Latest news with #D-Wave
CNBC
5 hours ago
- Business
- CNBC
The best ways to play the emergence of quantum computing, according to Rosenblatt
Investors wanting to get in early on the emerging space of quantum computing might want to consider D-Wave and IonQ , according to Rosenblatt analyst Kevin Garrigan. He initiated the two quantum computing stocks with buy ratings and a price target of $30 for D-Wave and $70 for IonQ. Those predictions imply gains of about 64% or more for both stocks from their latest close. "Quantum computing promises to solve certain classes of problems that are intractable for even the most advanced classical supercomputers," Garrigan wrote in a Monday note to clients. "While widespread quantum advantage is still several years away, targeted applications in optimization, quantum chemistry, and cybersecurity are already driving early enterprise adoption," Garrigan continued. "We believe companies demonstrating near-term commercial traction through hybrid quantum-classical solutions while also monitoring long-term disruptive plays in cryptography and AI acceleration as quantum hardware scales is important." A handful of quantum stocks have already seen a sharp run-up their valuations this year as investors bet on the fast-growing technology and companies innovate quantum computing chips and systems . Volatility persists as quantum computing remains in its infancy, but bulls remain focused on its ultimate potential to revolutionize functions across industries. D-Wave is up more than 122% year to date, after rallying 1,812% over the past 12 months. IonQ has added just 3.6% in 2025, but has surged more than 452% over the past year. Rigetti Computing , another quantum computing play , is up nearly 2% year to date but has rallied roughly 41% over the past month. Rigetti shares have surged 1,458% over the past year, according to FactSet. IonQ, which went public via SPAC in 2021, expects quantum to achieve broad commercial application by 2030, Garrigan said. "IonQ is a leading pure-play public company specializing in trapped-ion quantum computing, leveraging atomic ions suspended in electromagnetic fields as qubits," the analyst wrote. "Known for their long coherence times, high fidelity, and full qubit connectivity, trapped-ion systems offer architectural advantages but face challenges with slower gate speeds and scaling laser control as qubit counts increase." IonQ has made several acquisitions in recent years, bolstering its own capabilities in quantum internet infrastructure, he added. QBTS 1Y mountain D-Wave stock performance over the past year. D-Wave is known to deploy quantum computing technology that is energy-efficient. Upon initiating the stock, Garrigan highlighted that D-Wave uniquely specializes in quantum annealing systems, which he said solve "large-scale optimization problems by evolving a system to its lowest energy state." "Unlike gate-based quantum computers, D-Wave's annealers excel at problems with complex variables and constraints, offering significant energy efficiency advantages — claiming up to 1,000x reduction in compute power for tasks like hashing," he said. D-Wave in late May announced its most advanced quantum computing system , Advantage2, and said the computer offers a 40% boost in energy scale and can use fewer qubits to solve problems. Additionally, Garrigan noted a significant jump in venture capital investment over the past decade that has encouraged the rise of quantum startups and investor enthusiasm. He highlighted private players such as Alice & Bob and IQM Quantum Computers alongside megacap tech companies IBM and Google that are also making developments in the field.
Business Insider
16 hours ago
- Business
- Business Insider
D-Wave Quantum initiated with a Buy at Rosenblatt
Rosenblatt initiated coverage of D-Wave Quantum (QBTS) with a Buy rating and $30 price target The firm believes D-Wave offers a differentiated way to gain exposure to the rapidly growing quantum computing market. Rosenblatt added that it believes quantum annealing, a subsector of quantum computing, offers advantages over both classical computing and gate-based quantum systems for optimization workloads. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Business Insider
2 days ago
- Business
- Business Insider
D-Wave Stock Skyrocketed 1,732%: Here's What Canaccord Expects Next
D-Wave (NYSE:QBTS) stock is attracting attention as quantum computing gains traction for its potential to revolutionize processing power and tackle problems beyond the reach of classical computers. While gate-based quantum systems remain mostly experimental, D-Wave's specialty – quantum annealing – has already been applied to real-world commercial challenges for years. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. That real-world applicability is a key reason why Canaccord analyst Kingsley Crane sees D-Wave as uniquely positioned in the quantum space. 'D-Wave is not only the clear market leader in quantum annealing but has lead innovation in the space since its inception,' the analyst opined. Backing that conviction, Crane outlines three main reasons he considers D-Wave a 'compelling investment.' First, although the broader quantum field is buzzing with long-term potential, Crane points out that gate-based quantum models – often seen as the endgame – still face a murky path to commercialization. Estimates on readiness vary widely, from a few years to well over a decade. In contrast, D-Wave is already delivering value through its quantum annealing systems, with many clients using hybrid solutions today. 