Top Investor Bangs the Drum on D-Wave Quantum Stock
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Much of this momentum is driven by excitement over quantum computing's long-term promise – the potential to solve problems that are virtually impossible for classical systems. However, skeptics argue that realizing this vision could take years, as truly general-purpose quantum computers remain largely theoretical.
D-Wave, however, has taken a different approach – one that may explain why investors are paying such close attention. Rather than waiting for full-fledged universal quantum systems to mature, the company has focused on quantum annealing, a specialized subset of the field. And it claims to have already reached a critical breakthrough: what it calls ' practical quantum supremacy.' Using its 1,200-qubit Advantage2 annealing quantum computer, D-Wave says it successfully solved a real-world materials simulation problem – modeling a complex magnetic spin system – in mere minutes. According to the company, this is a task that would take even the world's fastest supercomputers millions of years and more energy than the planet produces in a year.
As such, being the only company to have shown 'quantum supremacy on a meaningful problem,' top investor Yiannis Zourmpanos thinks the company is now 'distinguished from competitors like IonQ and Rigetti, whose gate-based quantum systems remain years away from delivering comparable commercial applications and value.'
The technical capabilities of D-Wave's Advantage2 system further strengthen its 'competitive edge.' With over 4,400 qubits and improved 20-way connectivity, it offers faster, higher-quality solutions thanks to doubled coherence time and a 40% energy scale boost. These upgrades enable it to tackle more complex problems, as seen in Ford Otosan's use of the system which resulted in a sixfold reduction in scheduling time. Features like Fast Anneal and error mitigation further enhance performance, making Advantage2 well-suited for optimization in sectors like pharma, logistics, and manufacturing.
Meanwhile, the company reported Q1 FY25 revenue of $15 million, a 509% year-over-year jump, driven primarily by a $12.6 million Advantage system sale to the Julich Supercomputing Center. While that is an impressive gain, Zourmpanos does note a weakness in its revenue model: lumpy income and long sales cycles, especially from system sales to government and research institutions.
Yet, this weakness is driving the company to diversify its revenue streams and strengthen its 'go-to-market strategy.' D-Wave is expanding its revenue base through the Leap Quantum Launchpad program, which provides a three-month trial of quantum computing access and expert support. Early conversions from these trials to paid engagements highlight the potential for growing recurring revenue from its quantum computing-as-a-service (QCaaS) model. Additionally, D-Wave's push into blockchain and AI applications – using quantum computing to enhance blockchain security and cut energy consumption by as much as 1,000x – could create new, recurring revenue streams.
'Despite lumpy sales and lofty valuation, its edge in annealing tech, rising QCaaS revenue, and growing client base point to long-term upside,' the 5-star investor summed up.
Accordingly, Zourmpanos, who is among the top 1% of TipRanks' stock pros, rates QBTS shares a Buy. (To watch Zourmpanos's track record, click here)
The Street's analysts unanimously agree with that take. Based on Buys only – 6, in total – the stock claims a Strong Buy consensus rating. Going by the $16.80 average target, a year from now, shares will be changing hands for a 12% premium. (See QBTS stock forecast)
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.
