D-Wave Quantum (NASDAQ:QBTS) Stock Price Down 2.8% – What’s Next?

D-Wave Quantum Inc. (NASDAQ:QBTS)’s stock price was down 2.8% during mid-day trading on Friday. The stock traded as low as $9.27 and last traded at $9.56. 11,093,338 shares traded hands during trading, a decline of 56% from the average session volume of 25,286,955 shares. The stock had previously closed at $9.84.

Top D-Wave Quantum Stories

Investors following QBTS have been watching these stories:

• Positive Sentiment: D-Wave was named a “Market Shaper” in Gartner’s Emerging Market Quadrant for Quantum Computing, an external endorsement of its commercial offerings and quantum architecture. Article: What Does D Wave Quantum’s Gartner Recognition Mean For Its Stock?
• Neutral Sentiment: D-Wave’s reported $503.4 million liquidity and the possibility of up to $100 million in government funding provide financial runway, but the funding is potential, not assured. Rising operating costs and widening adjusted EBITDA losses remain concerns. Article: Can D-Wave’s Liquidity Position Mitigate Rising Cash Burn?
• Negative Sentiment: Analysts have cut price targets, with one report citing reductions of as much as 55%. StoneX lowered its target from $30 to $20 but retained a Buy rating. Recent earnings also missed the consensus EPS estimate, underscoring concerns about losses and valuation. Article: Wall Street Slashes D-Wave Stock Targets by Up to 55%

Analysts Set New Price Targets

A number of research analysts have commented on the company. Mizuho set a $23.00 target price on D-Wave Quantum in a research note on Tuesday. Needham & Company LLC cut their price target on D-Wave Quantum from $40.00 to $20.00 and set a “buy” rating for the company in a research note on Wednesday. Wall Street Zen raised D-Wave Quantum from a “strong sell” rating to a “sell” rating in a research note on Saturday, August 8th. Benchmark began coverage on D-Wave Quantum in a report on Monday, July 27th. They set a “buy” rating and a $30.00 price target for the company. Finally, Wedbush initiated coverage on D-Wave Quantum in a research note on Monday, August 3rd. They issued an “outperform” rating and a $40.00 price target for the company. Fifteen investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, D-Wave Quantum has an average rating of “Moderate Buy” and an average target price of $30.00.

D-Wave Quantum Stock Down 2.8%

The business has a 50-day simple moving average of $14.09 and a two-hundred day simple moving average of $18.61. The company has a market cap of $3.54 billion, a price-to-earnings ratio of -22.23 and a beta of 2.35. 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 results on Tuesday, November 10th. The company reported ($0.13) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.10) by ($0.03). D-Wave Quantum had a negative return on equity of 15.39% and a negative net margin of 1,188.79%. The company had revenue of $4.51 million for the quarter, compared to the consensus estimate of $4.37 million. During the same quarter last year, the company posted ($0.41) EPS. As a group, equities analysts forecast that D-Wave Quantum Inc. will post -0.50 earnings per share for the current fiscal year.

Hedge Funds Weigh In On D-Wave Quantum

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. First Trust Advisors LP lifted its stake in shares of D-Wave Quantum by 47.1% in the third quarter. First Trust Advisors LP now owns 98,410 shares of the company’s stock valued at $1,631,000 after buying an additional 31,506 shares during the period. Private Advisor Group LLC grew its position in D-Wave Quantum by 39.7% during the third quarter. Private Advisor Group LLC now owns 67,706 shares of the company’s stock worth $1,122,000 after buying an additional 19,252 shares in the last quarter. Voya Investment Management LLC increased its stake in D-Wave Quantum by 7.0% during the third quarter. Voya Investment Management LLC now owns 1,161,501 shares of the company’s stock valued at $19,246,000 after acquiring an additional 76,350 shares during the period. Bogart Wealth LLC increased its stake in D-Wave Quantum by 36.5% during the third quarter. Bogart Wealth LLC now owns 4,065 shares of the company’s stock valued at $67,000 after acquiring an additional 1,086 shares during the period. Finally, Cibc World Market Inc. increased its stake in D-Wave Quantum by 28.5% during the third quarter. Cibc World Market Inc. now owns 78,228 shares of the company’s stock valued at $1,296,000 after acquiring an additional 17,339 shares during the period. Institutional investors and hedge funds own 42.47% of the company’s stock.

D-Wave Quantum Company Profile

D-Wave Quantum develops quantum computing systems, software and services for commercial, government and research users. The company focuses on quantum annealing, an approach designed to help solve complex optimization and sampling problems, and offers hybrid tools that combine quantum processing with classical computing. Its offerings include Advantage quantum computers, the Leap quantum cloud service, and software for building and running applications. D-Wave’s technology is used to explore challenges such as scheduling, resource allocation and supply-chain optimization.