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Further Reading from MarketBeat.com Where's the Bottom, and When Will It Be Time to Sell D-Wave?Submitted by Nathan Reiff. Article Published: 3/23/2026. 
Key Points - D-Wave Quantum shares are down about 44% since the start of the year, though the company's RSI is near 30, suggesting it may be oversold.
- At the same time, the firm's price remains significantly elevated relative to its sales, which are still quite low in absolute terms.
- Investors must try to reconcile these concerns while also trying to ascertain how much farther shares may fall in the current selloff.
- Special Report: Elon's "Hidden" Company
By many measures, quantum computing leader D-Wave Quantum Inc. (NYSE: QBTS) has had an excellent start to 2026. Most notably, January bookings exceeded total bookings for all of 2025, driven mainly by a $10 million deal with a Fortune 100 company and a $20 million system sale. At the same time, the company's cash reserves remain strong as D-Wave pursues a dual-approach strategy with multiple technological paths. Still, QBTS stock is not thriving: shares have dropped about 44% so far in 2026, despite the company's promising news. Current shareholders are likely asking where the bottom might be, while prospective buyers may be waiting for a better entry point. Although it's impossible to predict the exact depth of the selloff, a closer look at D-Wave's operating runway helps bound near-term dilution risk. Just How Rational Is the D-Wave Selloff? Despite the paradox of a selloff amid strong fundamentals and promising developments in its latest earnings report, there are rational reasons for investors to be cautious. D-Wave has undoubtedly seen major growth in sales—revenue nearly tripled year-over-year in the most recent period. In absolute terms, however, revenue remains quite small at under $25 million annually, especially for a company valued near $6 billion. Combined with a massive rally throughout much of early 2025, this has left D-Wave's share price significantly inflated relative to its sales. The company's price-to-sales (P/S) ratio reached nearly 327 last year, and even after the recent decline, QBTS still trades at more than 237 times sales. Investors may find that metric useful when judging whether the selloff is justified. Determining the Bottom Is Tricky, But D-Wave's Cash Reserves Provide Important Insulation With a relative strength index (RSI) around 30, D-Wave shows signs of being oversold. Recent selling may therefore have been excessive, but that doesn't necessarily mean the stock has hit the bottom of the current decline. Predicting that level precisely is likely impossible. Investors should note D-Wave's cash position, which stood at $885 million at the end of the last quarter. That suggests at least three years of operating runway at current burn rates—even excluding potential major acquisitions and without assuming further revenue growth, which appears unlikely to stall entirely. Put another way, it's unlikely the stock will fall to zero in the foreseeable future. That cash cushion offers meaningful insulation against escalating selloff pressures. What Signs Might Investors Watch For to Sell? Predicting how much farther shares might fall is difficult, especially since the company still carries a Moderate Buy analyst consensus with roughly 132% upside. Investors should watch for shifts in fundamentals: slowing bookings or materially faster cash burn without commensurate revenue growth would be clear red flags. Other potential issues may be less obvious. If D-Wave's core gate-model system—which it is developing alongside its existing annealing offerings—experiences delays or technical setbacks, investor enthusiasm could wane further. External factors such as tariffs, supply-chain disruptions, or geopolitical pressures could also alter the calculus of whether D-Wave can sustain operations on its cash holdings and accelerate revenue growth. Ultimately, investors must weigh competing arguments. On one hand, the company appears oversold after its recent decline. On the other, it remains highly valued relative to current sales. That divide separates investors hoping for a near-term share-price reversal back to 2025 levels from those with long-term conviction that D-Wave will prevail in the multi-year race to quantum dominance. | 
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