Pure-play quantum computing stocks have been volatile in early 2026, with both D-Wave Quantum (QBTS Quick QuoteQBTS - Free Report) and Rigetti Computing (RGTI Quick QuoteRGTI - Free Report) declining sharply year to date amid broader technology sell-offs and macroeconomic uncertainty. QBTS has fallen about 37% and RGTI roughly 30%, reflecting risk-off sentiment rather than company-specific deterioration.

Both companies, however, reported meaningful technical and commercial progress through 2025. D-Wave highlighted record revenue growth, expanding bookings, major system sales and the acquisition of Quantum Circuits, positioning the company as a dual-platform quantum computing provider spanning annealing and gate-model systems. Rigetti, meanwhile, emphasized advances in superconducting gate-based systems, improvements in qubit fidelity and scaling and new system orders, including government and research deployments such as the C-DAC system in India.

Over the past 12 months, however, both stocks have remained strong performers, with QBTS up 92.6% and RGTI up 69.9%, indicating continued investor interest in long-term quantum computing opportunities. Both stocks outperformed the S&P 500’s 17.8% growth during this period.

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However, the long-term outlook for both D-Wave and Rigetti is based on their commercialization progress, system deployments and battle toward practical quantum advantage. That said, the near-term outlook appears more cautious. Unless the current macroeconomic turmoil, technology sector sell-off and risk-off sentiment in growth stocks begin to settle, both stocks may continue to face pressure despite strong technology roadmaps and improving commercial traction.

LongTerm Outlook Remains Bright: Which Stock Leads the Race?

The long-term outlook for both D-Wave and Rigetti remains promising as the quantum computing industry transitions from research to early commercialization, with 2026 expected to be a key execution year for both companies. Based on their fourth-quarter 2025 update, both firms are focused on scaling hardware, improving fidelity and expanding commercial deployments, though their strategies differ significantly.

For D-Wave, a major strategic development in early 2026 was the acquisition of Quantum Circuits, which positions the company as a dual-platform quantum provider combining annealing and gate-model systems, with an initial gate-model system expected in 2026. This move is intended to accelerate the company’s roadmap toward scalable, error-corrected quantum computing while continuing to generate revenues from its commercial annealing systems already in production use.

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Rigetti, on the other hand, remains focused on superconducting gate-based systems and its chiplet architecture roadmap, targeting deployment of a 150+ qubit system in 2026 and a 1,000+ qubit system around 2027, which the company believes is a key step toward practical quantum advantage.

RGTI Sales and EPS Growth Rates (Y/Y %)

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Beyond 2026, the competitive race will likely be determined by scalability, error correction and commercial adoption rather than short-term revenues, suggesting that both companies remain long-duration technology plays with significant potential but also high execution risk.

Short-Term Downsides

Both D-Wave and Rigetti are facing several downsides in 2026 that could slow their growth despite strong technological progress. At the macro level, the broader technology sell-off, tighter capital markets and risk-off investor sentiment toward long-duration, loss-making technology companies are weighing on quantum computing stocks. These companies are still years away from sustained profitability, making them sensitive to interest rates, funding conditions and market volatility.

At the company level, D-Wave continues to invest heavily in R&D, expansion of its gate-model program after the Quantum Circuits acquisition and government business initiatives, which will likely increase operating expenses in 2026. Its revenue recognition is also dependent on complex system installations, which can delay reported revenues. Rigetti faces its own challenges, including revenue variability tied to government and research contracts, ongoing high R&D spending and the technical difficulty of scaling qubit systems while maintaining high fidelity.

Our Take

D-Wave has made significant technical and commercial progress, which resulted in the stock’s strong 12-month rally. However, the stock price continues to decline in 2026. Rising operating expenses tied to R&D expansion and the integration of Quantum Circuits could put pressure on the company's margins and cash flow in the near term. With the stock carrying a Zacks Rank #5 (Strong Sell), risk-reward appears unfavorable in the current macro environment, making profit booking reasonable.

In contrast, Rigetti, a Zacks Rank #3 (Hold), appears better positioned to execute on its chiplet scaling roadmap and system deployments through 2026. Therefore, retaining the stock while monitoring execution and market conditions may be the more balanced approach for investors right now. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.