by D-Wave Quantum (NYSE: QBTS) gets steam like Roth Mkm’s Sujeeva de Silva a buy-rating and a price target of $ 18, which implies around 15 percent benefits. The Silva points out accelerating the traction in D-Wave’s Hardware Business Most in particular the benefit 2 quantum systems is the most important catalyst.
The impact of turnover is still on the rise, but the potential for $ 20 million-plus per unit in hardware sale is a big leap of only cloud offers. D-Wave’s very first hardware sale to the German Julich, appreciated in the tens of millions, came only six months ago; Now a second deal with Yonsei University and the city of Incheon could close soon. If Yonsei continues, this would signal growing business confidence and unlock new, higher value flows that go beyond D-Wave’s Core Cloud Services.
For the appreciation, the Silvas $ 18 target values QBTs projected at about 100 times 2026 Saleswell above the industrial average of 12 Times, but he argues that the premium is justified if hardware deals accelerate.
He emphasizes that the shift of customers from experimental cloud tests to dedicated benefit 2 purchases shows the real-world value in the D-wave quantum roadmap. The Silva also notes that expansion of partnerships in biotech and material science in South Korea underlines wider market interests.
Why it matters: hardware sale can stimulate the growth of the turnover of material and help validate the long-term quantum business model in the long term of D-Wave.
This article first appeared on Gurufocus.
