D-Wave Quantum (NASDAQ:QBTS) Downgraded by Zacks Research to “Hold”

Zacks Research downgraded shares of D-Wave Quantum (NASDAQ:QBTS) from a strong-buy rating to a hold rating in a report issued on Tuesday,Zacks.com reports.

Several other equities analysts have also weighed in on QBTS. Jefferies Financial Group set a $40.00 target price on shares of D-Wave Quantum in a report on Friday, August 7th. Benchmark initiated coverage on D-Wave Quantum in a report on Monday, July 27th. They issued a “buy” rating and a $30.00 price target for the company. Northland Securities initiated coverage on D-Wave Quantum in a research report on Monday, April 20th. They issued a “market perform” rating and a $22.00 price objective on the stock. B. Riley Financial boosted their price objective on D-Wave Quantum from $36.00 to $40.00 and gave the stock a “buy” rating in a research note on Tuesday, June 2nd. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $43.00 target price on shares of D-Wave Quantum in a research report on Friday, August 7th. Twelve 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. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $36.36.

D-Wave Quantum Stock Down 1.1%

Shares of NASDAQ:QBTS opened at $19.32 on Tuesday. The stock has a 50-day simple moving average of $20.78 and a 200-day simple moving average of $20.25. The stock has a market capitalization of $7.15 billion, a P/E ratio of -27.21 and a beta of 2.15. D-Wave Quantum has a 1 year low of $12.75 and a 1 year high of $46.75. 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) last posted 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). D-Wave Quantum had a negative net margin of 2,001.59% and a negative return on equity of 26.67%. The business had revenue of $3.08 million during the quarter, compared to analysts’ expectations of $4.03 million. During the same quarter in the previous year, the business posted ($0.08) EPS. The company’s quarterly revenue was down 0.6 on a year-over-year basis. Equities analysts forecast that D-Wave Quantum will post -0.46 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director John D. Dilullo sold 7,850 shares of the stock in a transaction dated 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 of the company’s stock, valued at approximately $520,603.30. This trade represents a 26.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO John M. Markovich sold 200,000 shares of D-Wave Quantum stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $25.71, for a total value of $5,142,000.00. Following the completion of the transaction, the chief financial officer owned 1,142,820 shares of the company’s stock, valued at $29,381,902.20. This trade represents a 14.89% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 1,340,817 shares of company stock worth $35,352,133. Company insiders own 1.30% of the company’s stock.

Institutional Investors Weigh In On D-Wave Quantum

Institutional investors have recently made changes to their positions in the company. BlackRock Inc. bought a new position in D-Wave Quantum during the second quarter worth $795,206,000. UBS Group AG lifted its position in shares of D-Wave Quantum by 541.6% in the 3rd quarter. UBS Group AG now owns 12,089,703 shares of the company’s stock worth $298,737,000 after buying an additional 10,205,427 shares during the last quarter. Geode Capital Management LLC boosted its holdings in shares of D-Wave Quantum by 11.5% in the 4th quarter. Geode Capital Management LLC now owns 8,394,726 shares of the company’s stock valued at $220,085,000 after buying an additional 866,405 shares during the period. State Street Corp boosted its holdings in shares of D-Wave Quantum by 5.3% in the 4th quarter. State Street Corp now owns 7,707,085 shares of the company’s stock valued at $201,540,000 after buying an additional 385,809 shares during the period. Finally, Marex Group plc grew its position in shares of D-Wave Quantum by 74.9% during the 4th quarter. Marex Group plc now owns 4,592,656 shares of the company’s stock valued at $120,098,000 after buying an additional 1,966,500 shares during the last quarter. 42.47% of the stock is currently owned by institutional investors.

D-Wave Quantum News Roundup

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

• Positive Sentiment: Commercial adoption is expanding. NTT DOCOMO deployed a second D-Wave-powered quantum application in production for network operations. The development provides evidence that D-Wave’s technology is moving beyond experimentation toward real-world enterprise use. D-Wave Technology Drives NTT DOCOMO’s Second Production Quantum Application in Network Operations
• Positive Sentiment: Bookings showed significant momentum. A recent comparison article highlighted a 1,120% year-over-year increase in second-quarter bookings to $36 million, suggesting potential for future revenue growth if the company converts bookings into recognized sales. D-Wave Quantum vs. Microsoft
• Positive Sentiment: Sector and policy catalysts remain supportive. Coverage points to recent U.S. quantum initiatives and the intensifying U.S.-China technology race as potential long-term tailwinds for D-Wave and other quantum-computing companies. U.S.-China 2026 Tech Race
• Neutral Sentiment: Analysts see substantial upside, but execution is critical. One review cited approximately 71% implied price upside while warning that investors need evidence of bookings translating into revenue. Quantum-focused investors are also comparing individual stocks such as QBTS with diversified ETFs. D-Wave Stock: 71% Potential Upside
• Negative Sentiment: Valuation and profitability remain major risks. D-Wave has minimal revenue, remains unprofitable and trades at a valuation that critics describe as excessive. Its latest quarterly revenue also came in below expectations, increasing the importance of future commercial conversion.
• Negative Sentiment: Higher interest rates are hurting speculative stocks. A rise in long-term Treasury yields triggered a broad rotation out of high-risk technology names, including quantum stocks, weighing on QBTS alongside IonQ and Rigetti. Quantum Stocks Fall as Rates Force Rotation

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.