D-Wave Quantum (NYSE:QBTS) Shares Down 5.1% – Should You Sell?

D-Wave Quantum Inc. (NYSE:QBTS)’s stock price fell 5.1% during trading on Wednesday . The stock traded as low as $13.65 and last traded at $13.6910. 21,604,439 shares changed hands during trading, a decline of 26% from the average session volume of 29,043,879 shares. The stock had previously closed at $14.43.

Wall Street Analyst Weigh In

Several research firms recently issued reports on QBTS. Jefferies Financial Group began coverage on D-Wave Quantum in a research report on Tuesday, December 16th. They issued a “buy” rating and a $45.00 target price on the stock. Weiss Ratings reiterated a “sell (d-)” rating on shares of D-Wave Quantum in a research note on Friday. Rosenblatt Securities reissued a “buy” rating and issued a $43.00 price objective on shares of D-Wave Quantum in a report on Wednesday, January 28th. Canaccord Genuity Group set a $43.00 price objective on D-Wave Quantum in a research note on Thursday, January 29th. Finally, Benchmark reaffirmed a “buy” rating and set a $35.00 target price on shares of D-Wave Quantum in a report on Friday, January 23rd. Fourteen analysts have rated the stock with a Buy rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $36.50.

D-Wave Quantum Trading Down 5.1%

The stock has a market cap of $5.06 billion, a PE ratio of -12.45 and a beta of 1.61. The company’s fifty day moving average is $19.21 and its 200-day moving average is $25.16. The company has a debt-to-equity ratio of 0.04, a current ratio of 42.38 and a quick ratio of 42.25.

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

Insider Buying and Selling

In related news, Director Rohit Ghai sold 10,000 shares of D-Wave Quantum stock in a transaction that occurred on Monday, March 16th. The stock was sold at an average price of $17.62, for a total transaction of $176,200.00. Following the completion of the transaction, the director directly owned 27,778 shares in the company, valued at approximately $489,448.36. This trade represents a 26.47% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director John D. Dilullo sold 8,000 shares of the business’s stock in a transaction that occurred on Thursday, March 5th. The shares were sold at an average price of $18.01, for a total value of $144,080.00. Following the completion of the transaction, the director directly owned 19,803 shares of the company’s stock, valued at $356,652.03. The trade was a 28.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 72,898 shares of company stock worth $1,749,054. Corporate insiders own 3.20% of the company’s stock.

Hedge Funds Weigh In On D-Wave Quantum

Institutional investors have recently made changes to their positions in the company. Root Financial Partners LLC lifted its stake 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 valued at $26,000 after purchasing an additional 776 shares during the period. Kemnay Advisory Services Inc. acquired a new stake in D-Wave Quantum during the fourth quarter valued at $28,000. EverSource Wealth Advisors LLC increased its holdings in D-Wave Quantum by 267.7% in the fourth quarter. EverSource Wealth Advisors LLC now owns 1,151 shares of the company’s stock valued at $30,000 after buying an additional 838 shares in the last quarter. Mcguire Capital Advisors Inc. purchased a new position in D-Wave Quantum in the fourth quarter valued at $31,000. Finally, Ancora Advisors LLC acquired a new position in shares of D-Wave Quantum in the third quarter worth about $30,000. 42.47% of the stock is 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.