a transaction dated Monday, July 20th. The shares were sold at an average price of $16.95, for a total transaction of $52,036.50. Following the completion of the transaction, the vice president directly owned 589,009 shares of the company’s stock, valued at approximately $9,983,702.55. This represents a 0.52% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 1.30% of the company’s stock.

Institutional Trading of D-Wave Quantum

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Focus Financial Network Inc. boosted its position in shares of D-Wave Quantum by 60.8% during the third quarter. Focus Financial Network Inc. now owns 29,606 shares of the company’s stock valued at $491,000 after purchasing an additional 11,198 shares in the last quarter. Capital Advisors Wealth Management LLC lifted its position in D-Wave Quantum by 9.3% during the 3rd quarter. Capital Advisors Wealth Management LLC now owns 22,216 shares of the company’s stock valued at $368,000 after acquiring an additional 1,890 shares during the period. GAMMA Investing LLC increased its stake in shares of D-Wave Quantum by 21.7% during the third quarter. GAMMA Investing LLC now owns 3,922 shares of the company’s stock valued at $65,000 after purchasing an additional 698 shares in the last quarter. Farther Finance Advisors LLC lifted its holdings in shares of D-Wave Quantum by 27.9% during the third quarter. Farther Finance Advisors LLC now owns 29,450 shares of the company’s stock valued at $488,000 after purchasing an additional 6,426 shares during the last quarter. Finally, Veracity Capital LLC lifted its holdings in shares of D-Wave Quantum by 1.8% during the third quarter. Veracity Capital LLC now owns 80,181 shares of the company’s stock valued at $1,329,000 after purchasing an additional 1,383 shares during the last quarter. Hedge funds and other institutional investors own 42.47% of the company’s stock.

About D-Wave Quantum

D-Wave Quantum Inc is a quantum-computing company that develops and delivers quantum systems, software and cloud-based services for commercial, government and research customers. The company focuses on quantum annealing, an approach designed to address complex optimization problems, and is also developing gate-model quantum-computing capabilities.

Its offerings include D-Wave quantum computers, the Leap quantum cloud service, and the Ocean software development kit. Through these products, customers can access quantum hardware, build and test applications, and combine quantum processing with classical computing through hybrid solvers.