'In the meantime,' says Crane, 'D-Wave is solving problems for customers (in many cases using a hybrid approach) and is getting paid to do so. All the while, D-Wave is also actively researching and developing in the gate model space which embeds a gate model 'call option' into the stock.' Second, D-Wave's diversified business model adds another layer of appeal. Its Leap platform – a quantum computing-as-a-service (QCaaS) offering – is the core driver of recurring revenue, providing enterprises with real-time quantum access. At the same time, D-Wave has started to gain traction selling physical systems, notably racking up $18 million in bookings in Q4 of 2024. 'As the recurring QCaaS revenue base continues to ramp, system sales present a powerful auxiliary revenue stream,' Crane noted, while also acknowledging the potential volatility it introduces. The third pillar of Crane's thesis centers on leadership. D-Wave is led by a highly experienced core team with deep technical knowledge and a strong track record of innovation. In Crane's history of analyzing transformative software companies, those with category-defining leadership often represent 'generational investment opportunities.' D-Wave is a 'special case,' where it is not only the pioneer of quantum annealing, but has also maintained its leadership in R&D within this niche for decades. CEO Alan Baratz, who joined in 2017, and Chief Development Officer Trevor Lanting, who has been with the company since 2008, bring extensive scientific and technological expertise to the table. With revenue beginning to accelerate, Crane believes this team will 'continue to build on its advantage as revenue now begins to inflect.' Of course, with investor excitement running high, valuations have followed suit. QBTS shares have skyrocketed 1,732% over the past year, and at over 100 times projected 2026 sales, the stock now falls squarely into 'long-term concept' territory. Even so, Crane initiated coverage on QBTS with a Buy rating and a $20 price target – a 6% above Friday's closing price – while suggesting a bull case scenario could push shares as high as $45. (To watch Crane's track record, click here) To find good ideas for stocks trading at attractive valuations, visit TipRanks' Best Stocks to Buy, a tool that unites all of TipRanks' equity insights.
Yahoo
5 days ago
- Business
- Yahoo
Why D-Wave Quantum Stock Is Soaring Today
Key Points D-Wave Quantum has seen its stock price surge dramatically over the past year, fueled by a general excitement around the advanced technology. A Wall Street analyst increased their price target for D-Wave stock. While quantum computing holds long-term promise, investors should remember this is a technology in its very early days. 10 stocks we like better than D-Wave Quantum › Shares of D-Wave Quantum (NYSE: QBTS) are jumping on Wednesday, up 10.5% as of 2:50 p.m. ET. The rise comes as the S&P 500 and Nasdaq Composite gained 0.7% and 0.5%, respectively. D-Wave, a company developing quantum computing technology, is riding momentum in the broader quantum market as its stock receives a price target upgrade from a Wall Street analyst. This analyst is bullish An analyst at the investment bank B. Riley Financial increased their price target for shares of D-Wave while maintaining a buy rating. The analyst increased the target price from $20 to $22 and signaled their confidence in its potential. This comes as the quantum industry sees an enormous amount of interest and momentum. D-Wave's stock is up nearly 1,700% in the last year alone. Investors should be cautious While there has been an increase in visibility for D-Wave in the last year, not enough has materially changed in my eyes to justify such an enormous run-up. The company's current market capitalization of over $6 billion stands in stark contrast to its 2024 revenue of less than $9 million. Despite the hype around quantum, I think there is plenty of reason to believe this technology is a very long way from maturing and being capable of driving revenue of any significance. If you're an investor with a particularly high risk tolerance and the ability to possibly wait a decade for your investment to pay off, you could consider investing now. I'll personally wait until valuations come back to earth. If you do, however, I would strongly suggest spreading your investment around many quantum stocks; there's no way to tell at this point which company's approach will work in the long run. Do the experts think D-Wave Quantum is a buy right now? The Motley Fool's expert analyst team, drawing on years of investing experience and deep analysis of thousands of stocks, leverages our proprietary Moneyball AI investing database to uncover top opportunities. They've just revealed their to buy now — did D-Wave Quantum make the list? When our Stock Advisor analyst team has a stock recommendation, it can pay to listen. After all, Stock Advisor's total average return is up 1,034% vs. just 180% for the S&P — that is beating the market by 853.75%!* Imagine if you were a Stock Advisor member when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $641,800!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,023,813!* The 10 stocks that made the cut could produce monster returns in the coming years. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why D-Wave Quantum Stock Is Soaring Today was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
D-Wave or IonQ: Which Quantum Stock Has More Upside in 2025?
