We recently published a list of 11 Best Quantum Computing Stocks to Buy Right Now. In this article, we are going to take a look at where Quantum Computing Inc. (NASDAQ:QUBT) stands against other best quantum computing stocks to buy right now.
Quantum computing continues to advance rapidly, which has been helping businesses get new opportunities related to security, AI, optimization, and scientific discovery. As per PwC, the increasing recognition of quantum computing’s potential to revolutionize numerous industries has placed the momentum for significant breakthroughs. For example, quantum simulations in healthcare enable scientists to model complex molecular interactions, which helps in ramping up the discovery of new drugs and materials.
Therefore, quantum has the potential to advance complex problem-solving, speed up the scientific discovery, and lead to the development of entirely new technologies. PwC believes that quantum possesses numerous implications for operational, R&D, and security and controls.
What Lies Ahead for Quantum Computing Industry?
As per Stellar Market Research, quantum computing use cases are expected to have a hybrid operating model, representing a blend of quantum and traditional high-performance computing until around 2032. For instance, a quantum-inspired algorithm can result in improvements in traditional high-performance computers. Fortune Business Insights believes that the quantum computing market growth is expected to be fueled by advanced problem-solving, AI advancements, and global investments.
Commonwealth Scientific and Industrial Research Organisation (CSIRO) mentioned that the United Nations has designated 2025 to be the International Year of Quantum Science and Technology. Over the upcoming years, quantum chips are expected to scale up. Furthermore, the next generation of quantum processors are expected to be supported by logical qubits. Through the use of quantum simulations on normal computers, the researchers continue to develop and test numerous quantum algorithms. When the quantum hardware catches up, this can make quantum computing ready for useful applications, says the firm.
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Our Methodology
To list the 11 Best Quantum Computing Stocks to Buy Right Now, we sifted through several online rankings to shortlist the companies catering to the broader quantum computing sector. Next, we chose the ones that are popular among the hedge funds. Finally, the stocks are ranked in ascending order of their hedge fund sentiments, as of Q4 2024.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
Quantum Computing Inc. (NASDAQ:QUBT)
Number of Hedge Fund Holders: 6
Quantum Computing Inc. (NASDAQ:QUBT) is an integrated photonics company, which provides accessible and affordable quantum machines. The company has received a 5th purchase order for its thin film lithium niobate (TFLN) photonic chip foundry. The latest order is from a research group based in Canada to aid its research efforts on quantum photonics. Quantum Computing Inc. (NASDAQ:QUBT) will offer the research group with custom test structures based on its TFLN photonic integrated circuit (PIC) chip technology.
This partnership further strengthens the higher demand for TFLN’s energy efficiency and scalability, showcasing Quantum Computing Inc. (NASDAQ:QUBT)’s near-term opportunity to address real-world challenges and highlighting TFLN’s transformative potential in the areas of next-generation photonics and quantum technologies. Quantum Computing Inc. (NASDAQ:QUBT) announced that it has entered into securities purchase agreements for the purchase and sale of 8,163,266 shares of common stock in a private placement at the purchase price of $12.25 per share, which is anticipated to result in gross proceeds of $100 million (before the deduction of offering expenses). With the projected net proceeds, together with existing cash reserves, Quantum Computing Inc. (NASDAQ:QUBT) expects to have enough resources to continue to advance and expand the manufacturing and development of its photonics, thin-film lithium niobate (TFLN), and quantum technologies.
Overall, QUBT ranks 11th on our list of best quantum computing stocks to buy right now. While we acknowledge the potential of QUBT as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued AI stock that is more promising than QUBT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.