D-Wave Quantum (NASDAQ:QBTS) Stock Falls 1.8% - Time to Sell?

Key Points

• D-Wave Quantum shares fell 1.8% to $11.56, with trading volume well below average. The stock remains an early-stage, unprofitable company with a $4.28 billion market capitalization.
• The company reported disappointing quarterly results, including $3.08 million in revenue versus $4.03 million expected and an adjusted loss of $0.10 per share. Its valuation and weak operating performance have fueled investor concerns.
• Despite risks from a securities class-action lawsuit and the earnings miss, D-Wave has received positive business and analyst attention, including an LG CNS partnership, customer recognition in Japan, and a consensus “Moderate Buy” rating with a $36.27 price target.

D-Wave Quantum Inc. (NASDAQ:QBTS - Get Free Report)'s share price was down 1.8% during trading on Thursday. The company traded as low as $11.22 and last traded at $11.56. Approximately 10,805,483 shares changed hands during mid-day trading, a decline of 58% from the average session volume of 25,722,654 shares. The stock had previously closed at $11.77.

Key Stories Impacting D-Wave Quantum

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

• Positive Sentiment: D-Wave signed a non-binding memorandum of understanding with South Korea’s LG CNS to expand quantum-optimization applications for enterprise customers in Asia. While the agreement does not yet establish revenue commitments, it supports the company’s international adoption strategy. D-Wave Enters MoU With LG CNS to Drive Quantum Computing Adoption in South Korea
• Positive Sentiment: Customer Shionogi won first place in the Quality of Life category of Japan’s NEDO Quantum Computing Challenge for drug-discovery research using quantum computing. The recognition offers third-party validation of D-Wave’s potential real-world applications. D-Wave Customer Shionogi Wins First Place in NEDO Quantum Computing Challenge’s Quality of Life Category
• Positive Sentiment: Investor-focused commentary continues to identify D-Wave’s quantum-powered optimization and “efficiency expert” tools as potential growth drivers, keeping the stock on some 2027 quantum-computing watchlists. 3 Quantum Computing Stocks to Buy Before They Soar in 2027
• Neutral Sentiment: Analyst coverage cited an average price target of $36.27, but the target contrasts sharply with recent trading levels and does not remove the risks associated with D-Wave’s early-stage, unprofitable business.
• Negative Sentiment: Multiple law firms publicized a securities class action alleging that D-Wave and certain officers made misleading statements about revenue and operating prospects between February 26 and August 25, 2026. The lead-plaintiff deadline is December 15, 2026. The repeated announcements increase legal and reputational pressure, although the allegations have not been proven. Pomerantz Class Action Announcement
• Negative Sentiment: The litigation centers partly on quarterly revenue of $3.08 million, which missed expectations of roughly $4.03 million, while D-Wave also reported a larger-than-expected loss. Investors remain concerned that the company’s multibillion-dollar valuation is well ahead of current revenue, particularly as broader quantum stocks face selling and interest-rate caution. D-Wave Quantum Stock Looks Fully Priced After Its Huge Run

Analyst Ratings Changes

Several analysts have issued reports on QBTS shares. Canaccord Genuity Group set a $35.00 price objective on shares of D-Wave Quantum in a research note on Thursday, August 6th. Wedbush began coverage on D-Wave Quantum in a report on Monday, August 3rd. They set an "outperform" rating and a $40.00 price objective for the company. Zacks Research downgraded D-Wave Quantum from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 18th. Jefferies Financial Group set a $40.00 price objective on shares of D-Wave Quantum in a research report on Friday, August 7th. Finally, Roth Capital reaffirmed a "buy" rating and set a $30.00 price target on shares of D-Wave Quantum in a research note on Thursday, August 6th. Thirteen analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $36.27.

D-Wave Quantum Trading Down 1.8%

The company's 50 day simple moving average is $15.76 and its two-hundred day simple moving average is $19.55. The company has a quick ratio of 20.42, a current ratio of 20.55 and a debt-to-equity ratio of 0.03. The company has a market capitalization of $4.28 billion, a price-to-earnings ratio of -16.28 and a beta of 2.18.

D-Wave Quantum (NASDAQ:QBTS - Get Free Report) last announced its earnings results on Thursday, August 6th. The company reported ($0.10) earnings per share for the quarter, missing the consensus estimate of ($0.08) by ($0.02). D-Wave Quantum had a negative return on equity of 26.67% and a negative net margin of 2,001.59%. The business had revenue of $3.08 million for the quarter, compared to analysts' expectations of $4.03 million. During the same quarter last year, the firm earned ($0.08) earnings per share. The firm's quarterly revenue was down 0.6 compared to the same quarter last year. As a group, research analysts anticipate that D-Wave Quantum Inc. will post -0.46 earnings per share for the current fiscal year.

Institutional Trading of D-Wave Quantum

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. International Assets Investment Management LLC raised its holdings in D-Wave Quantum by 158.1% in the 3rd quarter. International Assets Investment Management LLC now owns 40,000 shares of the company's stock valued at $663,000 after buying an additional 24,502 shares during the period. Choreo LLC lifted its stake in D-Wave Quantum by 21.9% during the third quarter. Choreo LLC now owns 20,615 shares of the company's stock worth $342,000 after purchasing an additional 3,705 shares in the last quarter. Latitude Advisors LLC acquired a new stake in shares of D-Wave Quantum in the third quarter valued at $38,000. Flagship Harbor Advisors LLC lifted its stake in D-Wave Quantum by 4.1% during the 3rd quarter. Flagship Harbor Advisors LLC now owns 55,868 shares of the company's stock worth $926,000 after acquiring an additional 2,184 shares in the last quarter. Finally, Corecam Pte. Ltd. increased its stake in D-Wave Quantum by 32.6% during the third quarter. Corecam Pte. Ltd. now owns 44,519 shares of the company's stock worth $722,000 after purchasing an additional 10,947 shares during the period. Institutional investors and hedge funds own 42.47% of the company's stock.

D-Wave Quantum Company Profile

D-Wave Quantum Inc NASDAQ: QBTS is a quantum computing company that develops and provides quantum computing systems, software, and related services. The company focuses on both quantum annealing and gate-model quantum computing, with the goal of helping organizations address complex optimization, artificial intelligence, materials science, cybersecurity, and other computational challenges.

Its product portfolio includes quantum computing systems, hybrid quantum-classical solutions, and the Leap quantum cloud service, which gives customers access to D-Wave systems through the cloud.

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