Why D-Wave Quantum Inc. (QBTS) Soared Last Week?

We recently published a list of These 10 Stocks Posted Double-, Triple-Digit Gains Last Week. In this article, we are going to take a look at where D-Wave Quantum Inc. (NYSE:QBTS) stands against other stocks that posted double-, triple-digit gains last week.

Micro- and small-cap companies dominated gains on the stock market last week, bucking an overall market pessimism, thanks to a flurry of company developments that bolstered investing appetite, including acquisition and stellar earnings performance.

In this article, we listed the names of last week’s top performers and detailed the reasons behind their gains based on their share prices last Friday, March 14, and their closing prices on March 7, or the Friday prior.

We classify micro-cap companies as those with a market capitalization below $300 million and small-cap firms as those with a market capitalization below $1 billion.

A modern computer datacenter, running an advanced quantum computer system.

D-Wave Quantum Inc. (NYSE:QBTS)

Shares of D-Wave Quantum surged by 95.9 percent week-on-week as investors cheered the company’s strong growth in bookings, offsetting disappointing revenues and net income performances.

In its latest earnings release, QBTS said bookings expanded by 502 percent to $18.3 million in the fourth quarter from only $3 million in the same period a year earlier, while bookings in the full year period registered a 128-percent jump at $23.9 million from $10.5 million year-on-year.

Meanwhile, net loss in full year 2024 increased by 74 percent to $143.9 million from $82.7 million year-on-year, while net loss for the fourth quarter surged by 438 percent to $86.1 million from $16 million year-on-year, primarily due to a non-cash, non-operating charge related to the remeasurement of its warrant liability that materially increased as a result of the significant price appreciation of its warrants.

Overall, QBTS ranks 5th on our list of stocks that posted double-, triple-digit gains last week. While we acknowledge the potential of QBTS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising asQBTS but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.