D-Wave Quantum (QBTS) delivered an eye-watering return of nearly 1,700% over the past three years. Shares changed hands below $2 in December 2022, just months after the company’s SPAC merger debut at $10 per share in August 2022. A hypothetical $1,000 investment at that low point would now be worth approximately $17,700, driven by a 400% rally over the past 12 months as investors chased the quantum computing theme.

The company’s market capitalization has surged past $10 billion, despite trailing annual revenue of only $24.14 million. That translates to a price-to-sales ratio exceeding 400, dwarfing traditional technology benchmarks. Meanwhile, D-Wave reported a net loss approaching $400 million over the same period, raising questions about sustainability at current valuation levels.

D-Wave has started to commercialize its quantum annealing systems, securing more than 100 paying customers for use cases such as logistics and supply-chain optimization. Gross margin stands near 83%, reflecting high software and service revenue content, but overall sales growth remains modest in absolute terms given the nascent state of the market.

The stock flirted with delisting less than two years ago, reflecting steep early losses post-SPAC. Daily trading volumes have averaged around 40 million shares, underscoring retail investor interest but also contributing to pronounced price swings. Investors should weigh the speculative upside against the volatility that has defined QBTS trading history.