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IBN Coverage: D-Wave Quantum (NYSE: QBTS) Raises $400 Million Through Equity Offering
This article was published by IBN, a multifaceted communications organization engaged in connecting public companies to the investment community. LOS ANGELES, CA - July 2, 2025 (NEWMEDIAWIRE) - D-Wave Quantum (NYSE: QBTS) ("D-Wave"), a leader in quantum computing systems, software, and services and the world's first commercial supplier of quantum computers, has completed sales of $400 million in gross proceeds of its common stock under its previously disclosed "at-the-market" ("ATM") equity offering program. The program, which ran from June 11 to June 27, closed at an average share price of $15.18. This represents a 149% premium over the $6.10 average share price for the sales under the company's prior $150 million ATM program completed in January. The Company intends to use the proceeds from this financing primarily for strategic acquisitions and general corporate purposes including additional working capital and capital expenditures. "With what we believe to be the strongest balance sheet of any public, independent quantum computing company, we intend to invest in acquisitions and programs that will enable us to expand our already significant lead as the only commercial quantum computing company with applications in production," said Dr. Alan Baratz, CEO of D-Wave. To view the full press release, visit About D-Wave Quantum Inc. D-Wave is a leader in the development and delivery of quantum computing systems, software, and services. We are the world's first commercial supplier of quantum computers, and the only company building both annealing and gate-model quantum computers. Our mission is to help customers realize the value of quantum, today. Our quantum computers, the world's largest, are available on-premises or via the cloud, supported by 99.9% availability and uptime. More than 100 organizations trust D-Wave with their toughest computational challenges. With over 200 million problems submitted to our quantum systems to date, our customers apply our technology to address use cases spanning optimization, artificial intelligence, research and more. Learn more about realizing the value of quantum computing today and how we're shaping the quantum-driven industrial and societal advancements of tomorrow: Forward Looking Statements Certain statements in this press release are forward-looking, as defined in the Private Securities Litigation Reform Act of 1995. These statements involve risks, uncertainties, and other factors that may cause actual results to differ materially from the information expressed or implied by these forward-looking statements and may not be indicative of future results. These forward-looking statements are subject to a number of risks and uncertainties, including, among others, various factors beyond management's control, including the risks set forth under the heading "Risk Factors" discussed under the caption "Item 1A. Risk Factors" in Part I of our most recent Annual Report on Form 10-K or any updates discussed under the caption "Item 1A. Risk Factors" in Part II of our Quarterly Reports on Form 10-Q and in our other filings with the SEC. Undue reliance should not be placed on the forward-looking statements in this press release in making an investment decision, which are based on information available to us on the date hereof. We undertake no duty to update this information unless required by law. NOTE TO INVESTORS: IBN is a multifaceted financial news, content creation and publishing company utilized by both public and private companies to optimize investor awareness and recognition. For more information, please visit Please see full terms of use and disclaimers on the InvestorBrandNetwork website applicable to all content provided by IBN, wherever published or re-published: The latest news and updates relating to QBTS are available in the company's newsroom at Forward Looking Statements Certain statements in this article are forward-looking, as defined in the Private Securities Litigation Reform Act of 1995. These statements involve risks, uncertainties, and other factors that may cause actual results to differ materially from the information expressed or implied by these forward-looking statements and may not be indicative of future results. These forward-looking statements are subject to a number of risks and uncertainties, including, among others, various factors beyond management's control, including the risks set forth under the heading "Risk Factors" discussed under the caption "Item 1A. Risk Factors" in Part I of the Company's most recent Annual Report on Form 10-K or any updates discussed under the caption "Item 1A. Risk Factors" in Part II of the Company's Quarterly Reports on Form 10-Q and in the Company's other filings with the SEC. Undue reliance should not be placed on the forward-looking statements in this article in making an investment decision, which are based on information available to us on the date hereof. All parties undertake no duty to update this information unless required by law. About IBN IBN is a cutting-edge communications and digital engagement platform providing tailored Platform Solutions for select private and public companies. Over the course of 19+ years, IBN has introduced over 70 investor facing brands to the investment public and amassed a collective audience of millions of social media followers. These distinctive investor brands amplify recognition and reach as well as help fulfill the unique needs of our rapidly growing and diverse base of client-partners. IBN will continue to expand our branded network of influential properties as well as leverage the energy and experience of our team of professionals to best serve our clients. IBN's Platform Solutions provide access to: (1) our Dynamic Brand Portfolio (DBP) through 70+ investor facing brands; (2) article and editorial syndication to 5,000+ news outlets; (3) full-scale distribution to a growing Social Media Network (SMN) ; (4) a network of wire solutions via InvestorWire to effectively reach target markets and demographics; (5) Press Release Enhancement to ensure accuracy and impact; (6) a full array of corporate communications solutions; and (7) total news coverage solutions. For more information, please visit Please see full terms of use and disclaimers on the InvestorBrandNetwork website applicable to all content provided by IBN, wherever published or re-published: Media Contact IBNLos Angeles, OfficeEditor@ View the original release on Sign in to access your portfolio
