Key Takeaways
- Shares of D-Wave Quantum (QBTS) advanced 5.6% Wednesday, reaching approximately $19.70 with 25.1 million shares changing hands.
- The company reports Q4 fiscal 2025 results Thursday pre-market; Wall Street forecasts a $0.06 per-share loss on $3.72M in sales.
- Analyst sentiment remains overwhelmingly positive with 15 of 16 rating it a buy; consensus target stands at $39.24, suggesting 110%+ potential gains.
- The quantum computing firm recently secured a $10M two-year agreement with a Fortune 100 client and closed a $20M Advantage2 system deal with Florida Atlantic University.
- Company executives have divested more than 1 million stock units over the last 90 days, with the CFO selling 100,000 shares at $30.03.
Shares of D-Wave Quantum (QBTS) gained 5.6% during Wednesday’s trading session, reaching an intraday peak of $19.81 before closing near $19.70. The stock started the day at $18.66.
Trading activity reached 25.1 million shares — roughly 24% lighter than the company’s typical daily volume of 33 million.
The rally occurred just one session before D-Wave releases its fourth-quarter fiscal 2025 financial results, scheduled for Thursday morning ahead of the opening bell.
Wall Street projects the quantum computing specialist will report a loss of $0.06 per share on revenue totaling $3.72 million. Those figures would mark a 61.74% year-over-year revenue jump and a 38.1% narrowing of its per-share deficit compared with the same period last year.
The anticipated loss represents a modest widening from the prior quarter’s $0.05 deficit. Revenue expectations sit marginally above the $3.7 million delivered in Q3.
D-Wave exceeded projections in its previous quarterly report, delivering a $0.05 loss versus the $0.07 consensus estimate, while revenue of $3.7 million topped forecasts by 22%.
Analyst coverage remains decidedly optimistic entering the earnings release. Of 16 analysts tracking the stock, 15 maintain buy ratings, with a collective price objective of $39.24. That projection implies potential appreciation exceeding 110% from Wednesday’s closing level.
Earnings per share projections have climbed 4.46% during the past 60 days, suggesting strengthening confidence ahead of the announcement.
TD Cowen’s Krish Sankar launched coverage earlier this month with a buy recommendation. His analysis highlighted that “leadership in quantum annealing is driving growth via high-margin, Advantage system sales and cloud services.”
Major Deal Announcements
D-Wave disclosed a $10 million, two-year quantum computing services partnership with a Fortune 100 enterprise. Separately, Florida Atlantic University committed to a $20 million acquisition of an Advantage2 system.
Market participants will be looking for management commentary explaining how these agreements contribute to sustainable, repeatable revenue streams.
The firm markets itself as the sole provider offering both quantum annealing and gate-model computing platforms. Its gate-model technology achieves what the company claims are qubit fidelity rates exceeding 99.9%.
Gross profit margins top 82%, though operational losses persist. Achieving positive cash flow depends on revenue expansion outpacing operating expense growth — a challenging proposition for an organization simultaneously developing two distinct technology platforms.
Executive Stock Sales
Regarding insider transactions, the data paints a less encouraging picture. CFO John M. Markovich divested 100,000 stock units on December 22nd at an average price of $30.03, generating proceeds of $3 million. This transaction reduced his holdings by 6.36%.
Director Rohit Ghai sold 10,000 units at $24.28 on December 15th, decreasing his stake by 20.93%.
Cumulatively, company insiders have sold over 1.07 million stock units during the past 90 days, worth approximately $31.5 million.
The stock’s 50-day moving average currently stands at $24.58, while the 200-day moving average sits at $24.96. QBTS carries a market capitalization of $7.29 billion with a beta coefficient of 1.56.
Institutional investors hold 42.47% of outstanding shares.
The 52-week low for QBTS is $4.45.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
