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Sep 03, 2026
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D-Wave Quantum (QBTS): Can It Reclaim the $40 Level?

D-Wave Quantum (QBTS): Can It Reclaim the $40 Level?

Key Takeaways

  • Investors continue to ask whether D-Wave Quantum Inc. (QBTS) can return to the $40 level, a round-number target cited by several Wall Street firms.
  • The main bullish argument centers on an order book that has grown sharply even while reported revenue has remained modest, alongside expanding production deployments and U.S. government support.
  • The primary challenges include uneven revenue recognition, widening operating losses, a valuation that embeds significant future growth, and a technical picture that sits below key moving averages.
  • Key support rests near the 52-week low around $12.75, with resistance in the low-$20s and again near prior highs around $46.75.
  • Reaching $40 would require roughly a 140% advance from recent levels, so the outlook hinges on bookings converting into recognized revenue more rapidly than they have to date.

Why the $40 Level Draws Attention

D-Wave Quantum develops quantum annealing computing systems, software, and services, and it has drawn steady interest within the emerging quantum-computing space. After reaching a peak near $46.75 in late 2025, the stock has retreated and recently traded around $16.50, giving the company a market capitalization near $6.1 billion. That pullback has led many investors to wonder whether QBTS can realistically revisit the $40 mark.

The $40 level is not random. Firms including Cantor Fitzgerald, Jefferies, Craig-Hallum, and Wedbush have issued $40 price targets, positioning the round number in the upper half of the consensus range. Because the stock has already traded above $40, the target represents a return to familiar territory rather than a leap into unknown valuation territory.

Current Market Position

Recent results present a mixed picture. In the latest quarter, revenue held essentially flat year over year at about $3.1 million and fell short of estimates, while the adjusted EBITDA loss widened to roughly $37.1 million amid higher spending on development and commercialization. The company closed the period with approximately $546 million in cash and marketable securities, a sizable buffer that shrank partly due to the roughly $250 million acquisition of Quantum Circuits.

Demand signals, however, strengthened markedly. First-half bookings jumped more than 1,120% year over year to about $35.5 million, and remaining performance obligations rose to roughly $40.7 million. Management expects a meaningful share of that backlog to convert within twelve months, and a roughly $20 million system sale to Florida Atlantic University is slated for delivery and recognition largely in the fourth quarter.

Factors That Could Support Further Gains

The clearest route to $40 runs through revenue conversion. Successful shipment of annealing systems and recognition of the RPO as sales would lift the top line and validate the demand already secured. Management also plans to deliver a 17-qubit gate-based system by the end of 2026 and has mapped a longer roadmap toward fault-tolerant, 100-logical-qubit systems by 2032.

Commercial traction is expanding in ways that could underpin a higher valuation. Six customer applications are now running in production, and production use accounts for more than a third of quantum-computing-as-a-service revenue, a sharp increase from the prior year. Deployments with large customers have shown measurable operational gains, and a partnership in financial-crime detection points to wider enterprise use. U.S. government backing, including up to $100 million under the CHIPS Act, adds further validation of the dual annealing and gate-based strategy. I also checked this using Tickeron’s AI Trend Prediction Engine to see how the broader sector momentum compares.

Obstacles That Could Limit Upside

Several hurdles stand between the current price and $40. Revenue remains lumpy and tied to a small number of large system sales, so quarterly results can vary sharply. The company is still deeply unprofitable, and a valuation that already prices in years of growth leaves little margin for execution shortfalls. Competition from better-funded names such as IonQ (IONQ) and Rigetti Computing (RGTI), along with large technology incumbents, raises the bar for sustained commercial progress.

Volatility is another consideration. With a beta well above 2, QBTS has seen frequent double-digit single-day moves, and recent insider selling adds a note of caution. Failure to convert bookings into revenue could keep the shares range-bound well below the $40 goal.

Analyst Targets and Technical Levels

Analyst sentiment stays largely positive. The consensus recommendation sits in “buy” territory, with an average price target of roughly $35 to $36, a low near $22, and a high near $43 to $45. The $40 objective therefore sits modestly above the consensus average yet receives backing from multiple individual firm targets.

