D-Wave Quantum (QBTS) Shares Drop Despite Strong Revenue Beat as Losses Widen

D-Wave Quantum Inc. saw its shares decline 8.5% post-earnings despite a 100% year-over-year revenue surge to $3.7 million, surpassing analyst expectations. The quantum computing firm's wider-than-expected losses, driven by non-cash warrant remeasurement charges, appear to have tempered investor enthusiasm.

Needham's Quinn Bolton maintains a bullish $48 price target, projecting 69% upside potential. His confidence echoes Roth MKM's Sujeeva De Silva, who reaffirmed a Buy rating despite trimming his target to $40. Both analysts rank among TipRanks' top 1% of performers, with Bolton delivering 37% average returns across his recommendations.

The quantum computing sector continues drawing institutional interest as commercialization efforts accelerate. D-Wave's bookings growth suggests enterprise adoption is progressing, though the path to profitability remains clouded by heavy R&D investments characteristic of frontier technology plays.