D-Wave Quantum (NYSE:QBTS) Trading 3% Higher – Here’s Why

D-Wave Quantum Inc. (NYSE:QBTS)’s stock price was up 3% on Friday . The stock traded as high as $22.67 and last traded at $22.6470. Approximately 20,026,429 shares traded hands during mid-day trading, a decline of 32% from the average daily volume of 29,490,625 shares. The stock had previously closed at $21.99.

Analyst Ratings Changes

Several brokerages have commented on QBTS. Canaccord Genuity Group set a $43.00 price objective on shares of D-Wave Quantum in a research note on Thursday, January 29th. Mizuho cut their price objective on shares of D-Wave Quantum from $46.00 to $40.00 and set an “outperform” rating on the stock in a research note on Friday, February 27th. Benchmark reissued a “buy” rating and set a $35.00 target price on shares of D-Wave Quantum in a report on Friday, January 23rd. Northland Securities began coverage on shares of D-Wave Quantum in a research report on Monday, April 20th. They set a “market perform” rating and a $22.00 target price for the company. Finally, Roth Mkm lowered their price target on shares of D-Wave Quantum from $40.00 to $30.00 and set a “buy” rating on the stock in a report on Friday, February 27th. Fourteen investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, D-Wave Quantum has a consensus rating of “Moderate Buy” and a consensus target price of $35.53.

D-Wave Quantum Trading Up 3.0%

The firm has a market cap of $8.38 billion, a PE ratio of -20.59 and a beta of 1.95. The company has a 50-day simple moving average of $17.69 and a 200 day simple moving average of $22.98. The company has a current ratio of 42.38, a quick ratio of 42.25 and a debt-to-equity ratio of 0.04.

D-Wave Quantum (NYSE:QBTS) last posted its earnings results on Thursday, February 26th. The company reported ($0.09) earnings per share for the quarter, missing the consensus estimate of ($0.05) by ($0.04). D-Wave Quantum had a negative net margin of 1,444.10% and a negative return on equity of 58.58%. The firm had revenue of $2.75 million for the quarter, compared to analysts’ expectations of $3.74 million. The firm’s revenue for the quarter was up 21.7% on a year-over-year basis. As a group, sell-side analysts forecast that D-Wave Quantum Inc. will post -0.44 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO John M. Markovich sold 10,706 shares of the stock in a transaction dated Friday, March 13th. The shares were sold at an average price of $17.63, for a total transaction of $188,746.78. Following the sale, the chief financial officer directly owned 1,451,427 shares of the company’s stock, valued at $25,588,658.01. This represents a 0.73% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Rohit Ghai sold 10,000 shares of the firm’s stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $17.62, for a total value of $176,200.00. Following the sale, the director owned 27,778 shares in the company, valued at $489,448.36. This trade represents a 26.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 31,776 shares of company stock worth $574,571 in the last ninety days. Corporate insiders own 3.20% of the company’s stock.

Hedge Funds Weigh In On D-Wave Quantum

A number of large investors have recently bought and sold shares of QBTS. Vanguard Group Inc. boosted its position in D-Wave Quantum by 41.2% during the third quarter. Vanguard Group Inc. now owns 38,454,869 shares of the company’s stock worth $950,220,000 after purchasing an additional 11,218,255 shares in the last quarter. UBS Group AG increased its position in shares of D-Wave Quantum by 541.6% in the third quarter. UBS Group AG now owns 12,089,703 shares of the company’s stock valued at $298,737,000 after buying an additional 10,205,427 shares in the last quarter. Geode Capital Management LLC raised its stake in shares of D-Wave Quantum by 11.5% during the 4th quarter. Geode Capital Management LLC now owns 8,394,726 shares of the company’s stock worth $220,085,000 after buying an additional 866,405 shares during the period. State Street Corp raised its stake in shares of D-Wave Quantum by 5.3% during the 4th quarter. State Street Corp now owns 7,707,085 shares of the company’s stock worth $201,540,000 after buying an additional 385,809 shares during the period. Finally, Marex Group plc lifted its position in shares of D-Wave Quantum by 74.9% during the 4th quarter. Marex Group plc now owns 4,592,656 shares of the company’s stock valued at $120,098,000 after buying an additional 1,966,500 shares in the last quarter. Institutional investors and hedge funds own 42.47% of the company’s stock.

About D-Wave Quantum

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.