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D-Wave Quantum Inc. Common Shares
Our verdict on D-Wave Quantum Inc. Common Shares isn’t the consensus take — see where we landed, and the one risk the bull case glosses over.
See the verdict — free →Does management do what it says?
Operating losses have widened significantly, confirming management's guidance of continued heavy investment and losses. (1 met across 1 tracked commitment)
“We expect our general and administrative expenses to increase in absolute dollars for the foreseeable future as we continue to invest in more comprehensive compliance and governance functions, increased IT security and compliance, and expanded internal controls over financial reporting”
The company successfully completed the redemption of all remaining Public Warrants on the specified date. (1 met across 1 tracked commitment)
“the Company caused a Notice of Redemption to be delivered to the holders of the Warrants, providing that (i) the Company will redeem, at 5:00 p.m. New York City Time on November 19, 2025 (the "Redemption Time"), all of the outstanding Warrants, for a redemption price of $0.01 per Warrant”
See the full cited Management analysis of D-Wave Quantum Inc. Common Shares
How durable is the business?
The US market grew 11% in the quarter but its share of total revenue is being diluted by massive growth in the German market. (5 expanding across 1 engine)
“System sales $ 86 [for Three Months Ended March 31, 2026]”
The technological moat was significantly strengthened by the acquisition of Quantum Circuits, Inc. in January 2026, adding error-corrected gate-model capabilities to D-Wave's existing annealing platform. (2 expanding)
“The acquisition is intended to enhance the Company’s gate-model quantum computing capabilities by adding Quantum Circuits dual-rail qubit technology and related intellectual property.”
See the full cited Business Model analysis of D-Wave Quantum Inc. Common Shares
Where does growth come from?
The acquisition of Quantum Circuits for $538.5 million represents a massive acceleration in product strategy, moving D-Wave from a single-platform (annealing) to a dual-platform (annealing + gate-model) provider. (1 accelerating across 1 signal, 1 leading indicator)
“The acquisition is intended to enhance the Company’s gate-model quantum computing capabilities by adding Quantum Circuits dual-rail qubit technology and related intellectual property... and the intention to make an initial dual-rail system generally available in 2026”
Sales and marketing investment is accelerating significantly as the company pursues new logos, with Q2 2024 spending up 77% compared to the prior year period. (5 accelerating across 5 signals)
“Sales and marketing expenses increased by $3.6 million, or 51%, to $10.5 million for the three months ended March 31, 2026... The increase was primarily driven by increases in marketing expenses of $1.3 million, personnel costs of $1.0 million”
See the full cited Future Growth analysis of D-Wave Quantum Inc. Common Shares
What could break the thesis?
Operating expenses are skyrocketing, more than doubling year-over-year, which puts further pressure on the company's path to profitability. [MARGIN_COST]
“Total operating expenses 56,545 25,168 31,377 125 %”
The company's total revenue saw a massive decline compared to the previous year, primarily due to the lack of large system sales in the current quarter. [DEMAND]
“Revenue decreased by $12.1 million, or 81%, to $2.9 million for the three months ended March 31, 2026 as compared to $15.0 million for the three months ended March 31, 2025.”
See the full cited Risk analysis of D-Wave Quantum Inc. Common Shares
Read the full thesis on D-Wave Quantum Inc. Common Shares
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