Quantum-Si incorporated (QSI) | Investment Case

1. Company Snapshot

1.a. Company Description

Quantum-Si incorporated, a life sciences company, develops a single molecule detection platform for sample preparation and sequencing.It offers a proprietary single molecule detection platform for use in semiconductor industry to field proteomics to enable next generation protein sequencing.The company was incorporated in 2013 is based in Guilford, Connecticut.

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1.b. Last Insights on QSI

Quantum-Si Incorporated's recent performance was positively driven by successful sequencing on its prototype Proteus unit, with the development program on track. The company's Q3 2025 earnings call highlighted progress in its sequencing technology. Additionally, Quantum-Si's participation in investor events, such as the Canaccord Genuity MedTech, Diagnostics and Digital Health & Services Forum, and an upcoming investor & analyst event in New York City, may have boosted investor confidence. Its financial results for Q3 2025 showed a quarterly loss of $0.17 per share.

1.c. Company Highlights

Last Price	1.44
Change Percentage	-2.04%
Open	1.48
Previous Close	1.47
Market Cap ( Millions)	282
Volume	3636000
Year High	5.77
Year Low	0.95
M A 50	1.74
M A 200	1.52

FCF Yield	-34.22%
Dividend Yield	0.00%
ROE	-47.64%
Debt / Equity	5.04%
Net Debt / EBIDTA	10.38%
Price To Book	1.2
Price Earnings Ratio	-2.48
Price To FCF	-2.92
Price To sales	82.53
EV / EBITDA	-2.54

2. Quantum-Si's Q3 2025 Earnings: A Milestone-Rich Quarter Amidst Funding Uncertainties

Quantum-Si reported revenue of $552,000 for Q3 2025, with a gross profit of $194,000 and a gross margin of 35%. The company's adjusted operating expenses decreased year-over-year, reflecting its focus on cost controls. The actual EPS came out at -$0.17, missing estimates of -$0.12. The company's cash position remains robust, with $230.5 million in cash, cash equivalents, and investments in marketable securities as of September 30, 2025.

Publication Date: Nov -09

📋 Highlights

Operational Highlights and Customer Adoption

The company achieved significant milestones in Q3, including the successful completion of sequencing runs on a prototype Proteus system. This development is crucial for the company's 2025 objectives and has the potential to unlock new applications in protein sequencing. Twelve new customers implemented the company's platform, with over half in academic labs, a segment that has been challenging to access due to NIH funding uncertainties.

Proteus Platform and Future Prospects

The Proteus platform is expected to offer enhanced performance and throughput, potentially driving growth in multiple end markets. The company will provide updates on its Proteus program, including early sequencing data and proteome coverage milestones, at its Investor and Analyst Day on November 19. Analysts estimate next year's revenue growth at 227.7%, indicating a significant increase in sales.

Valuation and Growth Prospects

With a P/S Ratio of 90.27, the market is pricing in high growth expectations for Quantum-Si. The company's ROE and ROIC are currently negative, at -47.64% and -49.13%, respectively, indicating that it is still in a growth investment phase. The EV/EBITDA ratio stands at -2.79, suggesting that the company's valuation is sensitive to its ability to generate earnings.

Challenges and Outlook

Historically, Q4 has been a strong quarter for Quantum-Si, but this year may see only modest improvement due to geopolitical challenges and NIH funding uncertainties. The company's management is focused on scaling its Proteus platform, optimizing manufacturing, and accessing high-value academic centers to generate data for publications. The upcoming Investor and Analyst Day is expected to provide further insights into the company's R&D pipeline initiatives and commercial objectives.

3. NewsRoom

Quantum-Si (NASDAQ:QSI) & IQE (OTCMKTS:IQEPF) Head-To-Head Contrast

Nov -29

Source: defenseworld.net

Quantum-Si Highlights Significant Development Advancements for Proteus™ and Industry Leading Technology Pipeline at Investor & Analyst Day

Nov -20

Source: businesswire.com

Quantum-Si incorporated (QSI) Analyst/Investor Day Transcript

Nov -19

Source: seekingalpha.com

Quantum-Si to Highlight Significant Proteus™ Platform Development Progress and Provide Insights into the Company's Industry Leading Technology Pipeline at Investor & Analyst Day

Nov -19

Source: businesswire.com

Head to Head Comparison: Quantum-Si (NASDAQ:QSI) vs. Sequans Communications (NYSE:SQNS)

