Flynn Zito Capital Management Sells D-Wave Quantum Shares
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 days ago
0mins
Should l Buy QBTS?
Source: Fool
- Share Reduction Details: Flynn Zito Capital Management sold 100,000 shares of D-Wave Quantum in Q4 2025, with an estimated transaction value of $2.91 million, indicating a cautious stance towards the stock.
- Position Value Decline: The fund's position in D-Wave Quantum decreased by $2.41 million during the quarter, reflecting the impact of market fluctuations on its investment portfolio, which may influence future investment decisions.
- Current Stock Performance: As of February 5, 2026, D-Wave Quantum's stock price stood at $17.21, representing a 174.9% increase over the past year, showcasing its strong growth potential in the quantum computing sector.
- Investment Return Analysis: Flynn Zito acquired 140,000 shares in Q1 2025, and the expected return on the sold shares ranges between 250% and 615%, indicating significant success in its investment strategy within the quantum computing space.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy QBTS?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on QBTS
Wall Street analysts forecast QBTS stock price to rise
13 Analyst Rating
13 Buy
0 Hold
0 Sell
Strong Buy
Current: 18.820
Low
35.00
Averages
40.67
High
48.00
Current: 18.820
Low
35.00
Averages
40.67
High
48.00
About QBTS
D-Wave Quantum Inc. is a quantum computing company, which is engaged in the development and delivery of quantum computing systems, software, and services. The Company builds and delivers systems, cloud services, application development tools, and professional services to support the end-to-end quantum computing journey for enterprises and developers. The Company's products include Cloud Platform, Systems, Professional Services, and others. Under its Cloud Platform, the Leap quantum cloud service delivers immediate, real-time access to its quantum computers and hybrid solvers services. Under its Systems, the Advantage quantum system is a quantum computer designed for business. It also offers quantum applications to a range of customers, including resource scheduling, factory scheduling, industrial construction design, drug discovery, and others. It offers solutions across workforce scheduling, production scheduling, vehicle routing, resource optimization, and cargo loading.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
MarketBeat Weekly Recap – February 9 to February 13
Market Overview: Stocks are under pressure despite cooler-than-expected inflation readings, with investors focusing on valuations, particularly in the artificial intelligence sector, as earnings season reveals strong numbers from major players.
AI Impact on Jobs: Concerns are growing about the impact of AI on the job market, leading to a circular debate among investors regarding future interest rate cuts and stock valuations.
Earnings Season Insights: Major companies in the AI trade are posting strong earnings, which may influence stock prices positively, while the overall outlook for stocks remains bullish.
Investment Opportunities: Analysts highlight specific stocks, including those in the insurance and energy sectors, as potential buys, while cautioning investors about the risks associated with tech stocks and the broader market's direction.
See More
Analysis of D-Wave Quantum Options Trading
- Options Selling Risk: Selling puts on D-Wave Quantum does not provide the same upside potential as owning shares, as the seller only acquires shares if the contract is exercised, meaning the only gain before a 59.1% decline is the 12.4% annualized premium collected.
- Historical Volatility Insight: With a historical volatility of 124%, analyzing D-Wave Quantum's fundamentals alongside this metric can help investors assess whether selling the January 2028 puts at an $8 strike price is a worthwhile risk for the potential return.
- Market Trading Dynamics: As of Friday afternoon, the put volume among S&P 500 components reached 1.33 million contracts, matching call volume, resulting in a put:call ratio of 0.73, indicating a higher-than-normal interest in puts compared to the long-term median of 0.65, reflecting investor concern over downside risks.
- Options Market Trends: Current trading data shows heightened interest in D-Wave Quantum's put options, indicating market uncertainty regarding its future performance, prompting investors to carefully evaluate the associated risks and rewards.
See More
Quantum Computing Stocks Face Major Risks Amidst Opportunities
- Market Potential: Quantum computing is projected to create between $450 billion and $850 billion in global economic value by 2040, offering substantial return potential for investors despite being significantly smaller than the trillion-dollar AI market.
- Stock Price Surge: As of October 2025, shares of IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing Inc. have skyrocketed by 670%, 6,217%, 3,912%, and 2,798% respectively over the past 12 months, reflecting strong market confidence in quantum computing.
