D-Wave Quantum (NASDAQ:QBTS) Stock Price Down 7.9% - Time to Sell?

Key Points

• D-Wave Quantum shares fell 7.9% to $10.65 in heavy trading, well below their 50-day and 200-day moving averages of $15.61 and $19.47, respectively.
• The company’s latest quarter raised fundamental concerns: revenue of $3.08 million missed expectations of $4.03 million, adjusted EPS came in at a $0.10 loss, and D-Wave continues to report steep losses.
• Despite a consensus “Moderate Buy” rating and an average $36.27 price target, investors face significant risks from the stock’s high valuation, speculative quantum-computing outlook, and pending securities litigation alleging misleading disclosures.

D-Wave Quantum Inc. (NASDAQ:QBTS - Get Free Report)'s stock price was down 7.9% during mid-day trading on Friday. The stock traded as low as $10.23 and last traded at $10.65. Approximately 18,530,258 shares were traded during mid-day trading, a decline of 28% from the average session volume of 25,689,125 shares. The stock had previously closed at $11.56.

D-Wave Quantum News Summary

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

• Positive Sentiment: D-Wave continues to receive favorable attention from growth-oriented investors as a pure-play quantum-computing company. Commentary has highlighted its quantum-powered optimization tools and the broader sector’s long-term potential. 3 Quantum Computing Stocks to Buy Before They Soar in 2027
• Positive Sentiment: Quantum-computing coverage also identifies D-Wave as a company investors should monitor, although the sector’s long-term opportunity remains speculative and dependent on commercial adoption and revenue growth. 5 Quantum Computing Stocks Investors Should Be Watching in 2027
• Neutral Sentiment: Several firms reminded investors that December 15, 2026 is the deadline to seek appointment as lead plaintiff in the pending federal securities class action; one notice cited December 14. These releases mainly repeat procedural information and do not represent new operating developments. Investor Deadline Notice
• Negative Sentiment: Multiple law firms, including Pomerantz, Robbins Geller, Kaplan Fox, Rosen and others, are soliciting investors who purchased QBTS shares between February 26 and August 25, 2026. The suits allege that D-Wave and certain executives made materially false or misleading statements and failed to disclose important information. The allegations have not been proven in court. Howard G. Smith Class Action Notice
• Negative Sentiment: The litigation centers partly on D-Wave’s second-quarter revenue of $3.08 million, which was roughly 24% below analyst expectations of about $4.03 million. The earnings shortfall and continued losses raise concerns about the company’s revenue trajectory and support the stock’s recent decline. SueWallSt QBTS Deadline Notice
• Negative Sentiment: Analysts and financial commentary have questioned QBTS’s valuation relative to its limited revenue, emphasizing that quantum-computing companies are trading well ahead of current fundamentals. This leaves the stock particularly vulnerable to disappointing results or adverse legal developments. D-Wave Quantum Valuation Commentary

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. Jefferies Financial Group set a $40.00 price objective on shares of D-Wave Quantum in a report on Friday, August 7th. Weiss Ratings upgraded shares of D-Wave Quantum from a "sell (e+)" rating to a "sell (d-)" rating in a report on Friday, August 28th. BMO Capital Markets began coverage on shares of D-Wave Quantum in a research note on Thursday, August 20th. They issued an "outperform" rating and a $35.00 price objective for the company. Wall Street Zen upgraded shares of D-Wave Quantum from a "strong sell" rating to a "sell" rating in a research note on Saturday, August 8th. Finally, Rosenblatt Securities restated a "buy" rating and issued a $43.00 target price on shares of D-Wave Quantum in a research note on Friday, August 7th. Thirteen analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $36.27.

D-Wave Quantum Stock Down 7.9%

The firm's 50-day moving average price is $15.61 and its two-hundred day moving average price is $19.47. The firm has a market cap of $3.94 billion, a PE ratio of -15.00 and a beta of 2.18. The company has a debt-to-equity ratio of 0.03, a quick ratio of 20.42 and a current ratio of 20.55.

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

Institutional Investors Weigh In On D-Wave Quantum

A number of institutional investors and hedge funds have recently bought and sold shares of QBTS. CoreCap Advisors LLC boosted its position in D-Wave Quantum by 9.2% during the 2nd quarter. CoreCap Advisors LLC now owns 6,115 shares of the company's stock worth $147,000 after purchasing an additional 515 shares during the period. GAMMA Investing LLC increased its holdings in shares of D-Wave Quantum by 21.7% in the 3rd quarter. GAMMA Investing LLC now owns 3,922 shares of the company's stock valued at $65,000 after acquiring an additional 698 shares during the last quarter. Private Advisor Group LLC grew its position in shares of D-Wave Quantum by 2.4% during the 1st quarter. Private Advisor Group LLC now owns 33,341 shares of the company's stock valued at $481,000 after buying an additional 781 shares during the last quarter. Fiduciary Financial Advisors acquired a new stake in shares of D-Wave Quantum during the 2nd quarter worth approximately $25,000. Finally, Strengthening Families & Communities LLC grew its position in shares of D-Wave Quantum by 72.6% during the third quarter. Strengthening Families & Communities LLC now owns 2,473 shares of the company's stock worth $41,000 after acquiring an additional 1,040 shares during the last quarter. Hedge funds and other institutional investors 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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