D-Wave Quantum Inc.

🇺🇸New York Stock Exchange
Back to all articles
D-Wave Quantum Inc. stock analysis QBTS overview
Bullish +65

D-Wave Just Unveiled a Major Quantum Breakthrough. QBTS Stock Looks Ready for Another Surge. - Barchart.com

🚀 D-Wave launched a new quantum simulator allowing developers to test gate-model ideas on its Leap cloud before full hardware maturity.

📈 Q1 2026 bookings jumped to $33.4 million, representing a 1,994% year-over-year increase despite lower reported revenue.

💼 The company serves over 100 customers, with more than half being commercial enterprises, establishing a real commercial footprint.

💰 D-Wave holds $588.4 million in cash and marketable investments to support continued product development and go-to-market expansion.

🤝 Recent strategic wins include completing the Quantum Circuits acquisition and securing $100 million in proposed CHIPS Act funding.

📜 The company landed a $10 million Quantum Computing-as-a-Service (QCaaS) deal with a Fortune 100 company.

🔬 CEO Alan Baratz highlighted strong execution, expanding commercial adoption, and differentiated technology leadership in the latest quarter.

📉 Stock QBTS closed at $24.69 on June 18, up 7.7%, though it remains down 5% in 2026 after surging triple digits last year.

💸 Valuation is high with a market cap of $9.15 billion and a trailing price-to-sales ratio of roughly 735 times.

📊 Wall Street consensus rating is 'Strong Buy' with an average price target of $38.31, implying roughly 53% upside.

🏆 Mizuho raised its price target to $35 and reiterated a 'Buy' rating citing growing bookings pipeline and customer adoption.

🚀 Roth Capital lifted its target to $40, noting the dual strategy across annealing and gate-model creates multiple growth opportunities.

Bullish Signals
  • Bookings surged to $33.4 million in Q1 2026, up 1,994% year-over-year, signaling strong underlying demand despite revenue volatility.
  • Remaining performance obligations rose to $42.4 million (up 563%), indicating a robust pipeline of future revenue.
  • The company secured $100 million in proposed CHIPS and Science Act funding support, bolstering its financial runway.
  • D-Wave landed a $10 million Quantum Computing-as-a-Service deal with a Fortune 100 company, validating commercial interest.
  • Analyst consensus is 'Strong Buy' with an average price target of $38.31, suggesting significant upside potential from current levels.
  • Mizuho raised its price target to $35 and reiterated a 'Buy' rating due to improving customer adoption and technology leadership.
  • Roth Capital increased its target to $40, highlighting the company's dual-platform strategy as a key growth driver.
  • The company maintains a strong balance sheet with $588.4 million in cash and investments to fund expansion.
Risk Factors
  • Q1 2026 revenue was $2.86 million, down 81% year-over-year, though this is partially attributed to a one-time large sale last year.
  • Net loss widened to $18.4 million in the quarter as the company increased spending on product development and go-to-market efforts.
  • The stock trades at a high valuation with a price-to-sales ratio of roughly 735 times, reflecting a premium bet on future scale.
  • Despite recent gains, QBTS is still down 5% in 2026 after surging triple digits last year, indicating some profit-taking or consolidation.
Full Analysis
D-Wave Quantum (QBTS) recently unveiled a new quantum simulator designed to help developers test gate-model concepts on its Leap cloud platform. This strategic move aims to bridge the gap between current capabilities and future hardware maturity, positioning the company as a credible player in both annealing and gate-model computing markets. Financially, D-Wave reported first quarter 2026 revenue of $2.86 million, down 81% year-over-year due to a one-time large sale last year. However, bookings surged to $33.4 million (up 1,994%) and remaining performance obligations rose to $42.4 million, indicating strong commercial demand from over 100 customers, including more than half being commercial enterprises. The company maintains a robust balance sheet with $588.4 million in cash and investments. Recent catalysts include the completion of the Quantum Circuits acquisition, securing $100 million in proposed CHIPS Act funding, and landing a $10 million deal with a Fortune 100 company. Wall Street analysts have become increasingly constructive, raising price targets to an average of $38.31. Despite trading at a high valuation with a price-to-sales ratio of roughly 735x, investors view QBTS as a bet on future scale in the emerging quantum market. The consensus rating is 'Strong Buy,' implying approximately 53% upside from recent levels, driven by expanding commercial adoption and differentiated technology leadership.