D-Wave Quantum (QBTS) Reports Very Large Bookings Growth, Is It Still Below Fair Value?

D-Wave Quantum (QBTS) is back in focus after reporting very large growth in second quarter bookings, along with fresh funding of up to C$300,000 from Canada’s National Research Council for new annealing software.

See our latest analysis for D-Wave Quantum.

D-Wave Quantum’s recent contract wins and research milestones have coincided with a 10.29% 1 month share price return and a year to date share price decline of 25.7%, while the 1 year total shareholder return of 14.96% points to stronger longer term momentum.

If this kind of quantum computing story interests you, it may be a good time to broaden your search and look through 25 quantum computing stocks

D-Wave Quantum now combines very large bookings growth, ongoing losses and a share price that has already moved higher in the past month. The key question is whether the current valuation still leaves enough upside potential to compensate for the risks.

Most Popular Narrative: 48.6% Undervalued

Compared with D-Wave Quantum’s last close at $20.90, the most followed narrative points to a fair value of $40.65, which implies a very large gap that this narrative is trying to explain.

The most critical underlying factor in D-Wave’s 2026 narrative is its unprecedented liquidity. Following the financial restructuring associated with the QCi merger, D-Wave enters 2026 with its largest cash-on-hand position in company history.

The $884 Million Liquidity Milestone: As of February 2026, D-Wave reported over $884 million in cash and marketable securities. This represents a massive increase compared to its 2024 levels, providing the "functional flexibility" that its smaller, capital-constrained competitors lack.

Read the complete narrative.

This narrative, set out by Wil_Analyst, rests on a cash rich balance sheet, dual platform quantum capability and expectations for much larger commercial scale contracts. Want to see how these ingredients are combined into one valuation story and how they underpin the implied upside from $20.90 to $40.65?

Result: Fair Value of $40.65 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, this D-Wave Quantum story could be knocked off course if bookings momentum slows sharply or if ongoing losses of $248.697 million widen further.

Find out about the key risks to this D-Wave Quantum narrative.

Another View On D-Wave Quantum’s Valuation

The popular D-Wave Quantum narrative leans on a fair value of $40.65, yet the stock also trades on a P/B ratio of 7.2x. That is more than double the US Software industry average of 3.2x, although it sits well below a 19.7x peer average.

This gap suggests the market already prices in a lot of expectation, even if some peers carry an even richer tag. For an investor weighing upside against downside risk, the key question is whether D-Wave Quantum’s balance sheet and growth prospects really justify paying 7.2x book today.

See what the numbers say about this price — find out in our valuation breakdown.

Next Steps

If the mixed tone on D-Wave Quantum leaves you unsure, now is a good time to check the numbers yourself and decide where you stand. To see what the balance of risks and rewards currently looks like, start with 1 key reward and 3 important warning signs

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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