Bullish indicating open at $55-$60, IPO prices at $37
Investing.com - Benchmark has reiterated its Buy rating and $20.00 price target on D-Wave Quantum Inc. (NYSE:QBTS), citing the company’s strong momentum across technology, customer, and financial fronts. According to InvestingPro data, analyst targets range from $20 to $30, with a strong consensus Buy recommendation of 1.22.
The research firm highlighted D-Wave’s accelerating revenue growth, expanding customer base, and unique leadership position in annealing quantum computing as key factors supporting the rating decision. The company’s impressive revenue growth of 120.2% and industry-leading gross profit margin of 82.46% in the last twelve months support this positive outlook.
Benchmark noted that D-Wave’s record cash position of over $819 million provides substantial runway to advance both organic R&D and targeted M&A, positioning the company to address high-value computational problems.
The firm expects continued commercial traction for Advantage2 to drive bookings in the near term, while D-Wave’s dual-track development of annealing and gate-model systems creates optionality across complementary quantum computing architectures.
Benchmark believes the current valuation represents an attractive entry point, suggesting the market has not yet appreciated the differentiated advantage of annealing in solving real-world optimization problems at scale.
In other recent news, D-Wave Quantum Inc. reported its second-quarter earnings for fiscal year 2025, which showed a mixed performance. The company posted an earnings per share of -$0.08, missing the forecasted -$0.05. However, D-Wave’s revenue reached $3.1 million, surpassing expectations of $2.59 million. Additionally, Piper Sandler raised its price target for D-Wave Quantum from $13 to $22, maintaining an Overweight rating. The research firm highlighted the company’s June quarter earnings, which slightly exceeded expectations. Piper Sandler also noted that D-Wave is benefiting from the availability of its Advantage2 system and increased traction in the quantum computing sector. These developments provide investors with crucial insights into D-Wave’s current financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.