Legendary Billionaire Israel Englander Loaded Up on Quantum Computing Stock D-Wave (QBTS)

Israel Englander, the billionaire founder and CEO of Millennium Management is one of the world’s most successful hedge fund managers. In fact, at the age of 77, he’s now worth just north of $14.2 billion.

So, when he buys or sells a stock, pay close attention.

Look at his recent investments in quantum computing stocks

Quantum computing will be a massive game-changer. With it, the world may be able to solve problems far too complex for typical computers within minutes, or even seconds.

All while creating massive opportunities for quantum computing stocks, such as those bought by Englander, including D-Wave Quantum (NYSE: QBTS) and Rigetti Computing (NASDAQ: RGTI).

Quantum computing could even be used to discover new drugs, quicker than ever imagined. It may even be able to help advance artificial intelligence, machine learning, financial modeling, cybersecurity, batteries, and even help with the green energy boom. No wonder governments all over the world are heavily investing in quantum computing. 

In fact, according to the State of Quantum 2024, more than 30 governments have already made commitments of more than $40 billion to quantum technologies over the next 10 years.

Even better, analysts say the quantum computing market could eventually be worth about $850 billion by 2040, as noted by Forbes. It’s just part of the reason why Englander bought in.

Englander Bought 2.27 Million Shares of QBTS

Englander bought just over 2.27 million shares of D-Wave Quantum at the end of 2024 for about $16.4 million.

Around the time, the stock exploded from a November low of about $1 to a high of $11.41 by December. Today, it’s up to $18.60 and still running. Helping, the company just announced the availability of its Advantage2 quantum computing system.

“Today marks a significant milestone not just for D-Wave, but for the quantum computing industry as a whole, as we bring to market our sixth-generation quantum computer, a system so powerful that it can solve hard problems outside the reach of one of the world’s largest exascale GPU-based classical supercomputers,” said CEO Alan Baratz, quoted by Seeking Alpha.

Fueling even more upside, QBTS just posted an EPS loss of two cents, which beat expectations by three cents. Revenue of $15 million, up 503.3% year over year, beat by $4.5 million. Plus, analysts at Roth Capital just raised their price target to $12 with a buy rating on the stock. Benchmark analysts also raised their price target to $14 with a buy rating.

At the moment, about six analysts rate QBTS a buy with a high-end price target of $14.

Englander Did Sell 80% of his RGTI Holdings, However…

In the fourth quarter of 2024, Englander bought just over 1.41 million shares of the quantum computing stock for about $15 million. Around that time, RGTI exploded from about $1 in November 2024 to a high of $18 as of December 31, 2024.

Shortly after, Englander sold about 1.2 million shares, cutting his stake by about 80%.

While other analysts questioned his move, there’s nothing to question the billionaire is sitting on a 1,700% gain in just weeks. Since the first of the year, RGTI did slip from about $20 to $6.

The stock got too hot, and it just made sense to take wins.

With 20% of his initial position still in play, Englander could make even more money – as the quantum computing giant just starts to pivot higher again. From its last traded price of $14.02, we’d like to see an initial retest of $18. At the moment, five analysts rate RGTI as a buy with a high-end price target of $16 a share.

While QBTS and RGTI are attractive at current prices, you can diversify with other hot quantum computing stocks with exchange-traded funds, as well, including:

Defiance Quantum ETF (QTUM)

With an expense ratio of 0.4%, the Defiance Quantum ETF (QTUM) tracks some of the top tech stocks, including D-Wave Quantum, Rigetti Computing, Palantir Technologies, IonQ, Alibaba Group, RTX Corp., and Intel to name just a few.

In addition, the ETF is exposed to companies at “the forefront of machine learning, quantum computing, cloud computing, and other transformative computing technologies,” as noted by DefianceETFs.com. It also tracks the BlueStar Quantum Computing and Machine Learning Index, with about 71 holdings.

Even better, it pays a dividend three times a year. Its last one for $0.07509852 was paid on December 26. Before that, the QTUM ETF paid a dividend of $0.11783048 on September 24. Its next one should be out in June 2025.

The post Legendary Billionaire Israel Englander Loaded Up on Quantum Computing Stock D-Wave (QBTS) appeared first on 24/7 Wall St..