D-Wave Quantum (NYSE:QBTS) Stock Price Declines - Should You Sell?

D-Wave Quantum Inc. (NYSE:QBTS) experienced a decrease of 0.5% in its stock price on Monday, closing at $5.45. During the trading session, the shares reached a low of $5.25. Trading volume was notably lower, with approximately 18,644,120 shares exchanged, marking a significant 77% drop from the average daily volume of 81,134,633 shares. The previous close for the stock was $5.48.

Analyst Opinions on D-Wave Quantum

Various research firms have recently provided their insights on QBTS. B. Riley recently raised their price target for D-Wave Quantum shares from $9.00 to $11.00, giving it a "buy" rating in a report published on February 14th. Similarly, Roth MKM increased their target price from $3.00 to $7.00 and assigned a "buy" rating on December 12th. Craig Hallum also lifted their price objective for the shares from $2.50 to $9.00, maintaining a "buy" rating, reported on December 20th. Benchmark reaffirmed its "buy" rating with a price target of $8.00 on January 14th. Finally, Needham & Company LLC reiterated a "buy" rating with a price objective of $2.25 on November 15th. Currently, the stock has a consensus rating of "Buy" from six equity research analysts, according to MarketBeat.com, with a consensus price target of $6.71.

D-Wave Quantum's Stock Performance

This company boasts a market capitalization of $1.32 billion, a PE ratio of -11.67, and a beta of 1.10. The fifty-day moving average sits at $6.66, while the 200-day moving average is at $3.56.

Insider Transactions at D-Wave Quantum

Recently, insider transactions have come into focus. On December 20th, major shareholder Sector Pension Investme Public sold one million shares of D-Wave Quantum's stock at an average price of $6.68 for a total of $6,680,000. The transaction was documented in a filing with the SEC. Additionally, on January 23rd, CEO Alan E. Baratz sold 8,372 shares at an average price of $5.27, totaling $44,120. Following this transaction, the CEO's remaining ownership amounts to approximately 2,342,208 shares valued at about $12,343,436.16, marking a 0.36% decrease in ownership. Over the past 90 days, insiders have sold 20,152,665 shares valued at $92,096,075, with insiders currently holding 7.22% of the stock.

Hedge Funds and Institutional Investors

In light of recent market activity, several hedge funds have adjusted their positions in D-Wave Quantum. Vanguard Group Inc. increased its stake by 103.7% during the fourth quarter, now owning 7,118,322 shares valued at $59,794,000 after acquiring an additional 3,624,407 shares. Similarly, Penserra Capital Management LLC raised its stake by 23.0% in the third quarter, now holding 4,485,777 shares valued at $4,409,000. Geode Capital Management LLC increased its holdings in D-Wave Quantum by 16.4%, now owning 2,974,395 shares valued at $24,992,000 after purchasing an additional 418,468 shares. Bank of America Corp DE reported a significant spike in its stake by 4,912.4% during the fourth quarter, now owning 2,548,099 shares worth $21,404,000 after acquiring 2,497,263 shares. Lastly, UNICOM Systems Inc. has bought a new stake valued at approximately $20,258,000 in the fourth quarter. Overall, institutional investors and hedge funds control 42.47% of the company’s stock.

Overview of D-Wave Quantum

D-Wave Quantum Inc. specializes in developing and providing quantum computing systems, software, and services on a global scale. The company's product offerings include the Advantage, a fifth-generation quantum computer, Ocean, which features a suite of open-source Python tools, and Leap, a cloud-based service that offers real-time access to a live quantum computer. Leap also delivers access to Advantage, hybrid solvers, the Ocean software development kit, as well as various learning resources and a supportive developer community.

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