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Quantum Computing Inc. (QUBT) plunged 7.3% yesterday (June 23) after weeks of outstanding gains (+20.9% w/e June 6th; +21.9% w/e June 13th; and +13.1% w/e June 20th) underscoring how quickly sentiment can shift in early-stage technology stocks.

The selloff was driven by a perfect storm of dilution fears, legal scrutiny, and insider selling:

1. $200M private placement at a steep discount: QUBT announced it would sell 14 million shares at $14.25 each—about 16% below its prior trading price—to institutional investors in a private offering. While the cash infusion is meant to fund commercialization and M&A, the dilution spooked shareholders.
2. Legal investigation and transparency concerns: Law firm Johnson Fistel launched a probe into potential misstatements by QUBT’s leadership, including allegedly overstated partnerships and tech capabilities. That raised red flags about governance and credibility.
3. Heavy insider selling: CFO Christopher Boehmler reportedly sold over 272,000 shares for $4.6M, and another executive offloaded nearly 201,000 shares. The timing—just ahead of the offering—amplified investor unease.

About Quantum Computing Inc.

Quantum Computing Inc. (QUBT), a constituent in the MunAiMarkets Pure-Play Quantum Computing Stocks Portfolio, is an integrated photonics company that provides quantum machines to commercial and government markets in the United States. 

Specifically, the company:

• develops thin film lithium niobate chips for optical devices, such as electro-optical modulators, periodically poled devices for frequency conversion, and micro ring resonator cavities markets;
• is developing an entropy quantum computer that allows users to avoid the complexity of software development kits at the circuit level, as well as enables developers to create and execute quantum-ready applications using application programming interfaces; and
• offers a reservoir computer, an edge device that uses an integrated circuit that can be reprogrammed after manufacturing and optimized for recurrent neural network applications;
• offers lidar which allows machines to see through dense fog and provide image fidelity at great distances in environments such as snow, ice, and water; 
• offers the quantum photonic vibrometer, an instrument for remote vibration detection, sensing, and inspection; and
• offers quantum networks and quantum authentication products.

Stock Price Forecast

The 1 analyst with a 12-month price forecast for Quantum Computing Inc. stock (Ascendiant Capital Markets) has a target of $22.00, which suggests a 25.7% increase from the June 23rd closing stock price of 17.50.  

Analyst Ratings

Ascendiant rates QUBT as a "STRONG BUY" which suggests that Ascendiant believes this stock is likely to perform very well in the near future and significantly outperform the market..

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