Why Quantum Computing Stocks, Including QBTS and RGTI, Are Climbing for a Second Straight Day

Multiple quantum computing stocks, including D-Wave Quantum (QBTS) and Rigetti (RGTI), are climbing for a second straight day after Microsoft (MSFT) disclosed yesterday that it was building a fault-tolerant prototype “of a scalable quantum computer” for the U.S. government.

QBTS is advancing 8.5% today, while RGTI is rising 10%.

A modern computer data center, running an advanced quantum computer system.

Additional Information About Microsoft’s Quantum Project

The tech giant reported that it was “on track” to build the prototype for America’s Defense Advanced Research Projects Agency (DARPA) “in years, not decades.” The prototype will be “based on topological qubits,” MSFT reported, adding that it has been able to harness “a new state of matter” called  “topological superconductivity.”

MSFT also noted that it had created Majorana 1, a Quantum Processing Unit “powered by a topological Core, designed to scale to a million qubits on a single chip.”

The tech giant reported that its technique “simplifies” quantum error correction “dramatically.”

The Recent Price Action of QBTS and RGTI

In the last month, QBTS has risen 8.5%, while it has jumped 232% in the last three months.

In the last month, RGTI has dropped 18%, while it has rallied 645% in the last three months.

While we acknowledge the potential of QBTS, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than QBTS 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