Legit or Scam: Should You Invest in Quantum Computing Stocks?

A company literally named Quantum Computing (NASDAQ: QUBT) has seen its market cap rocket from $55 million to $2.4 billion within a year. But could quantum computing stocks may be more branding illusion than revolution.

Photonic Qubits: Promise or Puff?

Quantum Computing has emerged alongside other popular quantum stocks such as IonQ, Rigetti Computing, and D-Wave Quantum over the last year.

But here’s the twist:

• Revenue: Just $385,000

• Partnerships: Virtually none

• Cash burn strategy: Mostly through issuing new shares

• Track record: Inconsistent leadership, zero proven moat

Why Analysts Are Skeptical

Quantum-based applications have the potential to revolutionize the computing industry due to their fundamentally different architecture. To put it simply, classical computing is based on binary code, which is represented by a series of bits that are either 1 or 0.

Quantum computing employs qubits, which may exist as both 1 and 0 at the same time, a process known as superposition. This enables more complicated information processing than today’s traditional computers. There are numerous ways in which companies are developing qubits.

Despite riding the AI and quantum buzzwords, analysts say QUBT lacks strategic clarity, tech validation, and financial depth. There are no major contracts, clients, or killer apps. The stock’s name appears to be doing more heavy lifting than the actual business model.

Experts warn that unless QUBT delivers breakthrough products or meaningful collaborations, the company may face insolvency well before 2030.

Quantum Computing Stocks: What Happens by 2030?

Unless QUBT undergoes a radical transformation:

• Bankruptcy or delisting by 2030 seems more likely than dominance

• Regulatory scrutiny may increase as investor sentiment turns

• Equity value erosion is expected

Is It a Quantum Computing Stocks Multibagger or Just Hype?

Compare QUBT to other quantum players:

• IonQ: $1B revenue target by 2030, Oxford Ionics acquisition

• D-Wave Quantum: Strong B2B momentum, annealing advantage

• Rigetti Computing: Strong R&D but still speculative

In contrast, QUBT’s lack of a competitive moat and its rebranding history raise concerns about it being a “vaporware” unicorn destined to be delisted.