D-Wave Quantum Experiences Surge After Analyst Upgrade

D-Wave Quantum Inc. (NYSE:QBTS) saw a significant increase in its stock price, rising 16.3% on Friday following an analyst upgrade from Benchmark. The firm raised its price target for the stock from $3.00 to $8.00 and currently holds a buy rating on the shares. During trading, D-Wave Quantum reached a high of $7.55 before closing at $7.41. The trading volume was exceptional, with approximately 53,916,503 shares exchanging hands, marking a 393% increase over the average daily volume of 10,933,023 shares. The stock had closed at $6.37 prior to this surge.

Other analysts have also provided insights on D-Wave Quantum’s prospects. Needham & Company LLC reiterated a buy rating while assigning a price objective of $2.25 on November 15th. Craig Hallum raised their target from $2.50 to $9.00 in a recent report, maintaining a buy rating. Additionally, B. Riley increased their forecast for the stock from $3.75 to $4.50, while Roth MKM raised its price target from $3.00 to $7.00. Overall, six research analysts have recommended the stock as a buy, with a consensus rating of “Buy” and an average price target of $5.63 according to data from MarketBeat.

Insider Activity

In insider trading news, major shareholder Sector Pension Investment Public sold 643,866 shares on December 10th at an average price of $4.87, totaling around $3,135,627.42. Following this transaction, the insider holds approximately 18,730,193 shares valued at about $91,216,039.91, indicating a decrease of 3.32% in their holdings. This information was disclosed in a filing with the Securities & Exchange Commission. Currently, insiders own 7.22% of the company's shares.

Institutional Holdings

Recent changes among institutional investors show increased interest in D-Wave Quantum. Bank of New York Mellon Corp acquired a new stake valued at approximately $251,000 in the second quarter. Instrumental Wealth LLC boosted its stake by 85.9%, now holding 54,240 shares worth about $62,000 after purchasing an additional 25,067 shares. Other institutions such as Rhumbline Advisers and Thoroughbred Financial Services LLC have also added new stakes, with a collective 42.47% of the stock now held by hedge funds and institutional investors.

Current Trading Metrics

D-Wave Quantum’s stock has shown substantial growth, currently averaging a 50-day simple moving average of $2.64 and a 200-day simple moving average of $1.59. The company's market capitalization is approximately $1.44 billion, with a price-to-earnings ratio of -15.33 and a beta of 1.79, indicating higher volatility compared to the broader market.

Company Overview

D-Wave Quantum Inc. specializes in the development and delivery of quantum computing systems, software, and services on a global scale. Notable offerings include Advantage, a fifth-generation quantum computer; Ocean, a suite of open-source Python tools; and Leap, a cloud service providing real-time access to a live quantum computer among other resources.

D-Wave, stocks, quantum