D-Wave Quantum (NYSE:QBTS) Shares Down 8.2% – Here’s What Happened

D-Wave Quantum Inc. (NYSE:QBTS)’s stock price dropped 8.2% on Wednesday . The stock traded as low as $22.40 and last traded at $22.98. Approximately 31,493,637 shares traded hands during trading, a decline of 3% from the average session volume of 32,447,012 shares. The stock had previously closed at $25.03.

Key Headlines Impacting D-Wave Quantum

Here are the key news stories impacting D-Wave Quantum this week:

• Positive Sentiment: Trump’s new quantum computing orders are expected to boost industry funding, federal procurement, and long-term demand for quantum solutions, creating a clearer growth opportunity for D-Wave Quantum. D-Wave Quantum (QBTS) Could See New Openings After White House Quantum Orders
• Positive Sentiment: Investors are rotating into quantum names broadly as the sector gains momentum from the administration’s push, lifting sentiment around D-Wave Quantum alongside peers. Quantum Computing Stocks Gain On Trump Executive Orders, 2028 Target
• Positive Sentiment: Coverage highlighting D-Wave’s push beyond quantum annealing suggests the company is broadening its technology platform, which could improve its competitiveness and addressable market. D-Wave Pushes Beyond Quantum Annealing. Is QBTS Stock Worth Buying Now?
• Neutral Sentiment: Articles discussing D-Wave’s new simulator and recent breakthrough point to technical progress, but also note the company is still catching up in parts of the market, making the impact on valuation less certain. How Does D-Wave’s New Simulator Change the Quantum Computing Landscape?
• Neutral Sentiment: Commentary on D-Wave’s “major quantum breakthrough” and improving bookings/backlog suggests stronger demand, but investors are still weighing that against weak revenue trends. D-Wave Just Unveiled a Major Quantum Breakthrough. QBTS Stock Looks Ready for Another Surge.

Analyst Ratings Changes

A number of brokerages have commented on QBTS. Needham & Company LLC restated a “buy” rating and set a $40.00 price objective on shares of D-Wave Quantum in a research report on Tuesday, June 2nd. Zacks Research upgraded D-Wave Quantum from a “strong sell” rating to a “hold” rating in a report on Tuesday, April 28th. Jefferies Financial Group reissued a “buy” rating on shares of D-Wave Quantum in a research report on Tuesday, May 12th. Weiss Ratings cut shares of D-Wave Quantum from a “sell (d-)” rating to a “sell (e+)” rating in a report on Wednesday, April 29th. Finally, Canaccord Genuity Group lowered their price objective on shares of D-Wave Quantum from $43.00 to $41.00 and set a “buy” rating on the stock in a research report on Wednesday, May 13th. Fourteen 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. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $36.80.

D-Wave Quantum Trading Down 8.2%

The company has a debt-to-equity ratio of 0.03, a current ratio of 21.41 and a quick ratio of 21.31. The company has a fifty day moving average of $23.16 and a 200-day moving average of $22.36. The firm has a market capitalization of $8.50 billion, a PE ratio of -20.34 and a beta of 2.05.

D-Wave Quantum (NYSE:QBTS) last issued 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 return on equity of 44.06% and a negative net margin of 2,957.23%.The firm had revenue of $2.86 million for the quarter, compared to the consensus estimate of $4.19 million. During the same quarter in the previous year, the company posted ($0.02) earnings per share. The business’s quarterly revenue was down 80.9% compared to the same quarter last year. On average, sell-side analysts anticipate that D-Wave Quantum Inc. will post -0.43 earnings per share for the current fiscal year.

Insider Buying and Selling at D-Wave Quantum

In related news, VP Sophie C. Ames sold 23,025 shares of the business’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 completion of the sale, the vice president owned 596,803 shares of the company’s stock, valued at approximately $11,327,320.94. The trade was a 3.71% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO John M. Markovich sold 200,000 shares of the stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $25.71, for a total value of $5,142,000.00. Following the completion of the transaction, the chief financial officer owned 1,142,820 shares in the company, valued at $29,381,902.20. This represents a 14.89% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 1,363,842 shares of company stock worth $35,802,656 over the last quarter. Insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Root Financial Partners LLC raised its holdings 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 purchasing an additional 776 shares in the last quarter. Kemnay Advisory Services Inc. bought a new stake in D-Wave Quantum in the fourth quarter worth $28,000. EverSource Wealth Advisors LLC increased its position 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 buying an additional 838 shares during the last quarter. Mcguire Capital Advisors Inc. acquired a new position in D-Wave Quantum during the fourth quarter worth $31,000. Finally, Ancora Advisors LLC bought a new position in D-Wave Quantum during the third quarter valued at about $30,000. 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.