Using quantum computing, humans can solve huge, complex problems much faster than with standard computers. Among the tasks at which quantum computers excel are atomic physics, logistics and artificial intelligence. It appears that the technology can utilize the power of physics to produce much better results. Additionally, quantum computing uses much less power than standard computers to accomplish these complex tasks. Given these points, I expect quantum computers to start proliferating widely within the next five years. According to one estimate, the technology will generate revenue of $6.5 billion by 2028, up from $713 million in 2022. At this point, the Street is not at all focused on quantum computing, so there are many quantum computing firms flying below the radar. Here are three quantum computing stocks to buy now.
Quantum Computing Inc. (NASDAQ:QUBT) provides software and apps for use in quantum computing.
The leaders of QUBT have very impressive resumes. Co-founder and chairman Robert Liscouski was Global Director of Information at Coca-Cola (NYSE:KO) and Assistant Secretary for Infrastructure Protection of the U.S. Department of Homeland Security. CEO William McGann, who took the job in January, sold a tech company that he founded to General Electric (NYSE:GE) and created a division within GE. He subsequently launched many technologies for major defense contractors.
Also validating Quantum Computing is the fact that it has received four subcontracts from NASA. Meanwhile, Amazon (NASDAQ:AMZN) has made its quantum application accelerator available on its cloud platform.
Given these points, the $72 million market capitalization of the firm is quite low. In light of the company’s considerable accomplishments and its low valuation, QUBT is one of the best quantum computing stocks to buy.
Last quarter, Rigetti’s revenue encouragingly climbed 41% versus the same period a year earlier to $3.1 million. The company also sold its quantum computing chips to a Singaporean company called Horizon Quantum Computing, indicating that there may be significant demand for its chips from emerging quantum firms.
I believe that the $227 million market capitalization of RGTI stock is far below the company’s long-term potential value.
IonQ (NASDAQ:IONQ) markets quantum computers. The company has implied that its computers can generate artificial intelligence significantly more cheaply and faster than graphics processing units (GPUs) can. GPUs are widely used today to develop AI.
In 2023, IonQ sold four of its computers, while its top line soared 98% to $22 million and its bookings jumped 166% to $65.1 million. So it does appear that there’s meaningful interest in the firm’s product.
Earlier this month, IonQ increased its 2024 bookings outlook to $75 million to $95 million from $70 million to $90 million. IonQ expects its 2024 revenue to come in at $37 million to $41 million. At the midpoint of that range, its sales would rise 77% versus 2023 levels.
The firm’s market capitalization of $1.95 billion is much higher than those of RGTI and QUBT. Still, I believe that IonQ is well-positioned to greatly increase its value over the long term.
