QBTS

D-Wave is a pre-commercial-scale quantum computing company whose valuation has detached entirely from its fundamentals. Revenue grew 178.5% to $24.6M in FY2025 — genuinely fast — but against a $9.05B market cap that is a price-to-sales ratio of 368.3x. Net loss widened 146.8% to -$355M (EPS -$1.11), and the company itself states it has 'a history of losses and expect[s] to incur significant expenses and continuing losses for the foreseeable future,' carrying a $982.0M accumulated deficit. By management's own framing, success 'ultimately relies upon fundamental research and development breakthroughs in the coming years and decades.'

There are real positives. Gross margin is high at 82.6%, the company is the world's first commercial supplier of quantum computers (annealing via Advantage2, with a gate-model system planned for general availability in 2026), and the balance sheet is unusually clean for an early-stage name: equity surged to $852M (cash $635M, +257%) against only $63.6M of liabilities (liabilities/equity 0.07x). That cash cushion funds several years of the -$72M operating cash burn. But that strength came from issuing stock — shares outstanding rose 27.4% to 367M — so today's holders are being diluted to fund the science.