D-Wave Quantum’s stock has surged over 100% in the past week, defying expectations as it reported a wider-than-expected earnings loss for its fourth quarter. Despite this, revenue jumped by 502% to a record $18.3 million, driven by the sale of its Advantage quantum computer to a German research institute.
The company claims it has achieved “quantum supremacy” and is focused on delivering solutions for intricate computational problems across various sectors. This achievement marks a significant milestone in quantum computing, which D-Wave has pursued for 25 years with over $500 million in investments.
CEO Alan Baratz described this achievement as reaching “the Holy Grail of quantum computing,” emphasizing its importance and potential to validate the company’s technical path. The development sets a precedent for future advancements and applications in quantum computing.
D-Wave reported fourth-quarter financial results, revealing a 21% decline in revenue but a significant rise in bookings. The net loss surged due to a substantial non-cash charge related to warrant liability remeasurement. Despite this, management expects the first quarter of fiscal 2025 revenue to surpass $10 million from the sale of a quantum computer.
Analysts remain bullish on D-Wave’s prospects, with several raising their price targets following the company’s Q4 results. The average price target for QBTS is $9.63, representing a potential downside of -5.12% from current levels.
Source: https://www.tipranks.com/news/d-wave-quantum-qbts-stock-soars-over-100-on-quantum-supremacy-claims