QBTS World Quantum Day Hype

Apr 15

Our favorite hype industry of 2025 has returned just in time for Spring '26.

Quantum stocks saw a boost today because of...World Quantum Day?

Will the renewed eyeballs propel us back into the $20 range, or will the quantum run out of steam again?

If prices close above $17 for a few days in a row we might see a breakout. If $NYSE:QBTS keeps getting rejected by $17, we might be in for some sideways or downward trading for a while.

The downtrend is strong and I think it will take a lot of effort to swing back to a real uptrend.

I expect a lot of price variation over the next few days as people try to capitalize on the recent big gain. We have seen this in the past...huge gains and rapid sell-offs.

Buyer beware. Take profit when you can or you'll be in for a roller coaster ride and a half.

Apr 24

Trade active

Looks like we're going to retest the short-term $17 resistance area. If it breaks through I'd like to see a rebound off of $14.50 to keep the recent lows edging higher. If it pops back up off the $17 area I'm sure there will be more volatility as people collect their gains before the next drop off.

May 6

Trade closed: target reached

$17 was the magic number and QBTS is now on a weeklong breakout. It would be nice to see us retest the $30 range before earnings next week. That is another ~30% jump and I don't know how much sentiment can actually carry DWAVE

EPS estimates are still negative but revenue expecting to increase about 50% which sounds great but still only totals $4.5 million. The company should still have a ton of cash to play with so major investments are possible and debt is really not an issue right now. I expect hopes to remain high even if the earnings call is a miss. Obviously, the C-Suite will spin any shortfalls to soften the blow and keep investors pumping money in. I mean having an extra $800 million in cash is wild for a company with DWAVE's particular financial situation right now.

Haters will say the company is not actually doing anything. After 20 years in business they still only have a few million in revenue. I tend to agree with this thought because all the chatter around the company falls in the "too good to be true" realm for me. I hope for all the long term investors I am dead wrong, but I would be perfectly happy playing the swing trades on this one.

Fanboys will say the company is playing the long game and will be wildly successful when we establish a human presence on...Mars? The Moon? In the deep sea? Or perhaps it will be the key to super-AI, or advanced robotic warfare? Or perhaps some research university will be able to solve some physics-based problem that will change our understanding of the universe.

I don't doubt the application of quantum computing, but I do question its practicality and implementation. Will a few contracts with the DoD and universities really propel it into 'unicorn' status? Many of the blue chip stocks are so engrained in our daily life that we cannot function without their products and their revenue is in the billions, but I am having a hard time picturing DWAVE as a household name. That does not mean there is no money to be made because there obviously is but the wild swings in price are too much for a simple man like me.

Cheers and happy investing!

May 21

Note

Here we are yet again approaching the $17 line. Remember to buckle up for safety.

May 30

Note

$NYSE:QBTS popped on an investment of $100 million dollars from the US Government. Wow! Except the total investment in the industry is actually $2B USD. So, DWAVE gets 5% of the total funds while IBM is earmarked to receive $1B USD.

Still, a solid get for the company considering the awards went only to 9 companies. I'm sure if you built yourself a Quantum Index you are happy.

I'm still buckled up for safety and yet again expecting sell-offs until the next quantum news cycle.