- Benchmark analyst David Williams maintained a Buy on D-Wave Quantum Inc QBTS with a $4 price target.
- Continuing to expand on its rich product and services, D-Wave shared plans to build a feature selection to optimize model training and prediction for AI/ML applications using the quantum hybrid approach.
- The feature selection offerings will be available across D-Wave's hybrid solvers and professional services aimed at improving efficiency with a "one-shot" solution vs. an iterative approach of classical alternatives.
- On the business front, the company disclosed raising additional liquidity of ~$20 million since the end of October through the $150 million equity line of credit (ELOC) agreement established with Lincoln Park.
- The balance sheet ended the prior quarter with $13.8 million of cash.
- Williams remains convinced in the company's commercialization strategy, which delivers results, evidenced by the pipeline of 63+ business customers and 34,000 developers worldwide.
- With the consistent performance improvements coupled with an expanding suite of complimentary compilers, hybrid solvers, and easy access to D-Wave's compute resources, the analyst expects momentum will continue to accelerate.
- Williams remains encouraged by the innovative product introductions and continued advancement of LEAP access, which has expanded to 39 countries, including Israel, the latest addition.
- The company also announced initiatives to improve its production and commercial readiness efforts by adopting compliance standards to ensure customer data integrity.
- The analyst's valuation multiple is in-line with higher-quality quantum peers.
- If the quantum computing market continues to evolve as predicted and D-Wave's technology roadmap and demand for optimization problems play out as expected, the analyst sees shares deserving of at least an in-line peer group average multiple over time.
- Price Action: QBTS shares traded lower by 3.40% at $0.9087 on the last check Tuesday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
|---|
Posted In:
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in
