D-Wave Quantum (NYSE:QBTS) Trading Down 2.4% – Should You Sell?

Shares of D-Wave Quantum Inc. (NYSE:QBTS) were down 2.4% on Thursday . The stock traded as low as $15.36 and last traded at $16.0920. Approximately 21,474,643 shares changed hands during trading, a decline of 29% from the average daily volume of 30,395,742 shares. The stock had previously closed at $16.49.

Analyst Ratings Changes

QBTS has been the topic of several recent analyst reports. Roth Mkm reduced their target price on D-Wave Quantum from $40.00 to $30.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Wedbush initiated coverage on D-Wave Quantum in a research note on Wednesday, December 17th. They set an “outperform” rating and a $35.00 price target on the stock. Jefferies Financial Group started coverage on shares of D-Wave Quantum in a report on Tuesday, December 16th. They set a “buy” rating and a $45.00 price objective on the stock. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of D-Wave Quantum in a research report on Monday, December 29th. Finally, Needham & Company LLC lowered their target price on shares of D-Wave Quantum from $48.00 to $40.00 and set a “buy” rating for the company in a research note on Thursday, February 26th. Fourteen research analysts have rated the stock with a Buy rating and two have given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $36.50.

D-Wave Quantum Price Performance

The stock has a 50 day moving average of $21.14 and a 200-day moving average of $25.08. The company has a debt-to-equity ratio of 0.04, a quick ratio of 42.25 and a current ratio of 42.38. The company has a market cap of $5.83 billion, a PE ratio of -14.33 and a beta of 1.61.

D-Wave Quantum (NYSE:QBTS) last posted its quarterly 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 company’s revenue was up 21.7% on a year-over-year basis. Equities analysts predict that D-Wave Quantum Inc. will post -0.41 earnings per share for the current year.

Insider Buying and Selling at D-Wave Quantum

In other news, Director Rohit Ghai sold 10,000 shares of the company’s stock in a transaction on 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 directly owned 27,778 shares of the company’s stock, valued at $489,448.36. This represents a 26.47% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Alan E. Baratz sold 793,712 shares of the stock in a transaction on Monday, December 22nd. The stock was sold at an average price of $30.13, for a total transaction of $23,914,542.56. Following the completion of the sale, the chief executive officer owned 2,633,163 shares in the company, valued at $79,337,201.19. The trade was a 23.16% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 966,610 shares of company stock worth $28,666,597 in the last 90 days. Corporate insiders own 3.20% of the company’s stock.

Institutional Investors Weigh In On D-Wave Quantum

Hedge funds have recently added to or reduced their stakes in the business. Root Financial Partners LLC raised its stake in shares of D-Wave Quantum by 388.0% during the 4th quarter. Root Financial Partners LLC now owns 976 shares of the company’s stock valued at $26,000 after buying an additional 776 shares during the last quarter. Kemnay Advisory Services Inc. purchased a new stake in shares of D-Wave Quantum in the fourth quarter worth about $28,000. EverSource Wealth Advisors LLC grew its holdings in 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 acquiring an additional 838 shares during the period. Ancora Advisors LLC acquired a new stake in D-Wave Quantum during the third quarter worth about $30,000. Finally, Financial Consulate Inc. purchased a new position in D-Wave Quantum during the third quarter valued at approximately $31,000. 42.47% of the stock is owned by hedge funds and other institutional investors.

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.