Nov -15

Source: defenseworld.net

Quantum-Si incorporated (QSI) Q3 2025 Earnings Call Transcript

Nov -06

Source: seekingalpha.com

Quantum-Si Incorporated (QSI) Reports Q3 Loss, Lags Revenue Estimates

Nov -06

Source: zacks.com

Quantum-Si Reports Third Quarter 2025 Financial Results

Nov -05

Source: businesswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.70%)

6. Segments

Universal Single-molecule Detection Platform

Expected Growth: 11.7%

Quantum-Si's Universal Single-molecule Detection Platform is driven by increasing demand for precision medicine, advancements in proteomics and genomics, and growing adoption of single-molecule detection in life sciences research. The platform's scalability, sensitivity, and versatility also contribute to its growth, as it enables researchers to analyze complex biological systems and identify new biomarkers.

7. Detailed Products

NovaSeq

A high-throughput sequencing platform that enables rapid and cost-effective whole-genome sequencing

TruSeq

A library preparation kit for next-generation sequencing that enables researchers to prepare high-quality sequencing libraries

Illumina Propel

A laboratory information management system that enables researchers to track and manage their sequencing data

DRAGEN

A bioinformatics platform that enables rapid and accurate analysis of genomic data

Quantum-Si's Single Molecule Detection Platform

A single-molecule detection platform that enables researchers to detect and analyze individual molecules

8. Quantum-Si incorporated's Porter Forces

Forces Ranking

Threat Of Substitutes

Quantum-Si's proprietary technology and high barriers to entry reduce the threat of substitutes.

Bargaining Power Of Customers

Quantum-Si's customers are largely dependent on the company's products, giving them limited bargaining power.

Bargaining Power Of Suppliers

Quantum-Si's suppliers have some bargaining power due to the specialized nature of their products, but the company's scale and negotiating power mitigate this threat.

Threat Of New Entrants

High barriers to entry, including significant capital expenditures and technological expertise, limit the threat of new entrants.

Intensity Of Rivalry

The proteomics market is highly competitive, with several established players, leading to a high intensity of rivalry.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	5.33%
Debt Cost	3.95%
Equity Weight	94.67%
Equity Cost	19.30%
WACC	18.48%
Leverage	5.63%

11. Quality Control: Quantum-Si incorporated passed 3 out of 9 key points

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Daré Bioscience

A-Score: 4.8/10

Value: 10.0

Growth: 6.9

Quality: 8.6

Yield: 0.0

Momentum: 1.0

Volatility: 2.3

1-Year Total Return ->

Quantum-Si

A-Score: 4.3/10

Value: 7.0

Growth: 4.8

Quality: 4.5

Yield: 0.0

Momentum: 9.0

Volatility: 0.3

1-Year Total Return ->

Shattuck Labs

A-Score: 3.6/10

Value: 7.8

Growth: 1.1

Quality: 3.8

Yield: 0.0

Momentum: 8.5

Volatility: 0.3

1-Year Total Return ->

Avid Bioservices

A-Score: 3.6/10

Value: 4.2

Growth: 4.4

Quality: 1.4

Yield: 0.0

Momentum: 7.5

Volatility: 4.0

1-Year Total Return ->

4D Molecular Therapeutics

A-Score: 2.9/10

Value: 7.0

Growth: 1.3

Quality: 3.6

Yield: 0.0

Momentum: 4.5

Volatility: 1.0

1-Year Total Return ->

Keros Therapeutics

A-Score: 2.6/10

Value: 5.8

Growth: 0.3

Quality: 6.8

Yield: 0.0

Momentum: 0.0

Volatility: 2.7

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

27.23%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

18.48%

Quantum-Si incorporated - US74765K1051

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on QSI

1.c. Company Highlights

Average Quality

Medium Volatility

Average Growth

Earnings Beats

Revenues Beats

Stable Momentum

Revenues Miss

Lower Growth

Weak Momentum

More Volatile

Strong Momentum

Fairly Valued

Earnings Miss

2. Quantum-Si's Q3 2025 Earnings: A Milestone-Rich Quarter Amidst Funding Uncertainties

Operational Highlights and Customer Adoption

Proteus Platform and Future Prospects

Valuation and Growth Prospects

Challenges and Outlook

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.70%)

6. Segments

Universal Single-molecule Detection Platform

Expected Growth: 11.7%

7. Detailed Products

NovaSeq

TruSeq

Illumina Propel

DRAGEN

Quantum-Si's Single Molecule Detection Platform

8. Quantum-Si incorporated's Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Quantum-Si incorporated passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

1.44$

Current Price

1.44$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA