D-Wave Quantum Inc.
D-Wave Quantum Inc. Fundamental Analysis
D-Wave Quantum Inc. (QBTS-WT) shows weak financial fundamentals with a PE ratio of -15.34, profit margin of -16.52%, and ROE of -97.58%. The company generates $0.0B in annual revenue with weak year-over-year growth of 0.79%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -1306.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze QBTS-WT's fundamental strength across five key dimensions:
Efficiency Score
WeakQBTS-WT struggles to generate sufficient returns from assets.
Valuation Score
ExcellentQBTS-WT trades at attractive valuation levels.
Growth Score
WeakQBTS-WT faces weak or negative growth trends.
Financial Health Score
ExcellentQBTS-WT maintains a strong and stable balance sheet.
Profitability Score
WeakQBTS-WT struggles to sustain strong margins.
Key Financial Metrics
Is QBTS-WT Expensive or Cheap?
P/E Ratio
QBTS-WT trades at -15.34 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, QBTS-WT's PEG of 0.55 indicates potential undervaluation.
Price to Book
The market values D-Wave Quantum Inc. at 9.12 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at -18.61 times EBITDA. This is generally considered low.
How Well Does QBTS-WT Make Money?
Net Profit Margin
For every $100 in sales, D-Wave Quantum Inc. keeps $-16.52 as profit after all expenses.
Operating Margin
Core operations generate -3.55 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-97.58 in profit for every $100 of shareholder equity.
ROA
D-Wave Quantum Inc. generates $-46.06 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
D-Wave Quantum Inc. generates limited operating cash flow of $-52.39M, signaling weaker underlying cash strength.
Free Cash Flow
D-Wave Quantum Inc. generates weak or negative free cash flow of $-55.61M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.16 in free cash annually.
FCF Yield
QBTS-WT converts -0.82% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-15.34
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.55
vs 25 benchmark
P/B Ratio
Price to book value ratio
9.12
vs 25 benchmark
P/S Ratio
Price to sales ratio
272.06
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.06
vs 25 benchmark
Current Ratio
Current assets to current liabilities
54.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.98
vs 25 benchmark
ROA
Return on assets percentage
-0.46
vs 25 benchmark
ROCE
Return on capital employed
-0.10
vs 25 benchmark
How QBTS-WT Stacks Against Its Sector Peers
| Metric | QBTS-WT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -15.34 | 35.19 | Better (Cheaper) |
| ROE | -97.58% | 1155.00% | Weak |
| Net Margin | -1651.81% | -127067.00% (disorted) | Weak |
| Debt/Equity | 0.06 | 0.41 | Strong (Low Leverage) |
| Current Ratio | 54.68 | 4.71 | Strong Liquidity |
| ROA | -46.06% | -314918.00% (disorted) | Weak |
QBTS-WT outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews D-Wave Quantum Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-2.29%
Industry Style: Growth, Innovation, High Beta
DecliningEPS CAGR
-274.13%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
16.83%
Industry Style: Growth, Innovation, High Beta
High Growth