D-Wave Quantum stock rating reiterated at Buy by Benchmark

Investing.com - Benchmark has reiterated its Buy rating and $20.00 price target on D-Wave Quantum Inc. (NYSE:QBTS) following a fireside chat and investor Q&A with the company’s leadership.

The research firm expressed increased confidence in D-Wave’s technology roadmap execution and improving traction in its go-to-market strategy, which is driving adoption of the company’s annealing architecture.

Benchmark highlighted D-Wave’s monetization strategy, core technology advantages, and commercial deployment of systems that are generating tangible business value today.

The firm remains encouraged by D-Wave’s strengthening pipeline of hardware sales and potential growth opportunity as Quantum Computing as a Service (QCaaS) related revenue gains momentum.

Benchmark noted that with $800 million in cash, nearly three times the fully funded model, D-Wave’s recent capital raises reduce dilution risk and provide flexibility to accelerate both annealing and gate-model strategies, positioning the company to address a broad range of quantum problems.

In other recent news, D-Wave Quantum Inc. completed a $400 million "at-the-market" equity offering, selling shares at an average price of $15.18 per share. This offering, conducted between June 11 and June 27, achieved a 149% premium over the company’s previous $150 million offering in January. Additionally, D-Wave Quantum announced a new strategic development initiative focused on advanced cryogenic packaging to enhance its quantum processor development. The company is collaborating with NASA’s Jet Propulsion Laboratory to utilize their superconducting bump-bond process for improved chip interconnectivity.

Rosenblatt Securities initiated coverage on D-Wave Quantum with a Buy rating and a $30.00 price target, citing the company’s strong position in the quantum computing market. B.Riley also raised its price target for D-Wave Quantum to $22.00 from $20.00, maintaining a Buy rating. Cantor Fitzgerald started coverage with an Overweight rating and a $20.00 price target, emphasizing the significant economic implications of quantum computing. These recent developments highlight D-Wave Quantum’s strategic growth initiatives and positive reception from analysts.

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