D-Wave Quantum (NYSE:QBTS) and QXO (NASDAQ:QXO) Financial Contrast

D-Wave Quantum (NYSE:QBTS) and QXO (NASDAQ:QXO) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, earnings, institutional ownership, analyst recommendations, profitability, dividends and risk.

Valuation & Earnings

This table compares D-Wave Quantum and QXO”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
D-Wave Quantum	$8.76 million	25.98	-$82.71 million	($0.43)	-2.63
QXO	$54.52 million	111.74	-$1.07 million	($12.31)	-1.21

QXO has higher revenue and earnings than D-Wave Quantum. D-Wave Quantum is trading at a lower price-to-earnings ratio than QXO, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

42.5% of D-Wave Quantum shares are held by institutional investors. Comparatively, 58.7% of QXO shares are held by institutional investors. 7.2% of D-Wave Quantum shares are held by company insiders. Comparatively, 90.6% of QXO shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations and price targets for D-Wave Quantum and QXO, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
D-Wave Quantum	0	0	7	0	3.00
QXO	0	0	0	0	N/A

D-Wave Quantum currently has a consensus target price of $2.54, suggesting a potential upside of 124.40%. Given D-Wave Quantum’s higher possible upside, equities analysts clearly believe D-Wave Quantum is more favorable than QXO.

Profitability

This table compares D-Wave Quantum and QXO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
D-Wave Quantum	-661.66%	N/A	-111.58%
QXO	-3.75%	0.51%	0.24%

Risk and Volatility

D-Wave Quantum has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500. Comparatively, QXO has a beta of 2.31, meaning that its stock price is 131% more volatile than the S&P 500.

Summary

QXO beats D-Wave Quantum on 10 of the 13 factors compared between the two stocks.

About D-Wave Quantum

D-Wave Quantum Inc. develops and delivers quantum computing systems, software, and services worldwide. The company offers Advantage, a fifth-generation quantum computer; Ocean, a suite of open-source python tools; and Leap, a cloud-based service that provides real-time access to a live quantum computer, as well as access to Advantage, hybrid solvers, the Ocean software development kit, live code, demos, learning resources, and a vibrant developer community. It also provides D-Wave Launch, a quantum professional service that guides enterprises from problem discovery through production implementation. The company's quantum solutions are used in logistics, financial services, drug discovery, materials sciences, scheduling, fault detection, mobility, and supply chain management. It serves financial services, manufacturing/logistics, mobility, and life sciences/pharmaceuticals industries. D-Wave Quantum Inc. was founded in 1999 and is headquartered in Burnaby, Canada.

About QXO

QXO, Inc. operates as a business application, technology, and consulting company in North America. The company provides solutions for accounting and business management, financial reporting, enterprise resource planning, human capital management, warehouse management systems, customer relationship management, and business intelligence. It also offers value-added services that focuses on consulting and professional, specialized programming, training, and technical support services. In addition, the company provides information technology managed services, such as cybersecurity, application hosting, disaster recovery, business continuity, cloud, and other services; and data back-up, network maintenance, and upgrade services. It serves small and medium-sized businesses primarily in the manufacturing, distribution, and service industries. QXO, Inc. is headquartered in Greenwich, Connecticut.