D-Wave Quantum Inc. (QBTS) shares surged 46.9% on positive earnings and forward guidance.

From Nasdaq: 2025-03-17 15:05:00

Quantum computing stocks, like D-Wave Quantum Inc. (QBTS), saw a surge in December with the introduction of Willow, a quantum computing chip by Alphabet Inc. (GOOGL). However, NVIDIA Corporation’s (NVDA) CEO mentioned that commercializing quantum computing could take 15 years, causing D-Wave shares to drop.

D-Wave shares rose 46.9% on Friday, reaching a year-to-date gain of 20.8%, driven by positive earnings and strong forward guidance. The company expects first-quarter sales of $10 million, well above analyst estimates. D-Wave’s recent scientific breakthrough and partnership with the Julich Supercomputing Centre have also boosted its stock.

With positive forward guidance and substantial growth prospects in quantum computing, risk-tolerant investors may consider holding onto D-Wave stock. Brokers have raised the price target to $11, signaling a potential upside of 59.2%. However, the nascent stage of quantum computing and competition from tech giants like Alphabet and Microsoft pose challenges for D-Wave.

D-Wave faces significant challenges, including reported EBITDA losses, raising doubts about its leadership in the quantum computing space. While the company’s recent achievements are promising, risk-averse investors may want to wait for more developments before investing. D-Wave currently holds a Zacks Rank #3 (Hold) status.



Read more at Nasdaq: D-Wave Shares Jump 46.9% on Friday – Should You Buy QBTS Stock?