Down 40% in 2025, This Quantum Computing Stock Is a Buy Right Now

Quantum computing, which offers the promise of faster computational power than what’s currently available, has implications for artificial intelligence (AI) and other lucrative technology fields. It also holds the promise of potential wealth for early investors — but after a share-price crash, some traders may be reluctant to catch a “falling knife.”

A number of quantum computing stocks have fallen sharply from their peak prices. Among them is IonQ (NYSE:IONQ), but is this “falling knife” worth catching in 2025? If you’re bullish on quantum computing in general, IONQ stock could be a winning pick as long as you can handle the volatility.

A Quantum Leap and Crash

For U.S.-based investors seeking exposure to the quantum computing market, there are a handful of stocks to choose from. These include IonQ, Rigetti Computing (NASDAQ:RGTI), Quantum Computing Inc. (NASDAQ:QUBT), D-Wave Quantum (NYSE:QBTS), and Quantum-Si Inc. (NASDAQ:QSI).

As you can see, IONQ stock soared and then crashed during the past 12 months. Currently, it’s down by around 40% from its 52-week high price of $54.74.

But then, all of the aforementioned quantum computing stocks are down sharply from their highest prices. It appears that the rise-and-fall price arc isn’t specifically IonQ’s fault.

Rather, it’s likely a result of investors generally piling into risk-on assets earlier this year, before tariffs kicked in, and then dumping their shares when the U.S.-China trade war heated up. Quantum computing stocks are definitely risk-on assets, so IONQ stock is only appropriate for traders with a high risk tolerance.

Sure, quantum computing is an exciting field. At the same time, there’s no need for investors to go overboard. IONQ stock has a five-year monthly beta of 2.5, which means the stock tends to move much faster in both directions than the overall stock market. Hence, if you’re going to hold shares of IonQ, it’s wise to only maintain a small position size.

IonQ’s Powerful Partnerships

Quantum computing companies have some similarities. For example, their investor presentations all tout achievements in ultra-fast, efficient computing throughput.

As a non-scientist, it may be difficult to pick the best from the rest among quantum computing firms. However, if the U.S. Air Force Research Lab (AFRL) chooses one particular quantum computing company to team up with, that’s effectively a seal of approval.

IonQ actually has a number of key collaborations in the works. These include partnerships with the University of Maryland, General Dynamics, and the governments of Abu Dhabi in the United Arab Emirates (UAE) and Busan in South Korea.

It’s IonQ’s team-up with the AFRL, though, that really sets the company apart from its peers. Earlier this year, IonQ announced a game-changing project via Qubitekk, Inc. to work with the AFRL to “install quantum network infrastructure at the New York-based Innovare Advancement Center.

This team-up should not be underestimated. For one thing, it demonstrates that IonQ is establishing itself as a go-to source of quantum-computing technology for government entities.

Even beyond that, IonQ is pushing the boundaries in an important sub-sector: quantum computing for cybersecurity. This sub-field has strong growth potential in these tense, unstable times.

IonQ’s press release makes this point succinctly. Quantum networks, the company emphasizes, are “poised to become important for secure infrastructure as this technology enables “secure communications” and “precise timing synchronization,” among other security-related benefits.

Michael Hayduk, deputy director of the AFRL’s Information Directorate, assured that the AFRL is “devoted to exploring innovative advancements in quantum computing and networking that will enhance our national security capabilities.” Clearly, America’s government trusts IonQ to help fulfill that objective, and this gives the company a distinct competitive advantage.

Not Profitable, but a Revenue Grower

Turning to the financial side of the equation, there’s no denying that IonQ isn’t a profitable business. However, this can be said of U.S.-based quantum computing firms in general.

Instead of using profitability as your success gauge, consider using revenue growth. In that regard, IonQ knocked it out of the park last year.

In 2024, IonQ generated $43.1 million in revenue, up 95% year over year. With that stunning statistic in mind, IONQ stock at a 40% discount sure looks like a bargain.

I’m not suggesting that you should just ignore IonQ’s $331.6 million net earnings loss from 2024. Going forward, it will be important for investors to monitor IonQ’s bottom line.

That said, it’s crucial to understand that quantum computing is a burgeoning industry and hefty capital expenditures will be the norm for a while. As long as IonQ continues to rake in the revenue and work closely with government entities, IONQ stock holds the promise of possible gains based on the company’s next-generation quantum-computing technology.

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