D-Wave Quantum Inc (NYSE: QBTS) announced a new agreement with Swiss Quantum Technology SA (SQT) to deploy its next-generation Advantage2 annealing quantum computer in Europe. Revealed at the Digital Innovation Forum – ComoLake 2025, the deal represents a €10 million commitment from SQT, with an option to purchase the system.
The new Advantage2 system will support the recently launched Q-Alliance, a European initiative aimed at strengthening Italy’s position in global quantum infrastructure and advancing the country’s digital transformation strategy. Additionally, the system will be accessible to customers through D-Wave’s Leap real-time quantum cloud service.
The Advantage2 machine features more than 4,400 qubits, making it D-Wave’s most advanced and energy-efficient processor yet. It is designed to tackle complex computational problems that traditional computers struggle to solve, such as optimization and logistics challenges. Furthermore, the system supports both pure quantum and hybrid quantum applications, allowing businesses and researchers to deploy real-world solutions.
The agreement marks a major step in the company’s effort to expand global access to its technology, according to D-Wave CEO Dr Alan Baratz.
“As Europe extends its quantum leadership, we believe that D-Wave’s production-grade annealing quantum computing technology will serve as a critical component, fueling quantum application development and adoption now,” said Baratz.
Read more: Nobel Prize in Physics awarded for groundbreaking quantum circuit research
Read more: US government and IonQ partner to build quantum sandbox in space
Analysts maintain strong buy consensus
D-Wave experienced significant stock volatility, reflecting both investor enthusiasm and caution.The company’s stock price surged over 400 per cent year-to-date. Furthermore, it reached an all-time high of USD$45.06, before a recent pullback of approximately 11.5 per cent.
In the second quarter of 2025, D-Wave reported revenue of USD$3.1 million, a 42 per cent increase from the previous year. Despite this growth, the company posted a net loss of USD$167.3 million, influenced by warrant-related charges. The gross margin stood at 64 per cent, indicating relatively efficient cost management.
Analysts maintained a strong buy consensus on QBTS, highlighting D-Wave’s technological leadership and its expanding European presence.
This consensus is based on multiple recent analyst reports. Further, a few of these include those from Roth Capital, which raised its price target to USD$50, and Riley Securities, which increased its target to USD$33. Additionally, Stifel initiated coverage with a USD$26 target, and Cantor Fitzgerald set a USD$20 target. These ratings reflect confidence in D-Wave’s strategic positioning and technological advancements.
They cited the company’s strategic partnerships, production-ready Advantage2 systems, and cloud-based Leap access as potential growth drivers. Additionally, some analysts emphasized the firm’s robust cash reserves of over USD$819 million as a factor supporting long-term investment confidence.
However, analysts also noted that profitability remains a challenge, with negative EBIT and EBITDA margins. They cautioned that, despite adoption of quantum technology, D-Wave’s valuation could be stretched relative to its earnings and revenue growth.
.
