D-Wave Quantum (NASDAQ:QBTS) Trading Down 1.4% – Time to Sell?

D-Wave Quantum Inc. (NASDAQ:QBTS)’s share price traded down 1.4% during trading on Friday . The stock traded as low as $16.43 and last traded at $16.58. Approximately 12,782,918 shares were traded during trading, a decline of 54% from the average daily volume of 28,011,309 shares. The stock had previously closed at $16.82.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on QBTS shares. Jefferies Financial Group set a $40.00 price objective on D-Wave Quantum in a research note on Friday, August 7th. Benchmark started coverage on shares of D-Wave Quantum in a research report on Monday, July 27th. They issued a “buy” rating and a $30.00 price objective for the company. Stifel Nicolaus set a $35.00 price target on shares of D-Wave Quantum in a research note on Tuesday, June 2nd. Weiss Ratings raised D-Wave Quantum from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Friday, August 28th. Finally, Zacks Research cut shares of D-Wave Quantum from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 18th. Thirteen analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, D-Wave Quantum has an average rating of “Moderate Buy” and an average target price of $36.27.

D-Wave Quantum Stock Performance

The company has a market capitalization of $6.13 billion, a price-to-earnings ratio of -23.35 and a beta of 2.15. The stock has a 50-day moving average price of $19.31 and a 200-day moving average price of $20.05. The company has a debt-to-equity ratio of 0.03, a current ratio of 20.55 and a quick ratio of 20.42.

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

Insider Activity at D-Wave Quantum

In other news, CEO Alan Baratz sold 687,627 shares of the stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $26.13, for a total value of $17,967,693.51. Following the transaction, the chief executive officer directly owned 3,299,771 shares of the company’s stock, valued at $86,223,016.23. This represents a 17.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Rohit Ghai sold 13,518 shares of the firm’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $26.41, for a total transaction of $357,010.38. Following the sale, the director owned 23,617 shares of the company’s stock, valued at approximately $623,724.97. This represents a 36.40% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 1,001,307 shares of company stock valued at $25,963,780 in the last ninety days. Company insiders own 1.30% of the company’s stock.

Hedge Funds Weigh In On D-Wave Quantum

Institutional investors and hedge funds have recently made changes to their positions in the company. Root Financial Partners LLC boosted its stake in 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. Fiduciary Financial Advisors bought a new position in D-Wave Quantum during the 2nd quarter worth $25,000. Kemnay Advisory Services Inc. acquired a new stake in shares of D-Wave Quantum during the fourth quarter worth $28,000. EverSource Wealth Advisors LLC lifted its holdings in shares of D-Wave Quantum by 267.7% during the fourth quarter. EverSource Wealth Advisors LLC now owns 1,151 shares of the company’s stock worth $30,000 after buying an additional 838 shares in the last quarter. Finally, Mcguire Capital Advisors Inc. bought a new stake in shares of D-Wave Quantum in the fourth quarter valued at about $31,000. 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.