- Significant Financing Risks: These four quantum computing companies collectively issued over $4.1 billion in common stock and warrants in 2025 to raise capital, indicating their unproven operating models and posing dilution risks for existing shareholders.
- Increased Competitive Pressure: With major players like Amazon and Microsoft ramping up investments in quantum computing, the low barriers to entry could threaten the market position of pure-play quantum companies, potentially leading to their obsolescence as the technology matures.
See More
Quantum Computing Stocks Surge Up to 6,200% Over the Past Year
- Quantum Stock Performance: As of mid-October, stocks of IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing Inc. surged by up to 6,200% over the past year, reflecting strong investor confidence and robust market demand for this nascent technology.
- Market Potential Analysis: According to a forecast by Boston Consulting Group, quantum computing could generate between $450 billion and $850 billion in global economic value by 2040, attracting significant investor interest despite its smaller market size compared to artificial intelligence.
- Risks and Challenges: While quantum computing stocks present substantial return potential, they face risks such as share dilution and slow commercialization; collectively, these four companies issued over $4.1 billion in common stock and warrants in 2025 to raise capital, which could negatively impact existing shareholders.
- Competitive Pressure: With the
See More
Major Wall Street Rating Updates
- Apple Siri Upgrade Delay: Evercore ISI reiterates Apple as outperform, suggesting that reports of delays in Siri upgrades are overstated, with expectations for a multi-phase rollout of AI features this year, emphasizing the importance of privacy protection and seamless integration.
- Shopify Attractiveness Upgrade: TD Cowen upgrades Shopify from hold to buy, citing its strong quarterly performance and continued growth momentum as compelling reasons for investors to consider the stock, especially given its recent price decline.
- Fastly's Stellar Performance: William Blair upgrades Fastly from market perform to outperform following impressive earnings, driven by a significant increase in AI traffic contributions, indicating substantial growth potential in this emerging sector.
- MercadoLibre's Improved Competitive Landscape: JPMorgan upgrades MercadoLibre from neutral to overweight, noting a reduction in competitive pressures in the Latin American online marketplace, with expectations for sustained growth in the coming quarters.
See More
Analyzing Investment Prospects in Quantum Computing
- Massive Market Potential: McKinsey & Company projects that the quantum computing market could reach $72 billion annually by 2035, and with D-Wave Quantum's current market cap around $6.8 billion, capturing a significant market share could yield substantial returns.
- Technological Focus Advantage: D-Wave's use of quantum annealing technology allows it to specialize in solving optimization problems, giving it a competitive edge in specific applications such as weather modeling and logistics networks.
- Key Partnership Opportunity: D-Wave has signed a $10 million, two-year deal with an unnamed Fortune 100 company to explore its quantum computing capabilities, which could lead to larger collaborations and enhance its market position if successful.
- Investment Risk Advisory: While D-Wave shows potential in the quantum computing space, the intense competition from major tech companies necessitates cautious risk assessment by investors, suggesting a prudent approach to investment sizing.
See More
MarketBeat Weekly Recap – February 9 to February 13
Market Overview: Stocks are under pressure despite cooler-than-expected inflation readings, with investors focusing on valuations, particularly in the artificial intelligence sector, as earnings season reveals strong numbers from major players.
AI Impact on Jobs: Concerns are growing about the impact of AI on the job market, leading to a circular debate among investors regarding future interest rate cuts and stock valuations.
Earnings Season Insights: Major companies in the AI trade are posting strong earnings, which may influence stock prices positively, while the overall outlook for stocks remains bullish.
Investment Opportunities: Analysts highlight specific stocks, including those in the insurance and energy sectors, as potential buys, while cautioning investors about the risks associated with tech stocks and the broader market's direction.
See More
Analysis of D-Wave Quantum Options Trading
- Options Selling Risk: Selling puts on D-Wave Quantum does not provide the same upside potential as owning shares, as the seller only acquires shares if the contract is exercised, meaning the only gain before a 59.1% decline is the 12.4% annualized premium collected.
