Stocks to buy

With advanced digitalization technologies possibly standing poised to catalyze a seismic paradigm shift, investors should consider quantum computing stocks for millionaires (or at least those who aspire to be millionaires). As the AWS website under Amazon (NASDAQ:AMZN) states, quantum computing is “…a multidisciplinary field comprising aspects of computer science, physics, and mathematics that utilizes quantum mechanics to solve complex problems faster than on classical computers.” Stated differently, the computer as we know is about to get a makeover, bolstering relevance for top quantum computing stocks.

According to Precedence Research, the global quantum computing market reached a valuation of $10.13 billion in 2022. However, experts project that by 2030, the sector could command a valuation of $125 billion. For speculators, it’s well worth considering millionaire quantum computing stock picks. To be sure, because of the novel market, investors should be prepared for wild unpredictability. Nevertheless, investing in quantum computing stocks could lead to life-changing returns.

IBM IBM. $128.18
RGTI Rigetti Computing $0.74
QUBT Quantum Computing $1.16

IBM (IBM)

Source: shutterstock.com/LCV

Initially, the inclusion of IBM (NYSE:IBM) as one of the quantum computing stocks for millionaires might not make sense. After all, this segment is supposed to be about high-risk, high-reward speculation. However, if you’re interested in taking the more surefire, steady approach to being a millionaire, “Big Blue” makes plenty of sense.

Fundamentally, IBM belongs in the discussion for top quantum computing stocks thanks to its myriad innovations in the sector. For example, the company produced Qiskit Runtime, which is IBM’s quantum computing service and programming model.

Financially, IBM carries a decent profile: nothing too positively remarkable but nothing too horrible either. Notably, IBM trades at a forward multiple of 13.44. As a discount to projected earnings, Big Blue ranks better than 79.51% of the competition. Also, its dividend yield comes out to 5.46%, which is quite generous.

Finally, Wall Street analysts peg IBM as a moderate buy. Their average price target lands at $147.38, implying nearly 16% upside potential.

Rigetti Computing (RGTI)

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Based in Berkeley, California, Rigetti Computing (NASDAQ:RGTI) develops quantum integrated circuits used for quantum computers. Per its website, Rigetti specializes in fusing artificial intelligence and machine learning, thereby allowing the company to address the world’s most important and pressing problems. A wildly risky investment, RGTI only gained a bit more than half a percent in the year so far.

Most of that stems from shares popping up nearly 45% on the May 22 session, rising in sympathy with quantum computing rival D-Wave Quantum (NYSE:QBTS). If you follow the sector closely, you’ll know that QBTS skyrocketed almost 111% on Monday. However, plenty of traders don’t want to overexpose themselves to extreme strength, making RGTI a potentially intriguing alternative for quantum computing stocks for millionaires.

To be sure, it’s financially a high-risk proposition. According to Zacks Equity Research, Rigetti came out with a quarterly loss of 19 cents for its first-quarter earnings report, missing the consensus estimate of a loss of 16 cents. On the positive side, Rigetti carries a relatively strong cash-to-debt ratio of 3.27. Still, despite some flaws, analysts peg RGTI as a consensus moderate buy. Their average price target clocks in at $1.25, implying over 70% upside potential.

Quantum Computing (QUBT)

Source: Bartlomiej K. Wroblewski / Shutterstock.com

For those that want to take their quantum computing stocks for millionaires to the extreme, Quantum Computing (NASDAQ:QUBT) may be what you’re looking for. A full-stack quantum software and hardware company, Quantum seeks to accelerate the value of quantum computing for real-world business solutions, per its website. To help bring about this goal, the company bought out QPhoton, which specializes in quantum photonic systems (QPS).

Although fundamentally exciting, prospective investors must recognize that QUBT represents a high-risk, high-reward venture. In the trailing one-year period, for example, QUBT stumbled by more than 17%. Over the past five years, shares hemorrhaged 79% of equity value.

Financially, circumstances aren’t exactly confidence-building. In the first quarter of 2023, Quantum posted revenue of only $120,000. On the bottom line, it incurred a net loss of $8.51 million. Overall, the company features only middling fiscal stability, making it one of the riskier quantum computing stocks to buy. That said, Ascendiant analyst Edward Woo pegs QUBT as a buy. The expert forecasts a price target of $9.25, implying almost 612% upside potential.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare.

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