D-Wave Quantum (NASDAQ:QBTS) Posts Earnings Results, Misses Estimates By $0.02 EPS

D-Wave Quantum (NASDAQ:QBTS) issued its quarterly earnings results on Thursday. The company reported ($0.10) EPS for the quarter, missing the consensus estimate of ($0.08) by ($0.02), reports. The firm had revenue of $3.08 million for the quarter, compared to the consensus estimate of $4.03 million. D-Wave Quantum had a negative net margin of 2,001.59% and a negative return on equity of 28.19%. The business’s revenue for the quarter was down 0.6 on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.08) earnings per share.

Here are the key takeaways from D-Wave Quantum’s conference call:

• Commercial traction improved: Q2 bookings rose 59% year over year to $2.1 million, while first-half bookings increased 1,120% to $35.5 million, including a $20 million Florida Atlantic University system sale. Remaining performance obligations reached $40.7 million, with 57% expected to convert to revenue within 12 months.
• Production adoption expanded, with six customer applications now in production. Production applications generated more than 37% of first-half QCaaS revenue, up from 9.8% a year earlier, and customers including AT&T, Optum, and NTT Docomo reported material efficiency improvements.
• D-Wave highlighted technical validation for its gate-model strategy, including a peer-reviewed Nature paper demonstrating approximately 99.9% two-qubit gate fidelity and roughly 500-nanosecond gate times. Management reiterated milestones for a 17-qubit system by year-end 2026 and a 100-logical-qubit system capable of more than one million reliable operations by 2032.
• Revenue was essentially flat year over year at $3.1 million in Q2, while adjusted EBITDA loss widened 85% to $37.1 million as the company increased personnel spending for product development and go-to-market efforts. First-half revenue fell 67% because the prior-year period included a large system sale.
• Cash and marketable securities declined to $546.2 million, primarily following the approximately $250 million cash acquisition of Quantum Circuits. Management expects only modest revenue growth in Q3, with the majority of 2026 revenue dependent on two annealing-system deliveries and related installation work in Q4 and potentially 2027.

D-Wave Quantum Stock Up 7.0%

NASDAQ QBTS traded up $1.35 during trading on Friday, hitting $20.76. The company’s stock had a trading volume of 16,240,271 shares, compared to its average volume of 17,081,524. D-Wave Quantum has a fifty-two week low of $12.75 and a fifty-two week high of $46.75. The business’s 50 day simple moving average is $21.74 and its 200-day simple moving average is $20.59. The company has a debt-to-equity ratio of 0.03, a current ratio of 21.41 and a quick ratio of 21.31. The company has a market cap of $7.68 billion, a PE ratio of -29.24 and a beta of 2.15.

Insider Activity

In related news, Director Rohit Ghai sold 13,518 shares of the company’s stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $26.41, for a total value of $357,010.38. Following the sale, the director owned 23,617 shares in the company, valued at $623,724.97. This represents a 36.40% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director John D. Dilullo sold 7,850 shares of the company’s stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $24.43, for a total value of $191,775.50. Following the completion of the sale, the director owned 21,310 shares in the company, valued at $520,603.30. The trade was a 26.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 1,363,842 shares of company stock valued at $35,789,148. 1.30% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in QBTS. Baird Financial Group Inc. increased its holdings in shares of D-Wave Quantum by 12.0% in the first quarter. Baird Financial Group Inc. now owns 12,135 shares of the company’s stock valued at $92,000 after purchasing an additional 1,300 shares during the last quarter. Royal Bank of Canada raised its holdings in shares of D-Wave Quantum by 59.8% in the 1st quarter. Royal Bank of Canada now owns 162,088 shares of the company’s stock valued at $1,231,000 after buying an additional 60,668 shares during the period. AQR Capital Management LLC increased its stake in D-Wave Quantum by 201.0% during the first quarter. AQR Capital Management LLC now owns 200,765 shares of the company’s stock worth $1,526,000 after purchasing an additional 134,066 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in D-Wave Quantum by 93.4% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 108,572 shares of the company’s stock worth $825,000 after buying an additional 52,437 shares in the last quarter. Finally, NewEdge Advisors LLC boosted its holdings in D-Wave Quantum by 125.7% in the first quarter. NewEdge Advisors LLC now owns 43,786 shares of the company’s stock valued at $333,000 after purchasing an additional 24,382 shares during the period. Hedge funds and other institutional investors own 42.47% of the company’s stock.

Key D-Wave Quantum News

Here are the key news stories impacting D-Wave Quantum this week:

• Positive Sentiment: Bookings and customer adoption improved substantially. D-Wave reported a roughly 1,120% year-over-year increase in first-half bookings, a $40.7 million backlog and growing exposure to commercial customers. Management said production annealing usage is expanding, supporting the company’s long-term growth narrative. D-Wave CEO says QBTS ready to lead the quantum market after a 1,100% surge in first-half bookings
• Positive Sentiment: Analyst confidence is providing support. Rosenblatt Securities reaffirmed its “Buy” rating and set a $43 price target, implying substantial upside from current levels. Broader coverage also identifies quantum computing as a potential beneficiary of increasing AI investment and government support for next-generation computing. Beyond NVIDIA and GPUs: The Next AI and Quantum Winners Leading 2026
• Neutral Sentiment: The investment case remains dependent on execution. D-Wave is developing a staged path toward commercially relevant gate-model quantum computing, while management expects a disproportionate share of 2026 revenue to arrive in the fourth quarter. That outlook could produce significant upside if adoption accelerates, but also leaves results sensitive to timing and customer deployments. QBTS Q2 Earnings Call Focuses on Adoption and Quantum Roadmaps
• Negative Sentiment: Second-quarter results missed expectations. Revenue was $3.08 million versus approximately $4.03 million expected, while the loss was $0.10 per share compared with an anticipated $0.08 loss. Revenue also declined slightly year over year, and the company continues to report substantial net losses. These results initially pressured the shares despite the bookings growth. QBTS Stock Falls on Wider-Than-Expected Q2 Loss and Revenue Miss

Analysts Set New Price Targets

A number of equities analysts recently issued reports on QBTS shares. Weiss Ratings upgraded D-Wave Quantum from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday, June 23rd. Mizuho lifted their target price on D-Wave Quantum from $29.00 to $35.00 and gave the stock an “outperform” rating in a research report on Monday, June 15th. Jefferies Financial Group set a $40.00 target price on shares of D-Wave Quantum in a research note on Friday. Wall Street Zen raised shares of D-Wave Quantum from a “strong sell” rating to a “sell” rating in a research note on Saturday. Finally, Rosenblatt Securities reiterated a “buy” rating and set a $43.00 price objective on shares of D-Wave Quantum in a report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, D-Wave Quantum currently has a consensus rating of “Moderate Buy” and an average target price of $36.36.

D-Wave Quantum Company Profile

D-Wave Quantum Inc (NYSE: QBTS) develops and provides quantum computing systems, software and services focused on quantum annealing technology. Headquartered in Burnaby, British Columbia, D-Wave designs specialized processors that leverage quantum mechanics to solve complex optimization and sampling problems. Since its founding in 1999 by physicists including Geordie Rose, the company has pursued the development of commercially viable quantum hardware and accompanying software tools.

The company’s product portfolio centers on its quantum annealers, which are complemented by hybrid solvers that integrate classical and quantum computing resources.