D-Wave Quantum (NYSE:QBTS) Trading 4.5% Higher – Still a Buy?

D-Wave Quantum Inc. (NYSE:QBTS) rose 4.5% on Wednesday . The company traded as high as $31.63 and last traded at $31.09. Approximately 31,404,969 shares changed hands during mid-day trading, a decline of 51% from the average daily volume of 64,539,238 shares. The stock had previously closed at $29.74.

Wall Street Analysts Forecast Growth

QBTS has been the subject of a number of recent analyst reports. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of D-Wave Quantum in a research report on Tuesday, October 14th. Roth Capital reaffirmed a “buy” rating on shares of D-Wave Quantum in a research report on Wednesday, October 15th. Stifel Nicolaus initiated coverage on D-Wave Quantum in a research report on Tuesday, August 5th. They set a “buy” rating and a $26.00 price target for the company. Zacks Research lowered D-Wave Quantum from a “hold” rating to a “strong sell” rating in a research report on Monday, October 6th. Finally, Benchmark reaffirmed a “buy” rating and set a $20.00 price target on shares of D-Wave Quantum in a research report on Monday, August 4th. Eleven research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company. According to MarketBeat.com, D-Wave Quantum currently has an average rating of “Moderate Buy” and an average target price of $20.27.

D-Wave Quantum Price Performance

The business has a fifty day simple moving average of $27.26 and a two-hundred day simple moving average of $19.26. The company has a current ratio of 42.99, a quick ratio of 42.86 and a debt-to-equity ratio of 0.05. The stock has a market cap of $10.63 billion, a PE ratio of -29.61 and a beta of 1.53.

D-Wave Quantum (NYSE:QBTS) last posted its earnings results on Thursday, August 7th. The company reported ($0.08) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.03). The firm had revenue of $3.10 million for the quarter, compared to analysts’ expectations of $2.55 million. D-Wave Quantum had a negative return on equity of 118.87% and a negative net margin of 1,263.92%.The company’s revenue for the quarter was up 40.9% on a year-over-year basis. Research analysts forecast that D-Wave Quantum Inc. will post -0.41 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Rohit Ghai sold 10,000 shares of the company’s stock in a transaction that occurred on Monday, September 15th. The stock was sold at an average price of $17.93, for a total value of $179,300.00. Following the sale, the director owned 47,778 shares in the company, valued at $856,659.54. This represents a 17.31% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CFO John M. Markovich sold 7,994 shares of the company’s stock in a transaction that occurred on Tuesday, October 14th. The stock was sold at an average price of $43.74, for a total value of $349,657.56. Following the completion of the sale, the chief financial officer owned 1,580,934 shares in the company, valued at $69,150,053.16. The trade was a 0.50% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 207,363 shares of company stock worth $4,659,478. 3.20% of the stock is currently owned by corporate insiders.

Institutional Trading of D-Wave Quantum

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Marex Group plc purchased a new stake in D-Wave Quantum during the 2nd quarter valued at $80,070,000. Vanguard Group Inc. boosted its stake in D-Wave Quantum by 58.5% during the 1st quarter. Vanguard Group Inc. now owns 11,285,043 shares of the company’s stock valued at $85,766,000 after purchasing an additional 4,166,721 shares during the last quarter. Arrowstreet Capital Limited Partnership purchased a new stake in D-Wave Quantum during the 2nd quarter valued at $45,372,000. UNICOM Systems Inc. boosted its stake in D-Wave Quantum by 91.9% during the 1st quarter. UNICOM Systems Inc. now owns 4,627,704 shares of the company’s stock valued at $35,171,000 after purchasing an additional 2,216,000 shares during the last quarter. Finally, State Street Corp boosted its stake in D-Wave Quantum by 41.3% during the 2nd quarter. State Street Corp now owns 6,648,395 shares of the company’s stock valued at $97,333,000 after purchasing an additional 1,941,762 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 develops and delivers quantum computing systems, software, and services worldwide. The company offers Advantage, a fifth-generation quantum computer; Ocean, a suite of open-source python tools; and Leap, a cloud-based service that provides real-time access to a live quantum computer, as well as access to Advantage, hybrid solvers, the Ocean software development kit, live code, demos, learning resources, and a vibrant developer community.