D-Wave Quantum Inc.

New York Stock Exchange
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Somewhat Bullish +45

3 Quantum Computing Stocks With the Most Upside in August

AI-generated analysis

📈 D-Wave Quantum reported first-half 2026 bookings of $35.5 million, a massive increase from $2.9 million the prior year.

🤝 Commercial customers now represent 62.4% of Q2 revenue, up significantly from 45.1% a year ago.

⚡ AT&T is integrating D-Wave's annealing platform into agentic AI workflows, reducing processing time from one hour to under 15 seconds.

📉 Q2 revenue of $3.08 million missed consensus estimates by 23.63%, indicating near-term execution challenges.

💸 Adjusted EBITDA losses widened 85% to $37.1 million in the second quarter of 2026.

📉 Cash reserves fell 33% year over year to $546.2 million, raising liquidity concerns for investors.

🔮 Gate-model commercial relevance is not expected until roughly 2032, keeping the near-term thesis dependent on annealing systems.

🎯 The stock trades at $20.87 with an analyst target of $35.25, implying approximately 19.7% upside.

📊 Analyst sentiment is highly positive with 94% bullish ratings and 15 buy or strong-buy recommendations.

⚠️ The definitive Department of Commerce agreement milestone applies to Rigetti, not D-Wave, distinguishing their catalysts.

Bullish Signals
  • D-Wave Quantum reported first-half 2026 bookings of $35.5 million, a dramatic increase from $2.9 million the prior year.
  • Commercial customers now account for 62.4% of Q2 revenue, demonstrating strong adoption and diversification away from government contracts.
  • AT&T is actively integrating D-Wave's annealing platform into agentic AI workflows, validating the technology's practical utility in reducing processing time to under 15 seconds.
  • Analyst sentiment is overwhelmingly bullish with 94% positive ratings and a consensus target price of $35.25 implying nearly 20% upside from current levels.
Risk Factors
  • Q2 revenue of $3.08 million missed consensus estimates by 23.63%, highlighting a disconnect between bookings growth and recognized earnings.
  • Cash reserves declined sharply by 33% year over year to $546.2 million, reducing the financial buffer available for operations or R&D.
  • Gate-model commercial relevance is not expected until roughly 2032, meaning the company's near-term valuation relies entirely on annealing system performance.
  • The widening gap between high bookings and recognized revenue creates uncertainty regarding the sustainability of current growth rates.
Full Analysis
D-Wave Quantum (QBTS) is highlighted in a market analysis of quantum computing stocks, noting significant growth in its commercial traction and bookings. The company reported first-half 2026 bookings jumping from $3 million to $35.5 million, with remaining performance obligations climbing to $40.7 million, up 668% year over year. Commercial customers now account for the majority of revenue at 62.4%, a substantial increase from the previous year. Analysts maintain a bullish outlook on D-Wave, citing its strong commercial progress and integration with major partners like AT&T. The stock trades below its analyst target price, implying roughly 19.7% upside based on current consensus. However, recent financial results show mixed signals, with Q2 revenue missing consensus estimates by over 23% and adjusted EBITDA losses widening significantly. The article identifies specific risks for D-Wave, including a sharp decline in cash reserves of 33% year over year and the long-term timeline for gate-model commercial relevance, which is not expected until roughly 2032. Management emphasizes that the company's moat lies in deployment rather than hype, relying on annealing bookings to convert into recognized revenue while waiting for future technology milestones.