D-Wave Quantum (QBTS) Stock Analysis
This is a peer-relative look at D-Wave Quantum (QBTS): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Software & Services peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | QBTS |
|---|---|
| Name | D-Wave Quantum Inc. |
| Country/Region | United States |
| GICS Sector | Information Technology |
| GICS Industry Group | Software & Services |
| GICS Industry | Software |
| GICS Sub-Industry | Application Software |
| Market Capitalization | 4.05 billion USD |
| Currency | USD |
| Exchange | NYSE |
| Listing Date | December 11, 2020 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| Total Return (1Y) | -61.09% | -3.00% |
| Total Return (3Y, Annualized) | 152.63% | 8.28% |
| Total Return (5Y, Annualized) | 3.13% | -7.91% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 104.32% | 61.69% |
| Beta (5Y) | 2.31 | 1.06 |
| Max Drawdown (5Y) | -96.67% | -76.52% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | -0.63 | -0.13 |
| Sortino Ratio (1Y) | -1.00 | -0.19 |
Profitability
ROE (TTM)
D-Wave Quantum (QBTS) has negative ROE of -27.99%. That can come from trailing losses or negative book equity, so it is a warning state rather than a clean capital-efficiency measure.
QBTS
Software & Services industry group
-27.99%
Group distribution
- Max
- 53.85%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- QBTS
- -27.99%
- Min
- -50.52%
Largest peers
- ORCL
- 41.19%
- PLTR
- 40.91%
- IBM
- 34.77%
- MSFT
- 34.22%
- SAP
- 18.18%
- PANW
- 1.74%
- QBTS
- -27.99%
Net Margin (TTM)
D-Wave Quantum (QBTS) keeps 0.00% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.
QBTS
Software & Services industry group
0.00%
Group distribution
- Max
- 41.17%
- Q3
- 15.28%
- Median
- 4.63%
- QBTS
- 0.00%
- Q1
- -5.42%
- Min
- -33.17%
Largest peers
- PLTR
- 50.34%
- MSFT
- 41.17%
- ORCL
- 26.36%
- SAP
- 20.41%
- IBM
- 15.99%
- PANW
- 2.67%
- QBTS
- 0.00%
Operating Margin (TTM)
D-Wave Quantum (QBTS) has negative operating margin of -1,732.06%. Core operations were loss-making before interest and taxes over the trailing period.
QBTS
Software & Services industry group
-1,732.06%
Group distribution
- Max
- 46.89%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
- QBTS
- -1,732.06%
Largest peers
- MSFT
- 49.76%
- PLTR
- 46.89%
- ORCL
- 35.63%
- SAP
- 29.50%
- IBM
- 16.97%
- PANW
- 5.40%
- QBTS
- -1,732.06%
Profitability Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| ROE (TTM) | -27.99% | 6.59% |
| ROA (TTM) | -10.65% | 2.45% |
| Net Margin (TTM) | 0.00% | 4.63% |
| Operating Margin (TTM) | -1,732.06% | 8.73% |
| Gross Margin (TTM) | 64.19% | 70.07% |
Growth
Revenue Growth
D-Wave Quantum (QBTS) grew revenue 178.54%, above the industry benchmark range. Demand is expanding faster than at any typical peer, though growth that far ahead of the group is worth checking for acquisitions or other one-off contributions.
EPS Growth
No usable EPS growth is available for D-Wave Quantum (QBTS) this period, so the earnings-momentum read is skipped.
Growth Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 178.54% | 14.22% |
| Revenue Growth (3Y CAGR) | 50.78% | 13.52% |
| EPS Growth (YoY) | -- | 7.85% |
| EPS Growth (3Y CAGR) | -- | 18.19% |
Financial Strength
Current Ratio (MRQ)
D-Wave Quantum (QBTS) has current ratio of 20.55, above the industry’s typical middle range. Liquidity looks ample versus peers, though an unusually high cushion can also mean idle current assets or inefficient working capital.
QBTS
Software & Services industry group
20.55
Group distribution
- QBTS
- 20.55
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
Largest peers
- QBTS
- 20.55
- PLTR
- 7.10
- MSFT
- 1.23
- ORCL
- 1.17
- SAP
- 1.16
- PANW
- 0.87
- IBM
- 0.86
Debt / Equity (MRQ)
D-Wave Quantum (QBTS) has debt-to-equity ratio of 0.04, in the lower-leverage quartile for its industry. Borrowing is modest relative to equity compared with most peers, which can leave more flexibility through a cycle.
QBTS
Software & Services industry group
0.04
Group distribution
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- QBTS
- 0.04
- Min
- 0.00
Largest peers
- ORCL
- 2.52
- IBM
- 1.85
- MSFT
- 0.28
- SAP
- 0.23
- PANW
- 0.09
- QBTS
- 0.04
- PLTR
- 0.02
Financial Strength Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 20.55 | 1.67 |
| Debt / Equity (MRQ) | 0.04 | 0.40 |
| Net Debt / EBITDA | -- | 0.17 |
Dividends
Dividend Yield (TTM)
D-Wave Quantum (QBTS) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.
QBTS
Software & Services industry group
0.00%
Group distribution
- QBTS
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- IBM
- 2.73%
- ORCL
- 1.74%
- SAP
- 1.03%
- MSFT
- 0.69%
- QBTS
- 0.00%
- PLTR
- 0.00%
- PANW
- 0.00%
Dividend Payout Ratio (TTM)
D-Wave Quantum (QBTS) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.
QBTS
Software & Services industry group
0.00%
Group distribution
- QBTS
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- IBM
- 57.51%
- SAP
- 36.45%
- ORCL
- 31.35%
- MSFT
- 19.00%
- QBTS
- 0.00%
- PLTR
- 0.00%
- PANW
- 0.00%
Dividend Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
No usable P/E ratio is available for D-Wave Quantum (QBTS) this period, so the trailing-earnings valuation read is skipped.
QBTS
Software & Services industry group
--
Group distribution
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
- QBTS
- --
Largest peers
- PANW
- 784.60
- PLTR
- 112.94
- SAP
- 29.07
- MSFT
- 27.69
- IBM
- 20.90
- ORCL
- 18.20
- QBTS
- --
P/S Ratio (TTM)
D-Wave Quantum (QBTS) trades at 326.31 on P/S ratio, above the industry benchmark range. The stock is being valued at an unusually rich price per dollar of trailing revenue.
QBTS
Software & Services industry group
326.31
Group distribution
- QBTS
- 326.31
- Max
- 17.91
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
Largest peers
- QBTS
- 326.31
- PLTR
- 53.02
- PANW
- 22.37
- MSFT
- 11.37
- SAP
- 6.84
- ORCL
- 5.04
- IBM
- 3.31
P/B Ratio (MRQ)
D-Wave Quantum (QBTS) trades at 3.67 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.
QBTS
Software & Services industry group
3.67
Group distribution
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- QBTS
- 3.67
- Q1
- 1.92
- Min
- -3.90
Largest peers
- SAP
- 73.25
- PLTR
- 34.41
- PANW
- 9.30
- MSFT
- 8.38
- IBM
- 6.52
- ORCL
- 5.68
- QBTS
- 3.67
Valuation Metrics
| Metric | Current stock: QBTS | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | -- | 32.91 |
| P/S Ratio (TTM) | 326.31 | 4.25 |
| P/B Ratio (MRQ) | 3.67 | 4.30 |
| Free Cash Flow Yield (TTM) | -1.81% | 3.98% |