D-Wave Quantum Shares Crashed in January. Is it Time to Buy?
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Are quantum computing stocks in a bubble or about to take off?D-Wave Quantum (QBTS +20.39%) wants to lead the development of quantum computing with a unique, dual-platform approach. The month of January included several steps to accomplish that goal. Yet rather than sending shares higher, D-Wave stock lost 18.9% last month, according to data provided by S&P Global Market Intelligence. That makes it a good time to take another look at the investing thesis. Image source: Getty Images. Game-changing potential Quantum computing could be a powerful game changer in many areas. It possesses enormous, transformative potential across industries such as pharmaceuticals, materials science, finance, and cybersecurity by tackling problems that classical computers cannot solve. 2025 was a somewhat breakthrough year as quantum sensing technology advanced beyond foundational research. The emphasis has shifted to production and deployment with quantum computing processing. Companies are taking varied approaches, leaving investors to decide which, if any, quantum computing stocks to include in their portfolios. D-Wave was primarily known for its leading quantum annealing system, which is already commercially available. It's an energy-efficient system designed to help enterprises speed up decision-making, optimize operations, and respond to disruptions. Last month, however, the company completed what could be a somewhat transformational acquisition. D-Wave brought Quantum Circuits Inc. (QCI) into its fold. That company creates full-stack superconducting gate-model quantum computing systems engineered for commercial scalability. The combination gives D-Wave a balance between its commercial annealing quantum systems and a path to develop gate-model quantum computers at scale for general-purpose, fault-tolerant computing. Investors should keep eyes wide open D-Wave didn't break the bank with the acquisition. The price to acquire QCI was $550 million, consisting of a combination of $300 million in D-Wave stock and $250 million in cash. That may seem like a big purchase considering D-Wave only generated about $22 million in revenue over the first nine months of 2025. But that revenue more than tripled compared to the prior year period, and D-Wave held a cash balance of $836.2 million as of Sept. 30, 2025. ExpandNYSE: QBTSD-Wave QuantumToday's Change(20.39%) $3.51Current Price$20.72Key Data PointsMarket Cap$7.7BDay's Range$17.84 - $20.9852wk Range$4.45 - $46.75Volume39MAvg Vol36MGross Margin82.82% Still, there's no guarantee the company will achieve enough success to justify its valuation of over $7 billion, let alone grow from there. Only highly risk-tolerant investors should own the stock at this early stage. Shares are going to be volatile, as evidenced by the 19% drop in January. It's possible, if not likely, that investors will revalue the company if sales of D-Wave's quantum annealing system don't grow quickly enough, or if development of its gate-model system doesn't advance meaningfully this year. Investors should just be aware of those possibilities if wanting to speculate in the quantum annealing space. Read NextFeb 7, 2026 •By Rick OrfordPrediction: The Quantum Stock Could Surge 78% in 2026Feb 6, 2026 •By Keith NoonanD-Wave Quantum Skyrocketed Today -- Is the Stock a Buy Right Now?Feb 6, 2026 •By Chris NeigerWarning: This Skyrocketing Stock Has a Hidden RiskFeb 5, 2026 •By Robert IzquierdoIs D-Wave Quantum Stock a Buy Now?Feb 4, 2026 •By Rick OrfordShould You Buy D-Wave Stock Before Its Next Breakout?Feb 4, 2026 •By Leo Sun2 Quantum Computing Stocks to Buy Hand Over Fist in FebruaryAbout the AuthorHoward Smith is a contributing Motley Fool stock market analyst covering technology and industrial stocks. Prior to The Motley Fool, Howard spent nearly 30 years supervising quality and operations in the steel industry, mostly with leading steel company Nucor. He holds a bachelor’s degree in metallurgical engineering from Lafayette College and a master’s degree in environmental engineering from Johns Hopkins University.TMFBuilt2LastStocks MentionedD-Wave QuantumNYSE: QBTS$20.72 (+20.39%) $+3.51*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.