Why D-Wave Stock Skyrocketed 40.2% This Week

Shares of D-Wave Quantum (NYSE: QBTS) skyrocketed this week. The quantum computing start-up's stock finished the week up 40.2% and was up as much as 47.8% earlier in the week. The rise came as the S&P 500 lost 0.5% and the Nasdaq 100 lost 0.2%.

The stock rallied after the quantum computing company reported positive earnings Thursday. The stock also saw a boost from President Trump's U.K. trade deal and the upcoming talks with China.

D-Wave posts a record quarter

D-Wave reported strong quarterly results on Thursday, beating expectations. The company announced revenue of $15 million for its first quarter of 2025, a 509% increase from the $2.5 million reported in the same period last year.

D-Wave's CEO, Alan Baratz, called it "arguably the most significant [quarter] in D-Wave's history," highlighting that the company had demonstrated "quantum supremacy" over classical computing on a useful real-world problem -- a significant milestone for the industry at large.

Trade deals in sight

Adding to the positive momentum, Trump unveiled the outline of a trade deal with the United Kingdom on Thursday. While much of it focused on traditional industries like agriculture, the deal includes provisions related to intellectual property protection that could benefit D-Wave. On Friday, Trump took to social media to indicate he was interested in lowering tariffs on China ahead of a key trade meeting between the two superpowers. De-escalating the trade tensions between the two could boost the entire economy.

Image Source: Getty Images.

There's a long way to go

Despite the positive news from D-Wave and its demonstration of "quantum supremacy," it was extremely limited in its scope. It will be a long time before quantum technology matures to the point that it delivers major economic benefits.

If you're an investor with a particularly high risk tolerance and the ability to possibly wait a decade or more for your investment to pay off, D-Wave is one of the better quantum stocks on the market. However, I would strongly suggest spreading your investment around many quantum stocks, as there's no way to tell at this point which company's approach will work in the long run.

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Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.