D-Wave Quantum: A Lagging Roadmap And Overvalued Stock

Melissa Tucker1.58K FollowersFollow5ShareSavePlay(6min)CommentsSummaryD-Wave Quantum Inc. remains overvalued, with revenue lagging peers and a delayed technology roadmap.QBTS faces heightened risk from reliance on SkyWater, now subject to IonQ's acquisition, potentially deprioritizing D-Wave's annealing program.Despite a strong cash position ($588M), QBTS's projected 2026 revenue of $35M implies a lofty 171x P/S multiple, well above competitors.I assign a fair value of $9.5 per share—implying 40% downside—given weak sales momentum and inferior strategic positioning. Jonathan Kitchen/DigitalVision via Getty Images I have covered D-Wave Quantum Inc. (QBTS) before, where I outlined the company’s background in detail, explained why I didn’t understand all the excitement about the company, and why I considered it a sell. SinceThis article was written byMelissa Tucker1.58K FollowersFollowWith a professional background spanning multiple industries, from ecnomocis to logistics and construction to retail, I bring a diverse perspective to investing. My international education and career experiences have provided me with a global outlook and the ability to analyze market dynamics from different cultural and economic perspectives. I have been actively investing for over a decade, honing a strategy that focuses on cyclical industries while maintaining a diversified portfolio that includes bonds, commodities, and forex. My interest in cyclical sectors stems from their potential for significant returns during periods of economic recovery and growth. However, I also recognize the importance of balancing risk, which is why I incorporate fixed-income investments (long or short).Analyst’s Disclosure: I/we have a beneficial long position in the shares of IONQ, INFQ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.