Why D-Wave Quantum (QBTS) Stock Just Rallied 20%

Shares of D-Wave Quantum (NASDAQ: QBTS) surged roughly 20% on Monday, closing at $19.53 after opening at $17.86, on volume of nearly 44.2 million shares—more than triple its recent daily average. The catalyst: an expanded commercial partnership with AT&T.

D-Wave announced that AT&T is significantly deepening its use of the company’s quantum annealing technology for network operations. In an early application, AT&T slashed a network optimization workload from roughly one hour to under 15 seconds—a 240x speedup.

The telecom giant plans to extend the technology to outage detection, technician dispatch, network build planning, and traffic management, and is also evaluating D-Wave’s forthcoming gate-model systems for quantum security applications.

WELCOME BONUS - Free Share Bundle When You Invest £50! Get up to £500 cashback for investing with IG.

Invest in 15,000+ shares and ETFs. Open an account now, invest at least £50, and you’ll get a free share bundle worth between £40 and £200. T&Cs apply.

5.0

Open Account Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

CEO Alan Baratz called it evidence that “the quantum market is beginning to separate proof from promise,” while AT&T’s data science director praised D-Wave’s pace of progress. The move marks a shift from pilot testing to production deployment—a milestone quantum computing stocks have long lacked.

The rally was amplified by additional tailwinds: Benchmark initiated coverage on QBTS with a Buy rating and $30 price target, and D-Wave began trading on Nasdaq that same day after voluntarily transferring from the NYSE. The enthusiasm spilled across the sector, lifting IonQ (+12%), Rigetti Computing (+12%), and Quantum Computing Inc. (+8%).

Still, risks remain. D-Wave’s Q1 revenue fell 81% year-over-year to $2.9 million, though bookings jumped nearly 2,000%. No financial terms of the AT&T deal were disclosed, and shares still traded down for the year heading into Monday’s session. Investors now await Q2 earnings on August 6 for further clarity.