D-Wave Quantum or a Quantum ETF: Which Is the Better Bet?

Key Points

• Quantum computing remains a high-potential but highly speculative investing theme as companies continue working toward broader commercialization.
• ETFs such as WQTM and CQTM can give investors diversified exposure to the sector without relying on a single early-stage winner.
• D-Wave remains one of the more closely watched pure-play quantum names, but its valuation still depends heavily on future revenue growth.

As quantum computing investors eagerly await the latest updates from leading firms in the industry that will come with the second-quarter earnings release period in August, the threat of emerging names is real.

This is particularly the case given that some of those top pure-play quantum names have faced punishing share-price pullbacks that have remained stubborn throughout the summer. D-Wave Quantum Inc. NYSE: QBTS is one of those firms, with returns totaling over -32% year to date (YTD) and a fairly steady downward trajectory since early June.

The latest earnings updates may provide some clarity on which companies could be best positioned to turn their shares around. But a bigger question on some investors' minds may be whether the quantum industry has developed to a sufficient degree to warrant individual investments in companies at this stage—after all, many firms are either pre-profit or have minuscule top and bottom lines relative to their valuations—or whether a broader approach to the space may be a better bet for now.

The Case for Quantum ETFs at This Stage

A handful of individual quantum companies have begun to distinguish themselves from the broader pack, but perhaps not so much as to clearly identify a leader. All firms continue to wrestle with commercializing their products on a large scale, converting technological advances into products that address common, real-world needs, and expanding their customer bases.

With this in mind, a safer bet than taking a chance on one or more specific companies might be to target exchange-traded funds (ETFs) tracking the quantum space. Investors should beware, though, that some of these funds have a broader tech focus, so finding a true quantum ETF may take some looking.

A fund like the WisdomTree Quantum Computing Fund BATS: WQTM is one of those funds. Tracking an index of pure-play quantum names and more established industry leaders with a quantum reach, the fund maintains a basket of about 46 names that are fairly evenly weighted.

WQTM focuses on U.S. companies but also holds international names, ensuring a broad view of the nascent quantum space.

While assets under management (AUM) are modest at under $300 million, trading volume is fairly high by comparison.

Best of all, perhaps, the diversification this fund provides has allowed it to post returns above 20% YTD, beating the broader market on the strength of those quantum names that have stood out this year. Given all of this for a moderate expense ratio of 0.45%, WQTM provides a compelling access point.

Another option is the Corgi Quantum Computing ETF BATS: CQTM, an actively managed fund launched in May 2026.

With an even more modest AUM and a low trading volume, this fund is just getting off the ground.

However, it stands apart for its active approach and nimble portfolio management, and the fund holds just 21 positions.

With an annual fee of 0.35%, CQTM is actually cheaper than many passively managed alternatives. Still, returns are difficult to assess at this early stage, making CQTM a more speculative play.

The Case for D-Wave

If there is a single quantum stock to focus on in place of a broad ETF, D-Wave would be a strong candidate. The main reasons this company stands out have been consistent for many quarters: D-Wave is the only major pure-play firm taking a two-pronged technical approach to the quantum challenge, it continues to hold strong cash reserves while not being afraid to deploy them for strategic acquisitions and other projects, and its backlog and demand continue to grow.

A big question when D-Wave releases Q2 2026 earnings will be whether it can reignite its revenue growth engines, as the company has achieved a number of crucial R&D milestones recently but has not executed on sales with the same degree of success as some of its rivals.

The company's valuation is also a concern: even after the recent dip, it trades at a price-to-sales (P/S) ratio of 267.9, which is wildly high given its Q1 revenue of under $3 million. Something will likely have to give—either sales will need to improve considerably, or the share price may need to come down further, or both—for cost-conscious investors to look more seriously.

This has not stopped Wall Street from continuing to view QBTS as a strong pick. Buy ratings number 14, while Sells and Holds total just three, indicating broad support from analysts. They also expect the share price to more than double.