D-Wave Quantum (NYSE: QBTS) stock suffered a big pullback in March. The quantum-computing company’s share price declined 23.2% in a month of trading that saw the S&P 500 decline by 5.1% and the Nasdaq Composite decline by 4.8%.
While there wasn’t anything major in terms of negative business-specific news for D-Wave last month, the company’s stock was dragged lower by risk-off sentiment created by the Iran war. The company’s share price is now down roughly 45 % year to date.
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The stock market sold off last month as investors weighed the disruptive impact of the U.S. and Israel’s war with Iran. In response to the conflict, Iran moved to drastically reduce the number of ships allowed to pass through the Strait of Hormuz. Roughly 20% of global oil shipments pass through the Strait of Hormuz, and its closure and broader war-related disruptions led to spikes in oil prices.
As a company with a highly growth-dependent valuation, D-Wave stock is particularly susceptible to big pullbacks in the face of geopolitical and macroeconomic developments. Quantum-computing stocks had already been under pressure in 2026 on the heels of big gains last year, and the uncertainty created by the war in Iran resulted in another round of substantial sell-offs for D-Wave and other players in the space. Investors were worried that the war would drive higher levels of inflation that cause the Federal Reserve to hold off on interest rate cuts or raise rates — developments that would be bearish for speculative growth stocks.
The broader market has seen some recovery momentum in April, but D-Wave stock is still down slightly early in this month’s trading. The company’s share price is off roughly 1% in the month so far. Meanwhile, the S&P 500 has risen 3.8%, and the Nasdaq Composite is up 4.9%.
While news that a two-week ceasefire agreement with Iran has been reached and the Strait of Hormuz has at least temporarily been reopened, D-Wave hasn’t participated in the relief rally. Recent analyst coverage may be at least partially to blame.
On April 7, Mizuho published new coverage on D-Wave. While the investment firm maintained an outperform rating on the stock, it lowered its one-year price target from $40 per share to $30 per share. The new price target still suggests potential upside of roughly 116.5%, but the softened valuation forecast is in line with recent trends that have seen analysts adopt more cautious valuation forecasts when it comes to quantum stocks.
