This "Self-Feeding" Loop Can Make Quantum Computing Stocks Rally Much Longer Than You Realize

"Quantum computing stocks have been surging nonstop over the past year. Stocks like , and have corrected recently, but the market has seen several such corrections that were followed by an even bigger surge. It seems that quantum computing businesses have found themselves in the midst of a perfect storm of events, something that could actually make them sustainable. It's no secret that Wall Street now sees quantum computing as the next logical "big thing" after AI."

"The theory is that AI models will get ever more powerful, requiring more and more compute, outgrowing anything classical computing has to offer. Inevitably, quantum computing companies will then step in and sell the remedy. That's obviously an ideal and linear set of events, and things are unlikely to turn out that way, but the prospect alone commands a massive premium."

"The number of pure-play quantum computing stocks you can invest in is very narrow. You can count them on one hand. As a result, the market has been bidding up these stocks to extreme levels, and the valuation no longer seems to matter. Exchange-traded funds, retirement accounts, and hedge funds now all view quantum computing as a critical element of their portfolios. Only a handful of names give them that exposure, and they're willing to pay the price for it."

"For example, D-Wave Quantum has been able to lift its cash on the balance sheet from $29 million in Q3 2024 to $819 million in Q2 2025. IonQ has also increased its cash from $340 million at the end of 2024 to $543 million in Q2 2025. Rigetti's balance sheet had $93 million in cash in Q3 2024, but it ballooned to $426 million in Q2."

Quantum computing stocks have surged nonstop over the past year, with periodic corrections often followed by larger rallies. Wall Street increasingly regards quantum computing as the next major technology trend closely tied to AI. The prevailing theory holds that AI models will require more compute than classical systems can provide, creating demand for quantum remedies and commanding a premium. Pure-play quantum investing options remain very limited, driving ETFs, retirement accounts, and hedge funds to pay high prices for exposure. Companies have capitalized on elevated stock prices with at-the-market offerings, boosting cash balances substantially (examples include D-Wave, IonQ, Rigetti).

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