IonQ Stock Surges 6.5% Following Analyst Upgrade

On January 12, 2025, IonQ, Inc. (NYSE:IONQ) saw its stock price rise by 6.5% during mid-day trading. This increase followed an upgrade from The Goldman Sachs Group, which raised its price target on IonQ from $16.00 to a substantial $30.00, while maintaining a neutral rating.

During trading, IonQ reached a high of $33.34 before closing at $32.23. Notably, approximately 42,498,737 shares changed hands, slightly below the average daily volume of 44,682,926 shares. The stock had previously closed at $30.25.

Analyst Recommendations

A few other analysts have also released reports concerning IonQ recently. Needham & Company LLC adjusted its price target for IonQ from $13.00 to $18.00, assigning a “buy” rating on November 7th. Benchmark also raised their target from $12.00 to $22.00, confirming a “buy” rating on the same day.

Additionally, DA Davidson initiated coverage on IonQ, setting a “buy” rating with a price target of $50.00 in a report released on December 19th. Craig Hallum also adjusted their price objective for IonQ from $22.00 to $45.00, maintaining a “buy” rating on December 20th.

In total, one investment analyst rates IonQ as a hold, while four have given it a buy rating. According to data from MarketBeat.com, the consensus rating is a “Moderate Buy” with an average price target set at $33.00.

Insider Trading Activity

In insider news, CRO Rima Alameddine sold 9,159 shares on October 14th at an average price of $10.72, amounting to a total of $98,184.48. After this sale, Alameddine holds 648,783 shares valued at approximately $6,954,953.76, marking a 1.39% decrease in holdings.

Furthermore, CEO Peter Hume Chapman sold 13,106 shares on December 11th at an average price of $29.73, fetching $389,641.38. Post-transaction, he retained 414,363 shares valued at $12,319,011.99, reflecting a 3.07% decline in his overall stake. In the last 90 days, insiders have sold 109,507 shares valued at $2,279,308 in total. Currently, insiders own 11.60% of the company’s stock.

Institutional Ownership Trends

In terms of institutional investment, several hedge funds have recently adjusted their holdings in IonQ. Everence Capital Management Inc. acquired a new stake worth around $216,000, while GAMMA Investing LLC increased its holdings by 73.2%, now owning 1,136 shares valued at $47,000 after adding 480 shares.

Versant Capital Management Inc. raised its stake by a massive 1,348.5%, owning 956 shares worth $40,000 after purchasing an additional 890 shares in the quarter. Arete Wealth Advisors LLC also established a new position in IonQ valued at $91,000 during the third quarter. Additionally, Geode Capital Management LLC boosted its stake by 4.7%, holding 4,420,152 shares worth $38,640,000.

Overall, hedge funds and institutional investors represent 41.42% of the company’s stock ownership.

IonQ’s Market Performance

IonQ's stock currently has a fifty-day moving average price of $34.12 and a 200-day moving average price of $17.70. The company boasts a market capitalization of $7.03 billion, a price-to-earnings ratio of -40.10, and a beta value of 2.49.

The firm recently reported its quarterly earnings on November 6th, indicating an EPS of ($0.24), which fell short of analysts’ expectations of ($0.22) by $0.02. Revenue for the quarter was reported at $12.40 million, exceeding the analyst estimate of $10.56 million, marking a remarkable year-over-year revenue growth of 102.1%. For the current fiscal year, analysts predict IonQ, Inc. will post an EPS of -0.86.

Company Overview

IonQ, Inc. specializes in the development of general-purpose quantum computing systems within the United States. The company provides access to its quantum computers with various qubit capacities, available through cloud platforms like Amazon Web Services (AWS), Microsoft’s Azure Quantum, and Google’s Cloud Marketplace, in addition to its own cloud service.

IonQ, Stock, Analyst