Key Takeaways
- D-Wave Quantum (QBTS) shares advanced 5.6% Wednesday, reaching approximately $19.70 with 25.1 million shares changing hands.
- The quantum computing firm reports Q4 fiscal 2025 results Thursday pre-market; Wall Street forecasts a $0.06 per-share loss on $3.72 million in sales.
- Analyst consensus overwhelmingly favors the stock—15 of 16 rate it a buy with a $39.24 average target, suggesting potential gains exceeding 110%.
- D-Wave secured two significant agreements: a $10 million two-year Fortune 100 contract and a $20 million Advantage2 system purchase from Florida Atlantic University.
- Company executives offloaded more than 1 million stock units over three months, with the CFO divesting 100,000 shares at $30.03 each.
Shares of D-Wave Quantum (QBTS) posted a solid 5.6% gain Wednesday, touching an intraday peak of $19.81 before closing near $19.70. This represents a meaningful uptick from Tuesday’s $18.66 finish.
Trading activity registered 25.1 million shares—roughly 24% lighter than the typical daily average of 33 million shares.
The rally arrives just hours before the company unveils its fourth-quarter fiscal 2025 financial performance, scheduled for release Thursday morning ahead of the opening bell.
Wall Street forecasts call for a per-share deficit of $0.06 on top-line revenue of $3.72 million. If realized, these figures would mark a 61.74% revenue expansion year-over-year and a 38.1% narrowing of losses compared to the same period last year.
The projected shortfall represents a modest deterioration from the previous quarter’s $0.05 loss. Revenue projections sit slightly above Q3’s $3.7 million print.
D-Wave exceeded Wall Street estimates in its last quarterly report, delivering a $0.05 per-share loss against expectations of $0.07, while revenue of $3.7 million surpassed forecasts by 22%.
Analyst sentiment remains overwhelmingly positive entering Thursday’s announcement. Of 16 analysts tracking the stock, 15 maintain buy recommendations, establishing a collective price objective of $39.24. This target suggests potential appreciation exceeding 110% from current levels.
Earnings per share projections have climbed 4.46% during the past two months, signaling strengthening confidence ahead of the results.
TD Cowen’s Krish Sankar launched coverage earlier this month with a buy rating, highlighting that “leadership in quantum annealing is driving growth via high-margin, Advantage system sales and cloud services.”
Major Deals Announced
D-Wave unveiled a $10 million two-year quantum computing service partnership with a Fortune 100 enterprise recently. Additionally, Florida Atlantic University committed $20 million for an Advantage2 system acquisition.
Market participants will scrutinize management commentary to understand how these agreements convert into stable, repeatable revenue streams.
The firm distinguishes itself as the sole provider operating dual quantum computing platforms, delivering both annealing and gate-model architectures. Management highlights its gate-model technology achieves qubit fidelity exceeding 99.9%.
While gross profit margins exceed 82%, the company continues reporting operational deficits. Achieving positive cash generation requires revenue expansion outpacing cost increases—a challenging proposition for an organization simultaneously funding development across two distinct technology platforms.
Executive Stock Sales
Insider transaction patterns paint a more cautious picture. CFO John M. Markovich liquidated 100,000 stock units December 22nd at an average $30.03 price point, generating $3 million in proceeds. This transaction reduced his holdings by 6.36%.
Director Rohit Ghai disposed of 10,000 units at $24.28 on December 15th, trimming his stake by 20.93%.
Combined insider sales topped 1.07 million units over the trailing 90-day period, representing approximately $31.5 million in total value.
Technical indicators show the stock’s 50-day moving average at $24.58, while the 200-day moving average stands at $24.96. QBTS carries a $7.29 billion market capitalization and exhibits a beta coefficient of 1.56.
Institutional stakeholders control 42.47% of outstanding shares.
The stock’s 52-week floor sits at $4.45.
