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QBTS Q3 Review: Hybrid Gains and R&D Discipline Drive Outlook
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Key Takeaways
D-Wave Quantum highlighted stronger hybrid adoption and disciplined innovation in Q3 2025.
The Advantage2 system and hybrid solvers promise better performance and faster optimization.
QBTS plans to accelerate hybrid use, get Advantage2 ready for market and deepen key partnerships.
On the third-quarter 2025 earnings call, D-Wave Quantum’s (QBTS - Free Report) management reiterated confidence in the company’s strategic trajectory, balancing innovation with fiscal discipline. The company noted that customer acquisition efficiency is improving, with more enterprises entering multi-application or multi-department deployments.
Quantum Platform Evolution and Technology Roadmap
On the technology front, D-Wave advanced its Advantage2 quantum system development, which remains on track to offer significant performance and connectivity improvements over the current Advantage platform. The company continued to enhance its hybrid solver portfolio, delivering higher accuracy and shorter computation times for complex optimization tasks.
D-Wave also enhanced its Leap quantum cloud platform, improving accessibility and developer tools. These incremental upgrades reflect a broader vision of hybrid quantum computing as a service (QaaS), where classical and quantum resources work together for enterprise applications.
Management reaffirmed that D-Wave’s R&D priorities remain closely tied to commercial applicability. Rather than pursuing long-horizon fault-tolerant gate models, the company’s roadmap focuses on scaling annealing hardware and hybrid solvers that can deliver immediate computational advantages.
D-Wave’s outlook for 2026 emphasizes execution on three fronts: accelerating hybrid adoption, advancing Advantage2 toward commercial readiness and strengthening partnerships with industry leaders to expand use case diversity.
Competitive Edge
IonQ (IONQ - Free Report) : In July 2025, IonQ raised $1 billion in equity financing, boosting its cash to about $1.6 billion to fund expansion. The company also acquired Capella Space, adding satellite and radar capabilities to advance space-based quantum networking. For Q3 2025, IonQ reported $39.9 million in revenues (up 222% year over year) and achieved 99.99% two-qubit gate fidelity, underscoring its aggressive full-stack strategy spanning hardware, cloud and networking, contrasting D-Wave’s focus on annealing and hybrid solvers.
Rigetti Computing (RGTI - Free Report) : In August 2025, the company launched the 36-qubit “Cepheus-1-36Q” system. The following month, it secured $5.7 million in orders for two 9-qubit “Novera” systems, showing early on-premises traction. In Q3, Rigetti reaffirmed its gate-model roadmap toward 1,000+ qubits by 2027 but acknowledged limited revenue scale, highlighting D-Wave’s advantage in commercializing annealing and hybrid solutions today.
QBTS Three Months Price Performance
Image Source: Zacks Investment Research
Average Target Price for QBTS Suggests Limited Upside Potential
Based on short-term price targets offered by 10 analysts, D-Wave Quantum’s average price target represents an increase of 12.02% from the last closing price of $29.37.
Image Source: Zacks Investment Research
D-Wave Quantum currently carries a Zacks Rank #3 (Hold).
Image: Bigstock
QBTS Q3 Review: Hybrid Gains and R&D Discipline Drive Outlook
Key Takeaways
On the third-quarter 2025 earnings call, D-Wave Quantum’s (QBTS - Free Report) management reiterated confidence in the company’s strategic trajectory, balancing innovation with fiscal discipline. The company noted that customer acquisition efficiency is improving, with more enterprises entering multi-application or multi-department deployments.
Quantum Platform Evolution and Technology Roadmap
On the technology front, D-Wave advanced its Advantage2 quantum system development, which remains on track to offer significant performance and connectivity improvements over the current Advantage platform. The company continued to enhance its hybrid solver portfolio, delivering higher accuracy and shorter computation times for complex optimization tasks.
D-Wave also enhanced its Leap quantum cloud platform, improving accessibility and developer tools. These incremental upgrades reflect a broader vision of hybrid quantum computing as a service (QaaS), where classical and quantum resources work together for enterprise applications.
Management reaffirmed that D-Wave’s R&D priorities remain closely tied to commercial applicability. Rather than pursuing long-horizon fault-tolerant gate models, the company’s roadmap focuses on scaling annealing hardware and hybrid solvers that can deliver immediate computational advantages.
D-Wave’s outlook for 2026 emphasizes execution on three fronts: accelerating hybrid adoption, advancing Advantage2 toward commercial readiness and strengthening partnerships with industry leaders to expand use case diversity.
Competitive Edge
IonQ (IONQ - Free Report) : In July 2025, IonQ raised $1 billion in equity financing, boosting its cash to about $1.6 billion to fund expansion. The company also acquired Capella Space, adding satellite and radar capabilities to advance space-based quantum networking. For Q3 2025, IonQ reported $39.9 million in revenues (up 222% year over year) and achieved 99.99% two-qubit gate fidelity, underscoring its aggressive full-stack strategy spanning hardware, cloud and networking, contrasting D-Wave’s focus on annealing and hybrid solvers.
Rigetti Computing (RGTI - Free Report) : In August 2025, the company launched the 36-qubit “Cepheus-1-36Q” system. The following month, it secured $5.7 million in orders for two 9-qubit “Novera” systems, showing early on-premises traction. In Q3, Rigetti reaffirmed its gate-model roadmap toward 1,000+ qubits by 2027 but acknowledged limited revenue scale, highlighting D-Wave’s advantage in commercializing annealing and hybrid solutions today.
QBTS Three Months Price Performance
Image Source: Zacks Investment Research
Average Target Price for QBTS Suggests Limited Upside Potential
Based on short-term price targets offered by 10 analysts, D-Wave Quantum’s average price target represents an increase of 12.02% from the last closing price of $29.37.
Image Source: Zacks Investment Research
D-Wave Quantum currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.