From a technical standpoint the outlook is more guarded. The stock has traded below both its 50-day and 200-day moving averages, signaling a downtrend that has not yet reversed. The 52-week low near $12.75 remains the key support level, while the low-$20s represent an initial resistance that would need to be cleared before a sustained move toward $40 becomes realistic.

Monitoring QBTS with AI Tools

When tracking names like QBTS and the wider quantum-computing group, I often rely on Tickeron’s AI Daily Buy/Sell Signals as part of my routine review. The tool applies artificial intelligence to scan thousands of stocks and ETFs, producing automated Buy, Sell, or Hold signals drawn from technical behavior, trend shifts, and AI-driven analysis. This helps surface fresh ideas, follow existing holdings, and spot changing conditions more quickly than manual checks alone would allow, which is especially useful in volatile sectors where momentum can shift rapidly.

Disclaimer

The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.

Disclaimers and Limitations

Related Ticker: QBTS

Contributor

Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.


QBTS's RSI Indicator recovers from oversold territory

The RSI Indicator for QBTS moved out of oversold territory on November 06, 2026. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 28 similar instances when the indicator left oversold territory. In 26 of the 28 cases the stock moved higher. This puts the odds of a move higher at 90%.

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 54 of 61 cases where QBTS's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 89%.

The Moving Average Convergence Divergence (MACD) for QBTS just turned positive on November 06, 2026. Looking at past instances where QBTS's MACD turned positive, the stock continued to rise in 32 of 33 cases over the following month. The odds of a continued upward trend are 90%.

Following a +26.74% 3-day Advance, the price is estimated to grow further. Considering data from situations where QBTS advanced for three days, in 167 of 198 cases, the price rose further within the following month. The odds of a continued upward trend are 84%.

QBTS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.

Bearish Trend Analysis

Following a 3-day decline, the stock is projected to fall further. Considering past instances where QBTS declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 87%.

The Aroon Indicator for QBTS entered a downward trend on November 11, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.

Fundamental Analysis (Ratings)

The Tickeron PE Growth Rating for this company is 13 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron Valuation Rating of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.743) is normal, around the industry mean (-6.197). P/E Ratio (-15.257) is within average values for comparable stocks, (-3.670). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (23.994). Dividend Yield (0.000) settles around the average of (0.012) among similar stocks. QBTS's P/S Ratio (476.190) is very high in comparison to the industry average of (51.774).

The Tickeron Price Growth Rating for this company is 88 (best 1 - 100 worst), indicating slightly worse than average price growth. QBTS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron SMR rating for this company is 96 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. QBTS’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 91, placing this stock worse than average.

Notable companies

The most notable companies in this group are Arista Networks Inc (NYSE:ANET), Dell Technologies (NYSE:DELL), Seagate Technology Holdings PLC (NASDAQ:STX), Western Digital Corp (NASDAQ:WDC), HP (NYSE:HPQ), 3D Systems Corp (NYSE:DDD).

Industry description

Computer Processing Hardware industry produces central processing unit, monitor, keyboard, computer data storage devices, and graphics card. Business activity and economic growth are potential drivers of this industry – if more businesses are growing or flourishing, so would their investments in computer equipment. Dell Technologies, Inc, Hewlett Packard Enterprise Co., NCR Corporation are key producers of computer processing hardware.

Market Cap

The average market capitalization across the Computer Processing Hardware Industry is 20.25B. The market cap for tickers in the group ranges from -0.18 to 215.42B. ANET holds the highest valuation in this group at 215.42B. The lowest valued company is HAUP at -0.18.

High and low price notable news

The average weekly price growth across all stocks in the Computer Processing Hardware Industry was 8%. For the same Industry, the average monthly price growth was -23%, and the average quarterly price growth was -15%. SCKT experienced the highest price growth at 55%, while AMCI experienced the biggest fall at -44%.

Volume

The average weekly volume growth across all stocks in the Computer Processing Hardware Industry was 71%. For the same stocks of the Industry, the average monthly volume growth was 131% and the average quarterly volume growth was 23%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 42
P/E Growth Rating: 51
Price Growth Rating: 70
SMR Rating: 80
Profit Risk Rating: 90
Seasonality Score: -15 (-100 ... +100)
Real Time Patterns 3
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Industry ComputerProcessingHardware

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2650 East Bayshore Road
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https://www.dwavequantum.com
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