D-Wave Quantum (NASDAQ:QBTS) Shares Gap Up – What’s Next?

D-Wave Quantum Inc. (NASDAQ:QBTS)’s share price gapped up before the market opened on Tuesday . The stock had previously closed at $16.58, but opened at $17.70. D-Wave Quantum shares last traded at $18.0790, with a volume of 9,177,186 shares changing hands.

Wall Street Analysts Forecast Growth

QBTS has been the topic of a number of research analyst reports. BMO Capital Markets started coverage on D-Wave Quantum in a report on Thursday, August 20th. They set an “outperform” rating and a $35.00 price target on the stock. Canaccord Genuity Group set a $35.00 target price on shares of D-Wave Quantum in a research note on Thursday, August 6th. Wall Street Zen upgraded shares of D-Wave Quantum from a “strong sell” rating to a “sell” rating in a research report on Saturday, August 8th. Wedbush began coverage on shares of D-Wave Quantum in a report on Monday, August 3rd. They issued an “outperform” rating and a $40.00 price objective for the company. Finally, Cantor Fitzgerald reissued an “overweight” rating and set a $40.00 target price on shares of D-Wave Quantum in a report on Wednesday, May 13th. Thirteen investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, D-Wave Quantum currently has an average rating of “Moderate Buy” and a consensus target price of $36.27.

D-Wave Quantum Price Performance

The firm has a market capitalization of $6.68 billion, a P/E ratio of -25.48 and a beta of 2.15. The business’s fifty day moving average is $19.17 and its 200 day moving average is $20.04. The company has a current ratio of 20.55, a quick ratio of 20.42 and a debt-to-equity ratio of 0.03.

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

Insider Transactions at D-Wave Quantum

In other news, CFO John Markovich sold 200,000 shares of the company’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $25.71, for a total transaction of $5,142,000.00. Following the completion of the sale, the chief financial officer directly owned 1,142,820 shares of the company’s stock, valued at $29,381,902.20. This represents a 14.89% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Rohit Ghai sold 13,518 shares of the business’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $26.41, for a total value of $357,010.38. Following the sale, the director owned 23,617 shares in the company, valued at approximately $623,724.97. The trade was a 36.40% decrease in their position. 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. Insiders have sold 262,631 shares of company stock valued at $6,656,539 over the last three months. Company insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Fiduciary Financial Advisors acquired a new position in D-Wave Quantum in the 2nd quarter valued at approximately $25,000. Root Financial Partners LLC lifted its position in D-Wave Quantum by 388.0% in the 4th quarter. Root Financial Partners LLC now owns 976 shares of the company’s stock worth $26,000 after buying an additional 776 shares in the last quarter. Parallel Advisors LLC boosted its stake in shares of D-Wave Quantum by 545.5% during the 1st quarter. Parallel Advisors LLC now owns 1,788 shares of the company’s stock valued at $26,000 after buying an additional 1,511 shares during the period. Kemnay Advisory Services Inc. acquired a new stake in shares of D-Wave Quantum during the 4th quarter valued at $28,000. Finally, PeakShares LLC purchased a new position in shares of D-Wave Quantum during the 1st quarter valued at $29,000. 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.