D-Wave Quantum Inc (QBTS) Stock Analysis
Verdict: AVOID
Surging bookings and $546M cash cushion face extreme dilution and lumpy revenue conversion at an astronomical 406x P/S multiple.
Investment score: 27/100
Analysis as of
Is D-Wave Quantum Inc stock worth reviewing? AI model thesis
The AI model recommends AVOID for QBTS due to an unsustainable TTM P/S valuation of 406.14x, persistent operational cash burn (-$73.46M in H1 2026), and massive equity dilution offsetting strong bookings growth.
7-factor investment score
- Valuation: 10/100 (weight 20%)
- Financial Health: 30/100 (weight 15%)
- Technical Momentum: 20/100 (weight 15%)
- Earnings Quality: 35/100 (weight 15%)
- Insider Sentiment: 15/100 (weight 10%)
- Analyst Consensus: 70/100 (weight 10%)
- Risk-Adjusted Return: 25/100 (weight 15%)
D-Wave Quantum Inc opportunities and risks
What speaks for QBTS
- H1 2026 bookings surged to $35.5M (up 1,120% YoY), driven by major enterprise engagements including AT&T and NTT DOCOMO.
What speaks against QBTS
- Revenue conversion bottlenecks create severe top-line lumpiness and missed analyst forecasts.
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| QBTS | n/a | 406.1x | n/a | 64.2% | -2001.6% | -2.4% |
| RIOT | n/a | 9.2x | n/a | -13.8% | -196.3% | -14.2% |
| PEGA | 18.4x | 3.3x | 26.8x | 75.6% | 18.7% | 8.8% |
| OCTV | n/a | 4.5x | 15.7x | 72.9% | -147.9% | 7.9% |
| CIFR | n/a | 27.8x | n/a | -20.0% | -585.8% | -28.1% |
| ZETA | n/a | 5.3x | 109.7x | 61.3% | -0.1% | 2.7% |
| Peer median | n/a | 5.3x | 15.7x | 61.3% | -147.9% | 2.7% |
Frequently asked questions about D-Wave Quantum Inc (QBTS)
Is QBTS stock a good investment?
The cached TradeMates AI model rates D-Wave Quantum Inc as AVOID with an investment score of 27/100. The AI model recommends AVOID for QBTS due to an unsustainable TTM P/S valuation of 406.14x, persistent operational cash burn (-$73.46M in H1 2026), and massive equity dilution offsetting strong bookings growth. This is algorithmic model output, not personal investment advice.
Is QBTS stock a buy?
The TradeMates model verdict for QBTS is AVOID with an investment score of 27/100. Treat this as a model signal to review, not a personal buy recommendation.