timothy sykes logo

Stock News

D-Wave Quantum’s Stock Tumbles: Is This the Right Time to Reinvest?

Bryce TuoheyAvatar
Written by Bryce Tuohey Reviewed by Tim Sykes Fact-checked by Matt Monaco
D-Wave Quantum’s Stock Tumbles: Is This the Right Time to Reinvest? Thumbnail

D-Wave Quantum Inc.’s stock is most affected by reports of challenges in securing strategic partnerships crucial for technology advancement. On Friday, D-Wave Quantum Inc.’s stocks have been trading down by -8.52 percent.

Unease in Quantum Land: Stock Value Shake-Ups

  • Shares in the world of quantum computing felt enormous tremors as D-Wave Quantum’s price dropped by 36.1%, closing at $6.10. Investors are left scratching their heads and reevaluating their positions.

Candlestick Chart

Live Update At 17:20:10 EST: On Friday, January 10, 2025 D-Wave Quantum Inc. stock [NYSE: QBTS] is trending down by -8.52%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

  • A sharp fall in quantum-related stocks sparked curiosity as key industry insights were highlighted in Nvidia CEO’s comments, predicting a lengthy wait, possibly up to two decades, for fully functional quantum applications.

  • Quantum stocks, including closely-watched players like D-Wave, tumbled starkly after the market digested comments that pushed practical quantum tech further into the future.

Recent Financial Snapshot: Tough Times?

As millionaire penny stock trader and teacher Tim Sykes, says, “You must adapt to the market; the market will not adapt to you.” In the fast-paced world of trading, understanding this principle is critical. Traders must continuously analyze trends and remain flexible to stay ahead. Rigid strategies can lead to missed opportunities and losses, whereas adapting to market shifts can result in success. Embracing change and staying informed are key practices for thriving in this ever-evolving landscape.

Let’s dig into the numbers. D-Wave Quantum has been attempting to navigate stormy seas with rough patches in profitability. With EBIT margins deep in the red at -789%, the earnings landscape seems barren. Essentially, more money is going out than coming in. Profits fell, or rather crashed, by a total margin of -780.98%, signaling immense challenges in returning value to shareholders.

Revenue, barely creeping above $8.75M, paints a picture of a company wrestling for its share of the market. Yet, despite these bleak figures, there’s one gleam: a gross margin of 64.3%. It indicates that once D-Wave figures its operational kinks out, it theoretically has a significant buffer to capitalize on.

More Breaking News

Amidst its struggles, D-Wave has kept a firm grip on its cash position, ending the last quarter at $29.27M. But its financials come with a glaring warning: an eagerness to reach tangible growth coupled with the harsh reality of substantial long-term borrowings. Their total liabilities exceed $66.48M with significant encumbering debt.

QBTS Stock Roller Coaster: What’s Behind the Dive?

Let’s get to the crux. Nvidia’s CEO hinted that we’re decades away from tangible quantum computing capabilities. This triggered a cascade of investor caution, sending share values in this tech space diving. Now, how does this affect D-Wave Quantum?

The anticipation bubble burst. Investors who were riding high on the hope of imminent breakthroughs were jolted awake. Suddenly, the timeline for a return on investment stretched beyond imaginable horizons. This staggering revelation starkly reminded stakeholders of the gap between current aspirations and achievable results.

In a similar tone of concern, seasoned market players warn against the trap of cognitive bias – the temptation to remain overly loyal to past investments despite clear indicators urging reevaluation. As D-Wave’s share prices dove, a confluence of skepticism and uncertainty suffused the market landscape.

Market Verdict: Forecast for Quantum’s White Knight

This recent financial turbulence, marked by massive selloffs, beckons the daring. Investors are faced with a choice – do they scoop up shares at a discount rate and bank on future potential, or do they cut losses and seek greener pastures?

Against the backdrop of these revelations, analysts advise vigilance. Profound technological shifts can’t bear overnight dividends, especially when mainstream acceptance lags far behind. The plunge in D-Wave stock serves as a stark reminder of the rampant volatility within speculative tech sectors.

Ultimately, is it the calm before the storm for D-Wave, or is this merely a temporary blip in a long journey towards technological leadership? Market enthusiasts will have to weigh the potential of their patience against the urgency of their portfolios.

Concluding Thoughts: Where Does the Market Stand?

The current wave of pessimism spurred by Nvidia’s declarations can’t be ignored. Still, history has shown that today’s setbacks sometimes pave the way for tomorrow’s victories. D-Wave struggles signify both a present concern and future promise, wrapped in the enigmatic lure of quantum advancement. Traders poised at this precipice are tasked with a delicate ballet of balancing risk with reward, and as millionaire penny stock trader and teacher Tim Sykes says, “There is always another play around the corner; don’t chase just because you feel FOMO.”

Though the digital clock ticks towards the foreseeable future where quantum reigns supreme, market life meanwhile continues, ever presenting its array of challenges and opportunities. For those eyes locked on D-Wave, keeping pulse on evolving narratives is more vital than ever.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

Our traders will never trade any stock until they see a setup they like. Their strategy is to capture short-term momentum while avoiding undue risk exposure to a stock’s long-term volatility. This method is especially useful when trading penny stocks or other high-risk equities, where rapid gains can be made by understanding stock patterns, manipulation, and media hype. Whether you are an active day trader looking for key indicators on a stock’s next move, or an investor doing due diligence before entering a position, Timothy Sykes News is designed to help you make informed trading decisions.

Dive deeper into the world of trading with Timothy Sykes, renowned for his expertise in penny stocks. Explore his top picks and discover the strategies that have propelled him to success with these articles:

Once you’ve got some stocks on watch, elevate your trading game with StocksToTrade, the ultimate platform for traders. With specialized tools for swing and day trading, StocksToTrade will guide you through the market’s twists and turns.
Dig into StocksToTrade’s watchlists here:

How much has this post helped you?

(0 votes, average: 0 out of 5)
Leave a reply

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”