D-Wave Quantum (NYSE:QBTS) Upgraded to Strong-Buy at Benchmark

Key Points

• Benchmark upgraded D-Wave Quantum to “strong buy,” adding to largely positive analyst sentiment. The stock has a “Moderate Buy” consensus rating and an average price target of $36.47.
• QBTS opened at $17.64 after falling 9.6%, well below its 52-week high of $46.75. The company’s latest quarter showed a $0.05-per-share loss and revenue of $2.86 million, down 80.9% year over year and below expectations.
• Commercial adoption remains a potential catalyst, with D-Wave’s expanded AT&T partnership reportedly cutting a network-optimization workload from about 60 minutes to 15 seconds. However, D-Wave remains unprofitable, and insiders have sold approximately $35.8 million of shares over the past 90 days.

D-Wave Quantum (NYSE:QBTS - Get Free Report) was upgraded by stock analysts at Benchmark to a "strong-buy" rating in a research note issued to investors on Monday,Zacks.com reports.

QBTS has been the subject of several other research reports. Stifel Nicolaus set a $35.00 price target on shares of D-Wave Quantum in a research report on Tuesday, June 2nd. B. Riley Financial lifted their price objective on shares of D-Wave Quantum from $36.00 to $40.00 and gave the company a "buy" rating in a report on Tuesday, June 2nd. Northland Securities began coverage on shares of D-Wave Quantum in a research note on Monday, April 20th. They issued a "market perform" rating and a $22.00 price objective for the company. Needham & Company LLC restated a "buy" rating and set a $40.00 target price on shares of D-Wave Quantum in a report on Tuesday, June 2nd. Finally, Canaccord Genuity Group dropped their target price on D-Wave Quantum from $43.00 to $41.00 and set a "buy" rating on the stock in a research report on Wednesday, May 13th. Two analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, D-Wave Quantum has an average rating of "Moderate Buy" and a consensus price target of $36.47.

D-Wave Quantum Trading Down 9.6%

QBTS opened at $17.64 on Monday. D-Wave Quantum has a 52 week low of $12.75 and a 52 week high of $46.75. The company has a market capitalization of $6.53 billion, a P/E ratio of -15.61 and a beta of 2.11. The stock's fifty day moving average is $22.99 and its two-hundred day moving average is $21.07. The company has a quick ratio of 21.31, a current ratio of 21.41 and a debt-to-equity ratio of 0.03.

D-Wave Quantum (NYSE:QBTS - Get Free Report) last posted its quarterly earnings results on Tuesday, May 12th. The company reported ($0.05) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.08) by $0.03. D-Wave Quantum had a negative return on equity of 44.06% and a negative net margin of 2,957.23%.The business had revenue of $2.86 million for the quarter, compared to the consensus estimate of $4.19 million. During the same quarter in the prior year, the company earned ($0.02) EPS. The business's revenue was down 80.9% compared to the same quarter last year. Analysts forecast that D-Wave Quantum will post -0.42 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Rohit Ghai sold 13,518 shares of the business's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $26.41, for a total transaction of $357,010.38. Following the sale, the director owned 23,617 shares in the company, valued at approximately $623,724.97. The trade was a 36.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director John D. Dilullo sold 7,850 shares of the company's stock in a transaction that occurred on Friday, June 5th. The shares were sold at an average price of $24.43, for a total transaction of $191,775.50. Following the transaction, the director owned 21,310 shares in the company, valued at $520,603.30. The trade was a 26.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 1,363,842 shares of company stock valued at $35,789,148. 1.30% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On D-Wave Quantum

A number of institutional investors have recently modified their holdings of the stock. Root Financial Partners LLC raised its position in D-Wave Quantum by 388.0% during the fourth quarter. Root Financial Partners LLC now owns 976 shares of the company's stock valued at $26,000 after acquiring an additional 776 shares in the last quarter. Parallel Advisors LLC lifted its holdings in D-Wave Quantum by 545.5% during the first quarter. Parallel Advisors LLC now owns 1,788 shares of the company's stock valued at $26,000 after purchasing an additional 1,511 shares in the last quarter. Kemnay Advisory Services Inc. purchased a new position in D-Wave Quantum in the 4th quarter valued at about $28,000. PeakShares LLC acquired a new stake in shares of D-Wave Quantum in the first quarter worth approximately $29,000. Finally, EverSource Wealth Advisors LLC boosted its stake in D-Wave Quantum by 267.7% during the 4th quarter. EverSource Wealth Advisors LLC now owns 1,151 shares of the company's stock worth $30,000 after purchasing an additional 838 shares during the last quarter. Hedge funds and other institutional investors own 42.47% of the company's stock.

D-Wave Quantum News Roundup

Here are the key news stories impacting D-Wave Quantum this week:

• Positive Sentiment: Expanded AT&T partnership provides important commercial validation. AT&T is expanding its use of D-Wave’s quantum-annealing technology across network operations. A highlighted workload reportedly fell from approximately 60 minutes to 15 seconds—a 240-fold acceleration—suggesting D-Wave’s systems are moving beyond research and into real enterprise applications. D-Wave’s AT&T Deal Shows Quantum Computing Is Moving Beyond Theory
• Positive Sentiment: Analyst targets signal significant potential upside. Rosenblatt Securities reaffirmed its Buy rating and assigned a $43 price target. Benchmark also initiated coverage with a Buy rating and a $30 target, reflecting increased confidence that commercial partnerships could improve D-Wave’s long-term growth outlook. Rosenblatt Reiterates Buy Rating
• Neutral Sentiment: Sector volatility is tempering the initial rally. Quantum-computing shares rose sharply after the D-Wave and AT&T announcements but later decreased as Nvidia-led concerns about AI infrastructure spending triggered a broader technology pullback. The move appears partly related to profit-taking and sector-wide risk reduction rather than a reversal in the AT&T opportunity. D-Wave Quantum Dips, Moderating Previous Day’s Rally
• Negative Sentiment: Weak financial performance remains a key risk. D-Wave’s latest reported quarter included revenue of $2.86 million, down 80.9% year over year and below analyst expectations, despite an adjusted loss per share that beat forecasts. The company remains unprofitable and is valued largely on anticipated future commercialization.
• Negative Sentiment: Insider selling is a modest negative signal. Vice President Sophie Ames sold 3,070 shares for approximately $52,000 under a pre-arranged Rule 10b5-1 plan. The transaction reduced her holdings by only 0.52%, limiting its importance. SEC Insider Filing

About D-Wave Quantum

D-Wave Quantum Inc NYSE: QBTS develops and provides quantum computing systems, software and services focused on quantum annealing technology. Headquartered in Burnaby, British Columbia, D-Wave designs specialized processors that leverage quantum mechanics to solve complex optimization and sampling problems. Since its founding in 1999 by physicists including Geordie Rose, the company has pursued the development of commercially viable quantum hardware and accompanying software tools.

The company's product portfolio centers on its quantum annealers, which are complemented by hybrid solvers that integrate classical and quantum computing resources.

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