Shares of D-Wave Quantum Inc. continued their upward trajectory on Thursday, adding approximately 5% to Wednesday's substantial 22.6% rally. The renewed investor enthusiasm follows chipmaking giant Nvidia's introduction of Ising, a new family of open artificial intelligence models specifically designed for quantum computing applications. The stock traded at $21.81 during the session, a notable recovery from lows seen last year.
Nvidia's Strategic Entry into Quantum
The launch by Nvidia is significant as it directly addresses two persistent challenges in quantum technology: the precise calibration of quantum processors and the correction of errors that occur when fragile qubits lose coherence. By developing AI tools to tackle these fundamental issues, Nvidia signals a serious, tangible commitment to advancing the quantum computing ecosystem, providing a vote of confidence that has energized the entire sector.
D-Wave was not the only beneficiary of the sector-wide momentum. Competitors including IonQ and Rigetti Computing also posted gains on Thursday, building on double-digit rallies from the previous session. This marks a sharp reversal from a difficult period in 2025, which was triggered when Nvidia's own CEO, Jensen Huang, publicly expressed doubts about the near-term commercialization timeline for quantum machines.
D-Wave's Commercial Traction and Expansion
D-Wave is capturing significant attention partly due to its demonstrable, though still early-stage, commercial progress. In February, the company reported that its full-year 2025 revenue skyrocketed 179% to $24.6 million. More recently, management disclosed that bookings for the first quarter of 2026 had already surpassed $32.8 million as of February 25. This figure was bolstered by a major $20 million system sale and a $10 million, two-year contract for quantum computing services.
The company has been actively broadening its technological portfolio. According to a recent Securities and Exchange Commission filing, D-Wave finalized its acquisition of Quantum Circuits, Inc. on January 20. The deal, valued at $250 million paid in cash plus 10.43 million shares of D-Wave stock, integrates gate-model quantum technology—a more versatile approach—with D-Wave's existing suite of annealing-based systems and cloud services focused on optimization problems like logistics and scheduling.
Leadership Commentary and Analyst Views
CEO Alan Baratz leveraged the week's heightened interest to reiterate the competitive threat quantum computing poses. "If I was Nvidia, I'd be shaking in my boots," Baratz stated in an interview with Yahoo Finance. He plans to further elaborate on this theme at upcoming industry events, including the Semafor World Economy gathering and the QED-C Quantum Summit, arguing that the technology is rapidly transitioning from experimental research to practical business applications.
Analysts have taken note of D-Wave's positioning. Earlier this year, Krish Sankar of TD Cowen highlighted the company's "leadership in quantum annealing," crediting this focus on optimization for driving growth in both hardware sales and cloud services. This week, Sankar also pointed to Nvidia's new models as a potential catalyst for accelerated commercialization. Craig Ellis of B. Riley echoed this sentiment, suggesting the advanced chips could hasten industry adoption by improving error-correction capabilities.
Risks and Valuation Considerations
Despite the optimistic momentum, significant risks remain. The company reported a substantial net loss of $355 million for 2025. Furthermore, the SEC filing related to the Quantum Circuits merger outlined several integration risks, including potential cost overruns, operational challenges, and disappointing synergies that could adversely affect financial performance and share price.
Following Thursday's trading, D-Wave's market capitalization stood near $8.4 billion. The current rally appears driven by a combination of Nvidia's strategic technical announcement and D-Wave's own burst of booking announcements. The key test ahead will be whether the company can sustain this momentum as it works to integrate Quantum Circuits and successfully execute on its new contract pipeline.