D-Wave Quantum QBTS and IonQ IONQ are two of the most prominent pure-play quantum computing companies. While both companies aim to transform traditional computing architectures, their strategies and technologies diverge significantly. D-Wave focuses on quantum annealing and hybrid quantum-classical solutions designed for practical, near-term business applications, such as optimization and AI. IonQ, on the other hand, is building gate-based, fault-tolerant quantum systems designed to solve more complex and scalable problems over the long term. Both companies kicked off 2025 on a solid note, banking on strong technological progress and growth strategies. From investors' perspective, the question remains, which stock holds greater potential for delivering gains this year? Let's find out. Reasons to Be Bullish on QBTS Evolution of Advantage2 From Prototype to Deliver Production-Ready Performance: D-Wave has made rapid strides with its Advantage2 system, evolving from a prototype with 1,200+ qubits and 20-way qubit connectivity to a production-ready sixth-generation quantum annealer launched in May 2025. The full-scale Advantage2 now boasts over 4,400 qubits, 40% greater energy scale, 75% noise reduction, and 2x coherence, delivering unprecedented performance for real-world use cases in optimization, AI and materials science. Improving Financial Health With Margin Expansion: D-Wave is showing financial progress in 2025, with expanding gross margins and a narrowing adjusted EBITDA loss. In the last reported first quarter of 2025, GAAP gross profit soared to $13.9 million from just $1.7 million a year earlier, while non-GAAP gross profit reached $14 million compared to $1.9 million in the prior-year quarter. These gains elevated D-Wave Quantum's GAAP gross margin to 92.5% from 67.3%, and non-GAAP gross margin to 93.6% from 76.6%. The company reduced its adjusted EBITDA loss to $8.4 million, a 15% improvement year over year, while also trimming its net loss by 10%. This reflects operational discipline, better cost management and growing revenue contributions from commercial deployments. Image Source: Zacks Investment Research Strategic Capital for Growth: In early July, D-Wave Quantum wrapped up a $400 million at-the-market equity raise at an average price of $15.18, a 360% premium over January's raise. This boosted its cash reserves to approximately $815 million to fund R&D, strategic acquisitions and global expansion. Image Source: Zacks Investment Research What's Driving IonQ? Acquisitions and Deep Tech Collaborations: IonQ is building a vertically integrated quantum platform by acquiring Lightsynq, Capella Space and Oxford Ionics, adding cutting-edge capabilities in photonic interconnects, quantum memory and repeaters, satellite-based QKD, and ion-trap R&D. These moves position IonQ to build scalable systems with millions of qubits and enable a future quantum Internet. At the same time, partnerships like DARPA's Quantum Benchmarking Initiative, a 12% performance gain with Ansys at NVIDIA NVDA GTC and advanced QPU simulations on Forte Enterprise highlight its leadership in next-generation quantum and networking technologies. Growing Revenues, Margins and Strong 2025 Outlook: IonQ delivered $7.6 million in revenues in first-quarter 2025, representing solid year-over-year growth, while also reducing its net loss to $32.3 million from $39.6 million in the first quarter of 2024. The company also narrowed its adjusted EBITDA loss to $25.8 million, reflecting improved cost discipline, operational leverage and expanding commercial traction. Management is also confident about delivering $37-41 million in full-year 2025 revenues, driven by increased demand for its high-performance systems like Forte and Tempo, and stronger enterprise engagements across AI, defense, and scientific research. Image Source: Zacks Investment Research Financial Position & Capital Raising: IonQ closed the first quarter of 2025 with approximately $697 million in cash equivalents. The company later announced a $1 billion equity offering, boosting pro-forma cash reserves to about $1.68 billion that can be used to fund R&D, acquisitions and commercialization. Image Source: Zacks Investment Research QBTS Outperforms IONQ and Benchmark YTD Year to date, shares of D-Wave Quantum have surged 141.6%, handily outperforming the S&P 500's 8.5% rise. Contrastingly, IonQ underperformed both, with a 3.6% rise in its stock price during the same period. YTD Price Comparison Image Source: Zacks Investment Research Which Stock to Bet on in 2025? While D-Wave Quantum and IonQ are pursuing distinct quantum strategies, QBTS' strong near-term traction, margin gains and stock growth give it an edge for 2025 returns. IonQ's long-term vision remains compelling, but its slower revenue ramp-up and larger losses suggest a longer runway to commercialization. With both stocks carrying a Zacks Rank #3 (Hold), investors seeking nearer-term gains may find QBTS better positioned for outperformance this year compared to IONQ. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NVIDIA Corporation (NVDA) : Free Stock Analysis Report IonQ, Inc. (IONQ) : Free Stock Analysis Report D-Wave Quantum Inc. (QBTS) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
