D-Wave Quantum Inc. (QBTS) has disclosed a new risk, in the Sales & Marketing category.
D-Wave Quantum Inc. faces significant risks associated with entering into contracts with government entities, as these contracts expose the company to strict statutes and regulations, including the Federal Acquisition Regulation. Government contracts often include provisions that enable unilateral termination or modification for convenience, potentially limiting the company’s recovery to incurred costs and profit on completed work. Furthermore, compliance with specialized disclosure, accounting requirements, and audits can increase operational costs and expose D-Wave Quantum Inc. to liabilities, sanctions, or penalties for non-compliance. These complexities, coupled with the possibility of public disclosures and mandatory compliance frameworks, pose substantial risks to the company’s operations and financial health.
Overall, Wall Street has a Strong Buy consensus rating on QBTS stock based on 5 Buys.
To learn more about D-Wave Quantum Inc.’s risk factors, click here.