- Historical Volatility Insight: With a historical volatility of 124%, analyzing D-Wave Quantum's fundamentals alongside this metric can help investors assess whether selling the January 2028 puts at an $8 strike price is a worthwhile risk for the potential return.
- Market Trading Dynamics: As of Friday afternoon, the put volume among S&P 500 components reached 1.33 million contracts, matching call volume, resulting in a put:call ratio of 0.73, indicating a higher-than-normal interest in puts compared to the long-term median of 0.65, reflecting investor concern over downside risks.
- Options Market Trends: Current trading data shows heightened interest in D-Wave Quantum's put options, indicating market uncertainty regarding its future performance, prompting investors to carefully evaluate the associated risks and rewards.
See More
Quantum Computing Stocks Face Major Risks Amidst Opportunities
- Market Potential: Quantum computing is projected to create between $450 billion and $850 billion in global economic value by 2040, offering substantial return potential for investors despite being significantly smaller than the trillion-dollar AI market.
- Stock Price Surge: As of October 2025, shares of IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing Inc. have skyrocketed by 670%, 6,217%, 3,912%, and 2,798% respectively over the past 12 months, reflecting strong market confidence in quantum computing.
- Significant Financing Risks: These four quantum computing companies collectively issued over $4.1 billion in common stock and warrants in 2025 to raise capital, indicating their unproven operating models and posing dilution risks for existing shareholders.
- Increased Competitive Pressure: With major players like Amazon and Microsoft ramping up investments in quantum computing, the low barriers to entry could threaten the market position of pure-play quantum companies, potentially leading to their obsolescence as the technology matures.
See More
Quantum Computing Stocks Surge Up to 6,200% Over the Past Year
- Quantum Stock Performance: As of mid-October, stocks of IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing Inc. surged by up to 6,200% over the past year, reflecting strong investor confidence and robust market demand for this nascent technology.
- Market Potential Analysis: According to a forecast by Boston Consulting Group, quantum computing could generate between $450 billion and $850 billion in global economic value by 2040, attracting significant investor interest despite its smaller market size compared to artificial intelligence.
- Risks and Challenges: While quantum computing stocks present substantial return potential, they face risks such as share dilution and slow commercialization; collectively, these four companies issued over $4.1 billion in common stock and warrants in 2025 to raise capital, which could negatively impact existing shareholders.
- Competitive Pressure: With the
See More
Major Wall Street Rating Updates
- Apple Siri Upgrade Delay: Evercore ISI reiterates Apple as outperform, suggesting that reports of delays in Siri upgrades are overstated, with expectations for a multi-phase rollout of AI features this year, emphasizing the importance of privacy protection and seamless integration.
- Shopify Attractiveness Upgrade: TD Cowen upgrades Shopify from hold to buy, citing its strong quarterly performance and continued growth momentum as compelling reasons for investors to consider the stock, especially given its recent price decline.
- Fastly's Stellar Performance: William Blair upgrades Fastly from market perform to outperform following impressive earnings, driven by a significant increase in AI traffic contributions, indicating substantial growth potential in this emerging sector.
- MercadoLibre's Improved Competitive Landscape: JPMorgan upgrades MercadoLibre from neutral to overweight, noting a reduction in competitive pressures in the Latin American online marketplace, with expectations for sustained growth in the coming quarters.
See More
Analyzing Investment Prospects in Quantum Computing
- Massive Market Potential: McKinsey & Company projects that the quantum computing market could reach $72 billion annually by 2035, and with D-Wave Quantum's current market cap around $6.8 billion, capturing a significant market share could yield substantial returns.
- Technological Focus Advantage: D-Wave's use of quantum annealing technology allows it to specialize in solving optimization problems, giving it a competitive edge in specific applications such as weather modeling and logistics networks.
- Key Partnership Opportunity: D-Wave has signed a $10 million, two-year deal with an unnamed Fortune 100 company to explore its quantum computing capabilities, which could lead to larger collaborations and enhance its market position if successful.
- Investment Risk Advisory: While D-Wave shows potential in the quantum computing space, the intense competition from major tech companies necessitates cautious risk assessment by investors, suggesting a prudent approach to investment sizing.
See More
