IonQ (NYSE:IONQ) shares are under pressure in the pre-market session today after the quantum computing solutions provider filed for a mixed-shelf offering of up to $500 million.
The company noted in its prospectus that the offer may include common or preferred shares, a series of debt securities, or warrants, either individually or in combination with other securities. IonQ plans to utilize the funds raised for working capital and general corporate requirements as well as for opportunistic acquisition, licensing, and investment deals in complementary businesses, technologies, or products.
This development comes fresh on the heels of IonQ’s third-quarter results earlier this week when the company noted that while it does not need to raise capital at present, the mixed offering is intended to provide it with optionality to raise additional funds for strategic growth and M&A opportunities in the near to medium term.
IonQ’s revenue in the third quarter jumped by 121% year-over-year to $6.1 million. Its EPS of -$0.22, however, fell short of expectations by $0.04. For Fiscal Year 2023, the company expects revenue to hover between $21.2 million and $22 million. Bookings for the year are anticipated to be in the range of $60 million to $63 million.
Is IonQ a Good Stock to Buy?
Overall, the Street has a Moderate Buy consensus rating on IonQ. The average IONQ price target of $17.67 implies a 57.35% potential upside. That’s on top of a massive 224% rise in the company’s share price so far this year.
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