D-Wave Quantum (NYSE:QBTS) Shares Down 5.1% – Time to Sell?

D-Wave Quantum Inc. (NYSE:QBTS) fell 5.1% during trading on Friday . The stock traded as low as $19.95 and last traded at $20.0790. Approximately 14,421,586 shares traded hands during trading, a decline of 54% from the average session volume of 31,431,279 shares. The stock had previously closed at $21.16.

Analyst Ratings Changes

A number of equities research analysts have commented on QBTS shares. Rosenblatt Securities reissued a “buy” rating and issued a $43.00 price objective on shares of D-Wave Quantum in a research report on Thursday, June 11th. Weiss Ratings raised shares of D-Wave Quantum from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Tuesday, June 23rd. Northland Securities began coverage on shares of D-Wave Quantum in a research note on Monday, April 20th. They set a “market perform” rating and a $22.00 target price for the company. Needham & Company LLC reissued a “buy” rating and issued a $40.00 target price on shares of D-Wave Quantum in a report on Tuesday, June 2nd. Finally, Cantor Fitzgerald restated an “overweight” rating and issued a $40.00 price target on shares of D-Wave Quantum in a research note on Wednesday, May 13th. Fourteen research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $36.80.

D-Wave Quantum Stock Performance

The firm’s fifty day moving average price is $23.88 and its 200-day moving average price is $22.01. The company has a current ratio of 21.41, a quick ratio of 21.31 and a debt-to-equity ratio of 0.03. The firm has a market cap of $7.43 billion, a price-to-earnings ratio of -17.77 and a beta of 2.11.

D-Wave Quantum (NYSE:QBTS) last posted its earnings results on Tuesday, May 12th. The company reported ($0.05) EPS for the quarter, beating analysts’ consensus estimates of ($0.08) by $0.03. D-Wave Quantum had a negative net margin of 2,957.23% and a negative return on equity of 44.06%. The firm had revenue of $2.86 million for the quarter, compared to the consensus estimate of $4.19 million. During the same period last year, the firm posted ($0.02) EPS. The company’s revenue was down 80.9% on a year-over-year basis. Analysts expect that D-Wave Quantum Inc. will post -0.43 earnings per share for the current year.

Insider Activity at D-Wave Quantum

In related news, CEO Alan E. Baratz sold 687,627 shares of the company’s stock in a transaction dated Monday, June 8th. The stock was sold at an average price of $26.13, for a total value of $17,967,693.51. Following the completion of the sale, 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 position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Sophie C. Ames sold 23,025 shares of the firm’s stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $18.98, for a total value of $437,014.50. Following the transaction, the vice president owned 596,803 shares in the company, valued at $11,327,320.94. This represents a 3.71% 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. In the last 90 days, insiders have sold 1,363,842 shares of company stock valued at $35,802,656. Corporate insiders own 1.30% of the company’s stock.

Institutional Investors Weigh In On D-Wave Quantum

A number of institutional investors and hedge funds have recently added to or reduced their stakes in QBTS. Root Financial Partners LLC grew its position in shares of D-Wave Quantum by 388.0% during the fourth quarter. Root Financial Partners LLC now owns 976 shares of the company’s stock worth $26,000 after acquiring an additional 776 shares during the last quarter. Parallel Advisors LLC raised its position in D-Wave Quantum by 545.5% in the 1st quarter. Parallel Advisors LLC now owns 1,788 shares of the company’s stock valued at $26,000 after purchasing an additional 1,511 shares during the last quarter. Kemnay Advisory Services Inc. purchased a new stake in D-Wave Quantum in the 4th quarter valued at $28,000. PeakShares LLC acquired a new stake in D-Wave Quantum during the 1st quarter worth $29,000. Finally, EverSource Wealth Advisors LLC boosted its stake in D-Wave Quantum by 267.7% during the 4th quarter. EverSource Wealth Advisors LLC now owns 1,151 shares of the company’s stock worth $30,000 after purchasing an additional 838 shares during the period. Hedge funds and other institutional investors 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.