D-Wave Quantum: Remaining Cautious Despite Recent Bull Run

The Software Side of Life5.37K FollowersFollow5ShareSavePlay(11min)CommentsSummaryD-Wave Quantum has surged 40% off November lows amid increased Wall Street coverage and sector enthusiasm, but valuation remains disconnected from fundamentals.QBTS demonstrates early commercialization and strong revenue growth (Q3: $3.7M, up 100% yoy), yet operates from a very small base with high FCF burn.Valuation is extreme at 227x forward revenue, with the stock reliant on hype and positive product or partnership updates rather than financials.I remain bearish, citing slow adoption, intense competition, persistent cash burn, and a misalignment between revenue trajectory and market cap.koto_feja/E+ via Getty Images D-Wave Quantum Inc. (QBTS) has once again started to show some signs of life over the past few months. After some initial post-earnings weakness in early November, the stock is now up almost 40% from its November lows, asThis article was written byThe Software Side of Life5.37K FollowersFollowIndividual investor with hands-on experience in the equity markets. Largely focusing on Tech companies or major mispricings in the market.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. 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.