Seek Returns logo

QBTS vs. TTWO: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at QBTS and TTWO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolQBTSTTWO
Company NameD-Wave Quantum Inc.Take-Two Interactive Software, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyCommunication Services
GICS IndustrySoftwareEntertainment
Market Capitalization11.18 billion USD47.53 billion USD
ExchangeNYSENasdaqGS
Listing DateDecember 11, 2020April 15, 1997
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of QBTS and TTWO by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

QBTS vs. TTWO: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolQBTSTTWO
5-Day Price Return29.20%-0.88%
13-Week Price Return94.76%7.32%
26-Week Price Return330.26%24.33%
52-Week Price Return3,461.32%70.23%
Month-to-Date Return32.34%-0.26%
Year-to-Date Return289.29%39.98%
10-Day Avg. Volume65.01M1.93M
3-Month Avg. Volume49.16M1.85M
3-Month Volatility90.96%24.28%
Beta1.460.96

Profitability

Return on Equity (TTM)

QBTS

--

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

Return on Equity data for QBTS is currently unavailable.

TTWO

-98.81%

Entertainment Industry

Max
42.50%
Q3
24.06%
Median
13.69%
Q1
5.35%
Min
-17.95%

TTWO has a negative Return on Equity of -98.81%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

QBTS vs. TTWO: A comparison of their Return on Equity (TTM) against their respective Software and Entertainment industry benchmarks.

Net Profit Margin (TTM)

QBTS

-1,263.92%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

QBTS has a negative Net Profit Margin of -1,263.92%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

TTWO

-72.92%

Entertainment Industry

Max
45.33%
Q3
24.40%
Median
13.94%
Q1
4.28%
Min
-23.67%

TTWO has a negative Net Profit Margin of -72.92%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

QBTS vs. TTWO: A comparison of their Net Profit Margin (TTM) against their respective Software and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

QBTS

-353.14%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

QBTS has a negative Operating Profit Margin of -353.14%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

TTWO

-72.16%

Entertainment Industry

Max
41.77%
Q3
28.26%
Median
16.13%
Q1
8.03%
Min
-3.93%

TTWO has a negative Operating Profit Margin of -72.16%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

QBTS vs. TTWO: A comparison of their Operating Profit Margin (TTM) against their respective Software and Entertainment industry benchmarks.

Profitability at a Glance

SymbolQBTSTTWO
Return on Equity (TTM)---98.81%
Return on Assets (TTM)-82.90%-37.91%
Net Profit Margin (TTM)-1,263.92%-72.92%
Operating Profit Margin (TTM)-353.14%-72.16%
Gross Profit Margin (TTM)82.46%56.66%

Financial Strength

Current Ratio (MRQ)

QBTS

20.73

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

QBTS’s Current Ratio of 20.73 is exceptionally high, placing it well outside the typical range for the Software industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

TTWO

1.16

Entertainment Industry

Max
6.76
Q3
4.02
Median
1.55
Q1
0.86
Min
0.38

TTWO’s Current Ratio of 1.16 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

QBTS vs. TTWO: A comparison of their Current Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

QBTS

0.15

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

QBTS’s Debt-to-Equity Ratio of 0.15 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TTWO

0.88

Entertainment Industry

Max
1.54
Q3
0.77
Median
0.16
Q1
0.02
Min
0.00

TTWO’s leverage is in the upper quartile of the Entertainment industry, with a Debt-to-Equity Ratio of 0.88. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

QBTS vs. TTWO: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

QBTS

-46.22

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

QBTS has a negative Interest Coverage Ratio of -46.22. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

TTWO

-44.74

Entertainment Industry

Max
87.17
Q3
35.59
Median
7.06
Q1
1.13
Min
-44.74

TTWO has a negative Interest Coverage Ratio of -44.74. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

QBTS vs. TTWO: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolQBTSTTWO
Current Ratio (MRQ)20.731.16
Quick Ratio (MRQ)20.441.01
Debt-to-Equity Ratio (MRQ)0.150.88
Interest Coverage Ratio (TTM)-46.22-44.74

Growth

Revenue Growth

QBTS vs. TTWO: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

QBTS vs. TTWO: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

QBTS

0.00%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

QBTS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

TTWO

0.00%

Entertainment Industry

Max
2.90%
Q3
1.29%
Median
0.59%
Q1
0.00%
Min
0.00%

TTWO currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

QBTS vs. TTWO: A comparison of their Dividend Yield (TTM) against their respective Software and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

QBTS

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

QBTS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

TTWO

0.00%

Entertainment Industry

Max
82.30%
Q3
38.45%
Median
29.74%
Q1
0.00%
Min
0.00%

TTWO has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

QBTS vs. TTWO: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Dividend at a Glance

SymbolQBTSTTWO
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

QBTS

--

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

P/E Ratio data for QBTS is currently unavailable.

TTWO

--

Entertainment Industry

Max
92.09
Q3
54.51
Median
28.92
Q1
19.75
Min
2.96

P/E Ratio data for TTWO is currently unavailable.

QBTS vs. TTWO: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

QBTS

502.09

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

With a P/S Ratio of 502.09, QBTS trades at a valuation that eclipses even the highest in the Software industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

TTWO

8.15

Entertainment Industry

Max
12.34
Q3
7.67
Median
5.06
Q1
2.72
Min
0.67

TTWO’s P/S Ratio of 8.15 is in the upper echelon for the Entertainment industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

QBTS vs. TTWO: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

QBTS

10.68

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

QBTS’s P/B Ratio of 10.68 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

TTWO

12.74

Entertainment Industry

Max
22.84
Q3
10.54
Median
6.60
Q1
2.30
Min
0.65

TTWO’s P/B Ratio of 12.74 is in the upper tier for the Entertainment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

QBTS vs. TTWO: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Valuation at a Glance

SymbolQBTSTTWO
Price-to-Earnings Ratio (TTM)----
Price-to-Sales Ratio (TTM)502.098.15
Price-to-Book Ratio (MRQ)10.6812.74
Price-to-Free Cash Flow Ratio (TTM)--210.26