D-Wave Quantum Inc. (QBTS) experienced a significant 24-hour plunge of 5.06% during Thursday's trading session, as investors reacted to a combination of factors including the company's participation in Nvidia's Quantum Day event and its recently released full-year 2024 financial results.
The quantum computing firm's stock took a hit following its appearance at Nvidia's inaugural Quantum Day, which was part of the annual Nvidia GTC conference. While the event provided a platform for quantum computing companies to showcase their technologies, the lack of major announcements or clear deployment timelines appeared to disappoint investors. This resulted in a broader sell-off across quantum computing stocks, with D-Wave being particularly affected.
Adding to the downward pressure, D-Wave's full-year 2024 financial results, released earlier, failed to meet market expectations. The company reported a widened net loss of $143.9 million, representing a 74% increase from the previous year. Earnings per share deteriorated to a loss of $0.75, compared to a $0.60 loss in 2023. These figures missed analyst estimates, further contributing to investor concerns about the company's financial performance and growth trajectory.
Despite the current setback, some analysts remain optimistic about D-Wave's long-term prospects, citing the company's recent claims of achieving quantum supremacy and the growing interest in quantum computing technologies. However, the stock's performance indicates that investors are approaching the quantum computing sector with caution, seeking more concrete evidence of commercial viability and profitability before committing to these speculative investments.
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