D-Wave Quantum today
- 52 week range
- US$0.71
▼
$11.41
- Target price
- $6.38
There has been a lot of news about quantum computing stocks over the past two weeks. This is especially true for D-Wave Quantum. New York Stock Exchange: QBTS. The 2025 stock was down more than 24% as of midday trading on Jan. 24. The stock hit its lowest for the year on January 13 following comments from Meta Platforms. NASDAQ: META Chief Executive Officer (CEO) Mark Zuckerberg. Zuckerberg said quantum computing is “still a long way from being a very useful paradigm.” After this, D-Wave shares fell 33%.
Since then, more news has emerged that has seen the stock rise more than 66% from that low. Below I will discuss these latest developments. I will add further analysis of D-Wave and the quantum industry.
D-Wave: Major Announcements Send Stocks Soaring
On January 15, important news emerged that benefited D-Wave shareholders. The company announced a partnership with Carahsoft Technology. Carahsoft is a reliable provider of IT solutions for government agencies. Through this partnership, D-Wave will be able to sell its technology through Carahsoft to the US government. The partnership could greatly benefit D-Wave. This makes it much easier for the company to sell its technology to the government. Technology companies like Palantir are showing that strong relationships with the US government can lead to massive growth.
D-Wave also recently announced its new Leap Quantum LaunchPad program. It gives qualified users three months of free access to the company’s cloud-based quantum computing service. This is an interesting move. That interest in purchasing its quantum services is still nascent is something of a self-admission. So, the company offers the service for free. However, this is also a great way for D-Wave to show potential customers what its technology can do without the financial risk. This will likely have a short-term impact on earnings, but the long-term benefits could far outweigh this.
Quantum shares also rose sharply after the announcement of the Stargate project. President Donald Trump praised the news that several firms will invest up to $500 billion in artificial intelligence development over the next four years. The announcement makes no mention of quantum computing. However, many believe that in the long term it will be closely intertwined with AI. In theory, quantum computing could provide much faster computing speeds while consuming significantly less power when processing AI workloads. Energy availability is a key bottleneck in AI. Trump’s support for AI could spark government interest in D-Wave’s technology, especially given its partnership with Carahsoft.
Adding context around D-Wave and the quantum industry
Investors should be aware that competition in the quantum space is much broader than just publicly traded companies. Venture capital funding for private quantum companies will reach $1.5 billion between 2024 and November. PsiQuantum reportedly raised $620 million in April 2024. After D-Wave recently issued even more shares, the company says it now has a cash balance of about $320 million.
Given these numbers, it’s possible that PsiQuantum has significantly more money to invest than D-Wave. Investors should be wary of emerging industry companies going public. This could signal that leading venture capitalists are not sufficiently convinced of the need to invest, forcing firms to go to public markets for capital. I’m not saying this applies to D-Wave, but it’s a market dynamic to be aware of.
Final Thoughts
D-Wave Quantum stock forecast today
$6.38
Growth potential 4.59%Buy
Based on ratings from 6 analysts
| High forecast | US$9.00 |
|---|---|
| Average forecast | $6.38 |
| Low forecast | $2.25 |
D-Wave Quantum Stock Forecast Details
Most agree that quantum computing is still a long way from being useful. NVIDIA NASDAQ: NVDA CEO Jensen Huang said it could be 15 to 30 years before quantum computers become “very useful.” D-Wave CEO Alan Baratz denied those comments, saying companies are now using the firm’s quantum technology. Indeed, the firm recently announced it had completed its first-ever purchase of a quantum annealing computer, D-Wave Advantage. In addition, order volume for fiscal 2024 increased by 120%.
Both sides have their own short-term interests. So their comments are of little help in establishing the truth. For now, the proof of this is in the earnings of companies like D-Wave. The company generated less than $10 million in revenue over the past 12 months, despite having a market capitalization of about $2 billion. This revenue indicates that customers are paying D-Wave for its technology, but mass adoption is still a long way off.
Quant stocks will remain volatile. Comments and statements from technical experts will stimulate their trading. Due to the early stage of quantum development and the low earnings of these companies, it is difficult to say whether they are truly undervalued. However, Wall Street analysts still see significant growth potential in D-Wave. Average price targets released in January implied upside potential of about 30%.
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