D-WAVE QUANTUM INC (QBTS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:QBTS - US26740W1099 - Common Stock
25.8199 USD
+0.19 (+0.74%)
Taking everything into account, QBTS scores 3 out of 10 in our fundamental rating. QBTS was compared to 278 industry peers in the Software industry. While QBTS seems to be doing ok healthwise, there are quite some concerns on its profitability. QBTS is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- QBTS had negative earnings in the past year.
- QBTS had a negative operating cash flow in the past year.
- In the past 5 years QBTS always reported negative net income.
- QBTS had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of -46.06%, QBTS is not doing good in the industry: 84.89% of the companies in the same industry are doing better.
- With a Return On Equity value of -59.48%, QBTS is not doing good in the industry: 71.94% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -46.06% | ||
| ROE | -59.48% | ||
| ROIC | N/A |
ROA(3y)-136.88%
ROA(5y)-119.19%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- With an excellent Gross Margin value of 82.82%, QBTS belongs to the best of the industry, outperforming 88.13% of the companies in the same industry.
- In the last couple of years the Gross Margin of QBTS has declined.
- The Profit Margin and Operating Margin are not available for QBTS so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 82.82% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.4%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- QBTS does not have a ROIC to compare to the WACC, probably because it is not profitable.
- Compared to 1 year ago, QBTS has more shares outstanding
- Compared to 1 year ago, QBTS has an improved debt to assets ratio.
2.2 Solvency
- QBTS has an Altman-Z score of 26.91. This indicates that QBTS is financially healthy and has little risk of bankruptcy at the moment.
- QBTS has a better Altman-Z score (26.91) than 97.48% of its industry peers.
- A Debt/Equity ratio of 0.05 indicates that QBTS is not too dependend on debt financing.
- QBTS's Debt to Equity ratio of 0.05 is in line compared to the rest of the industry. QBTS outperforms 57.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 26.91 |
ROIC/WACCN/A
WACC11.11%
2.3 Liquidity
- A Current Ratio of 54.68 indicates that QBTS has no problem at all paying its short term obligations.
- QBTS's Current ratio of 54.68 is amongst the best of the industry. QBTS outperforms 99.28% of its industry peers.
- QBTS has a Quick Ratio of 54.49. This indicates that QBTS is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 54.49, QBTS belongs to the best of the industry, outperforming 99.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 54.68 | ||
| Quick Ratio | 54.49 |
3. Growth
3.1 Past
- QBTS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 45.24%, which is quite impressive.
- The Revenue has grown by 156.20% in the past year. This is a very strong growth!
- The Revenue has been growing by 12.02% on average over the past years. This is quite good.
EPS 1Y (TTM)45.24%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%37.5%
Revenue 1Y (TTM)156.2%
Revenue growth 3Y12.02%
Revenue growth 5YN/A
Sales Q2Q%99.95%
3.2 Future
- QBTS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.62% yearly.
- The Revenue is expected to grow by 94.14% on average over the next years. This is a very strong growth
EPS Next Y33.43%
EPS Next 2Y13.83%
EPS Next 3Y11.45%
EPS Next 5Y10.62%
Revenue Next Year184.77%
Revenue Next 2Y108.42%
Revenue Next 3Y111.1%
Revenue Next 5Y94.14%
3.3 Evolution
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings Ratio is negative for QBTS. In the last year negative earnings were reported.
- Also next year QBTS is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y13.83%
EPS Next 3Y11.45%
5. Dividend
5.1 Amount
- QBTS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
D-WAVE QUANTUM INC / QBTS FAQ
What is the ChartMill fundamental rating of D-WAVE QUANTUM INC (QBTS) stock?
ChartMill assigns a fundamental rating of 3 / 10 to QBTS.
Can you provide the valuation status for D-WAVE QUANTUM INC?
ChartMill assigns a valuation rating of 0 / 10 to D-WAVE QUANTUM INC (QBTS). This can be considered as Overvalued.
Can you provide the profitability details for D-WAVE QUANTUM INC?
D-WAVE QUANTUM INC (QBTS) has a profitability rating of 1 / 10.
How financially healthy is D-WAVE QUANTUM INC?
The financial health rating of D-WAVE QUANTUM INC (QBTS) is 6 / 10.