IonQ (NYSE:IONQ) Stock Falls 8.3% After Analyst Downgrade

IonQ, Inc. (NYSE:IONQ) experienced an 8.3% decline in its stock price on Thursday following a downgrade from Benchmark, which reduced their price target from $50.00 to $45.00. Despite the downgrade, Benchmark has maintained a "buy" rating on the stock. During the trading session, IonQ reached a low of $24.33 before closing at $27.45. The total volume of shares traded was 18,595,897, marking a 29% decrease from the usual volume of 26,113,281 shares. The previous closing price before the drop was $29.93.

Brokerage Commentary

Several other brokerages have recently shared their views on IonQ stock. Craig Hallum raised their price target for IonQ from $22.00 to $45.00 in a research report released on December 20, 2023, while maintaining a "buy" rating. Needham & Company LLC reiterated a "buy" rating with a price goal of $54.00 in a report published on Thursday. Goldman Sachs also adjusted their target for IonQ, increasing it from $16.00 to $30.00 while issuing a "neutral" rating. In addition, DA Davidson upgraded IonQ to a "strong-buy" rating in a note released on February 20, 2024. Currently, the consensus rating for IonQ is "Buy," with an average target price set at $44.80 according to MarketBeat.

Insider Transactions

In recent news regarding insider activity at IonQ, CEO Peter Hume Chapman sold 13,106 shares of the company's stock on December 11, 2023, at an average price of $29.73. The total from this transaction was approximately $389,641.38. Following this sale, he retains ownership of 414,363 shares valued at about $12,319,011.99, which represents a decrease of 3.07% in his position. CFO Thomas G. Kramer also sold 9,780 shares on the same date, bringing in around $290,661.60 from his transaction. After this sale, he owns 926,114 shares, valued at approximately $27,524,108.08, marking a 1.04% reduction in his stake. Over the last 90 days, insiders have sold a combined total of 44,223 shares worth $1,314,652, and currently, insiders hold 11.60% of the company's stock.

Institutional Investor Activity

Several hedge funds and institutional investors have recently adjusted their holdings in IonQ. For instance, Pathway Financial Advisers LLC bought a new stake in IonQ valued at about $26,000 during the fourth quarter. Smartleaf Asset Management LLC increased its stake by 421.0%, acquiring an additional 501 shares for a total of 620 shares, valued at $27,000. Similarly, other firms such as Measured Risk Portfolios Inc. and TD Waterhouse Canada Inc. made new investments worth around $27,000 and $33,000, respectively, during the same period. Overall, institutional investors own approximately 41.42% of IonQ’s shares.

IonQ’s Market Performance

As of now, IonQ boasts a market capitalization of $5.86 billion and operates with a price-to-earnings (P/E) ratio of -33.46, alongside a beta of 2.41. The company's stock has seen a 50-day simple moving average of $39.25 and a 200-day average of $24.63.

Company Overview

IonQ, Inc. focuses on developing general-purpose quantum computing systems within the United States. The company provides access to quantum computers with varying qubit capacities through cloud platforms, including Amazon Web Services (AWS), Microsoft Azure Quantum, and Google Cloud Marketplace.

IonQ, Stock, Downgrade