D-Wave Quantum’s stock took a hit in November, dropping 38.8%, among the worst in the quantum computing sector. However, shares are slowly recovering after a Nobel laureate hinted at potential U.S. government investment. Concerns about an AI bubble and lack of quantum computing sales have impacted investor sentiment.
Investors are questioning the value of the technology and the high capital investment in AI companies. D-Wave, not an AI stock, is caught up in the hype cycle. Speculation around potential government investments and rate cuts has caused a recent uptick in D-Wave’s stock.
Rumors of direct government investment in quantum computing companies have been renewed, with a Nobel Prize-winning physicist hinting at White House concerns over China’s quantum technology advancements. D-Wave’s market capitalization far exceeds its sales, leading to skepticism over its valuation.
Despite recent stock recovery, skepticism remains over D-Wave’s valuation and the feasibility of commercially viable quantum computing. The Motley Fool’s Stock Advisor team has identified 10 better stock picks, cautioning against speculative investments in D-Wave.
Historically, Stock Advisor’s top 10 picks have outperformed the S&P 500, providing substantial returns. The Motley Fool has no position in D-Wave or the recommended stocks. Investment in D-Wave remains speculative amidst uncertainty surrounding quantum computing’s commercial viability.
Read more at Yahoo Finance: D-Wave Quantum’s Stock Price Crashed Nearly 40% in November. What’s Next For The Quantum Computing Company?
