Quantum computing company D-Wave Quantum Inc. (QBTS) is scheduled to announce its results for the first quarter of 2025 before the market opens on Thursday, May 8. Analysts expect QBTS, which claims to be the world’s first commercial supplier of quantum computers, to report a narrower loss per share of $0.04 compared to $0.07 in the prior-year quarter. They project revenue to come in at $10.5 million, reflecting a massive year-over-year jump of 326%.
D-Wave Quantum specializes in quantum annealing, which uses quantum mechanics principles to find the optimal solution for specific optimization problems. However, QBTS is now focusing on gate-model quantum computing as well due to its greater flexibility. Investors will pay attention to management’s commentary about how the company is progressing with regard to gate-model quantum computing and other key developments.
Analysts’ Views Ahead of D-Wave Quantum’s Q1 Earnings
Last month, Needham analyst Quinn Bolton reiterated a Buy rating on D-Wave Quantum stock with a price target of $8.50. After attending the company’s Qubits 2025 conference in Phoenix, the 5-star analyst noted that the solid Q4 2024 earnings call momentum has continued, given a notable rise in the in-person and online attendance at the event.
Among the key takeaways, the analyst highlighted that D-Wave reiterated its roadmap, confirming that the Advantage2 system will be launched soon. This system boasts double the coherence time, enhanced connectivity, and a 40% energy scale boost. D-Wave Quantum also provided more insights into its strategy to scale toward a 100,000-qubit system by interconnecting multiple chips, aiming at twice the connectivity and ten times the coherence of Advantage2.
Bolton added that the company is accelerating its gate-model program, “integrating cryogenic control and digital controls for annealing processors to enhance performance.”
Options Traders Anticipate a Major Move on QBTS’ Q1 Earnings
Using TipRanks’ Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don’t worry, the Options tool does this for you.
Indeed, it currently says that options traders are expecting about a 14.7% move in either direction in D-Wave Quantum stock in reaction to Q1 results.
Is QBTS Stock a Buy, Sell, or Hold?
Wall Street is highly bullish on D-Wave Quantum stock, with a Strong Buy consensus rating based on five unanimous Buys. The average QBTS stock price target of $9.50 implies 30.5% upside potential from current levels. D-Wave Quantum stock is down more than 13% year-to-date.
