Shares of D-Wave Quantum (QBTS 6.14%) skyrocketed this week. The quantum computing start-up’s stock finished the week up 40.2% and was up as much as 47.8% earlier in the week. The rise came as the S&P 500 lost 0.5% and the Nasdaq 100 lost 0.2%.
The stock rallied after the quantum computing company reported positive earnings Thursday. The stock also saw a boost from President Trump’s U.K. trade deal and the upcoming talks with China.
D-Wave posts a record quarter
D-Wave reported strong quarterly results on Thursday, beating expectations. The company announced revenue of $15 million for its first quarter of 2025, a 509% increase from the $2.5 million reported in the same period last year.
D-Wave’s CEO, Alan Baratz, called it “arguably the most significant [quarter] in D-Wave’s history,” highlighting that the company had demonstrated “quantum supremacy” over classical computing on a useful real-world problem — a significant milestone for the industry at large.
Trade deals in sight
Adding to the positive momentum, Trump unveiled the outline of a trade deal with the United Kingdom on Thursday. While much of it focused on traditional industries like agriculture, the deal includes provisions related to intellectual property protection that could benefit D-Wave. On Friday, Trump took to social media to indicate he was interested in lowering tariffs on China ahead of a key trade meeting between the two superpowers. De-escalating the trade tensions between the two could boost the entire economy.
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There’s a long way to go
Despite the positive news from D-Wave and its demonstration of “quantum supremacy,” it was extremely limited in its scope. It will be a long time before quantum technology matures to the point that it delivers major economic benefits.
If you’re an investor with a particularly high risk tolerance and the ability to possibly wait a decade or more for your investment to pay off, D-Wave is one of the better quantum stocks on the market. However, I would strongly suggest spreading your investment around many quantum stocks, as there’s no way to tell at this point which company’s approach will work in the long run.
Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.