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For Immediate Release
Chicago, IL – March 31, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: NVIDIA Corp. NVDA and IonQ, Inc. IONQ.
Here are highlights from Friday’s Analyst Blog:
Is IONQ Stock the Next NVIDIA and/or Worth Buying Now?
With the arrival of artificial intelligence (AI), NVIDIA Corp. became a Wall Street darling as it witnessed huge growth after going public in 1999. Now, with quantum computing being a rising tech trend, will IonQ, Inc. mirror NVIDIA's success in the future and is it a promising investment? Let's find out –
Reasons to Be Bullish on IONQ Stock
According to McKinsey, the quantum computing market is projected to reach $2 trillion by 2035. Growth in quantum computing bodes well for IonQ as its quantum computing system helps Magnificent 7 stocks, such as Microsoft Corporation (MSFT) and Amazon.com, Inc. (AMZN), by granting AI researchers access to quantum computing models.
IonQ stands out in quantum computing as its linear ion chains are capable of reaching over 100 qubits, resulting in fewer errors compared to other quantum computers. Such prowess helped IonQ notch revenues of $43.1 million last year, representing growth of 95% from a year ago. Revenues surpassed the upper end of the company's earlier announced guidance range.
At NVIDIA's latest "Quantum Day" event, CEO Jensen Huang approved that significant growth potential lies ahead for quantum computing, indicating a positive outlook for IonQ. He retracted his previous statement at the CES conference, where he said that quantum computing would take at least 15 years before it becomes practical.
In reality, IonQ recently showed that quantum computing is 12% faster than classical computing, an indication that quantum computing will be commercially viable soon. The breakthrough resulted from collaborating with Ansys, an engineering simulation company.
IonQ also has a solid cash balance, a prerequisite for quantum computing companies for continued research and development, and strategic mergers and acquisitions. IonQ raised around $360 million in net proceeds from a fruitful equity offering, increasing its pro forma cash balance to over $700 million.
Should I Invest in IONQ Stock Now? Could it Be the Next NVIDIA?
IonQ is a top choice among pure-play quantum stocks due to its stability and impressive advances in the quantum computing market, making it an attractive investment option (read more: Why Buy QBTS & IONQ Stocks After NVIDIA Quantum Day?).