D-Wave Quantum (NASDAQ:QBTS) Raised to “Strong-Buy” at BMO Capital Markets

D-Wave Quantum (NASDAQ:QBTS) was upgraded by equities researchers at BMO Capital Markets to a “strong-buy” rating in a research report issued to clients and investors on Thursday,Zacks.com reports.

QBTS has been the topic of a number of other research reports. Roth Capital reaffirmed a “buy” rating and issued a $30.00 price target on shares of D-Wave Quantum in a research note on Thursday, August 6th. Jefferies Financial Group set a $40.00 price objective on shares of D-Wave Quantum in a research report on Friday, August 7th. Weiss Ratings lowered shares of D-Wave Quantum from a “sell (d-)” rating to a “sell (e+)” rating in a report on Tuesday, August 11th. B. Riley Financial raised their price objective on shares of D-Wave Quantum from $36.00 to $40.00 and gave the stock a “buy” rating in a report on Tuesday, June 2nd. Finally, Mizuho boosted their price objective on shares of D-Wave Quantum from $29.00 to $35.00 and gave the company an “outperform” rating in a research report on Monday, June 15th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $36.27.

D-Wave Quantum Stock Performance

QBTS stock opened at $20.39 on Thursday. The business’s 50-day moving average price is $20.62 and its two-hundred day moving average price is $20.24. The company has a current ratio of 20.55, a quick ratio of 20.42 and a debt-to-equity ratio of 0.03. The firm has a market cap of $7.54 billion, a PE ratio of -28.72 and a beta of 2.15. D-Wave Quantum has a 1-year low of $12.75 and a 1-year high of $46.75.

D-Wave Quantum (NASDAQ:QBTS) last posted its earnings results on Thursday, August 6th. The company reported ($0.10) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.08) by ($0.02). D-Wave Quantum had a negative net margin of 2,001.59% and a negative return on equity of 26.67%. The business had revenue of $3.08 million during 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 on a year-over-year basis. As a group, research analysts forecast that D-Wave Quantum will post -0.46 earnings per share for the current year.

Insider Buying and Selling at D-Wave Quantum

In other D-Wave Quantum news, CEO Alan E. Baratz sold 687,627 shares of the firm’s stock in a transaction that occurred on 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 transaction, the chief executive officer directly owned 3,299,771 shares in the company, valued at $86,223,016.23. This trade represents a 17.25% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Sophie C. Ames sold 3,070 shares of the business’s stock in a transaction that occurred on Monday, July 20th. The stock was sold at an average price of $16.95, for a total value of $52,036.50. Following the transaction, the vice president directly owned 589,009 shares in the company, valued at $9,983,702.55. This trade represents a 0.52% 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. Insiders have sold a total of 1,012,065 shares of company stock valued at $26,245,703 in the last ninety days. Insiders own 1.30% of the company’s stock.

Institutional Investors Weigh In On D-Wave Quantum

Several large investors have recently made changes to their positions in the stock. World Investment Advisors increased its stake in shares of D-Wave Quantum by 195.7% during the 4th quarter. World Investment Advisors now owns 41,691 shares of the company’s stock worth $1,090,000 after purchasing an additional 27,592 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its stake in D-Wave Quantum by 319.3% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 98,747 shares of the company’s stock valued at $1,353,000 after purchasing an additional 75,198 shares during the last quarter. Clear Street Group Inc. lifted its stake in D-Wave Quantum by 40.4% in the 4th quarter. Clear Street Group Inc. now owns 4,281,254 shares of the company’s stock valued at $111,955,000 after purchasing an additional 1,232,106 shares during the last quarter. Cibc World Market Inc. grew its holdings in D-Wave Quantum by 295.0% during the fourth quarter. Cibc World Market Inc. now owns 54,760 shares of the company’s stock worth $1,432,000 after purchasing an additional 40,897 shares during the period. Finally, M&T Bank Corp bought a new position in D-Wave Quantum during the fourth quarter worth about $1,185,000. Institutional investors and hedge funds own 42.47% of the company’s stock.

D-Wave Quantum News Summary

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

• Positive Sentiment: BMO initiated coverage with an Outperform rating and a $35 price target, implying roughly 85%–86% upside from recent levels. The firm highlighted D-Wave’s commercial revenue potential, providing a significant catalyst for the stock. D-Wave Quantum Stock Climbs as BMO Turns Bullish
• Positive Sentiment: NTT DOCOMO deployed a second production application powered by D-Wave to improve mobile-network planning and efficiency. The deployment expands the relationship beyond pilot projects and offers evidence that D-Wave’s technology is being used in commercial telecom operations. D-Wave Lands Second Production Telecom Application
• Positive Sentiment: D-Wave’s order and contracted-revenue indicators remain strong. First-half bookings reportedly surged 1,120% year over year to $35.5 million, while remaining performance obligations rose 668% to $40.7 million. Nearly $23 million of contracted revenue could be recognized within 12 months, and commercial customers generated 67.7% of first-half revenue. D-Wave: Demand Is Outrunning Revenue
• Neutral Sentiment: Analysts and market commentary are increasingly focused on whether D-Wave can convert customer interest, bookings and production applications into sustained revenue and eventual profitability. Some quantum stocks continue to attract attention for their growth prospects despite a tougher market. Quantum Stocks Face Reality Check
• Negative Sentiment: Valuation remains a concern. After approximately a 15-fold three-year gain, D-Wave screens as expensive on valuation measures, raising the risk that substantial future progress is already reflected in the share price. D-Wave Quantum Stock Looks Expensive
• Negative Sentiment: Quantum-computing stocks have recently faced broad sector selling, while Zacks Research downgraded D-Wave from “Strong Buy” to “Hold.” These factors could limit gains even as company-specific news improves sentiment. Quantum Stock Selloff

D-Wave Quantum Company Profile

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.