D-Wave Quantum Inc. (QBTS) saw its shares rise 61.6% since May 19, following a first-quarter earnings report that featured record bookings growth of 1,994% year over year, totaling $33.4 million. The company also reported remaining performance obligations climbing 563% to $42.4 million, indicating strong future revenue visibility. Prior to the earnings release, D-Wave shares had declined 32.3% from January to mid-May, primarily due to uncertainties in commercialization and competition in the quantum computing sector.
The company’s significant achievements include a $20 million system sale to Florida Atlantic University and a $10 million two-year quantum computing-as-a-service agreement with a Fortune 100 company. D-Wave is projecting a 63.3% revenue growth for 2026, accompanied by a 72.1% increase in earnings. However, risks such as reliance on large system sales timing, rising operational expenses post-acquisition of Quantum Circuits, and intense industry competition remain, with many commercial applications still in the early stages.
Currently, D-Wave holds $588 million in liquidity and expects a considerable portion of its 2026 revenues will be recognized in the latter half of the year as large deals progress towards delivery. Despite the promising growth outlook, the stock carries a Zacks Rank #3 (Hold), indicating cautious investor sentiment as the company navigates volatile market conditions.
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