QUBT - Quantum Computing

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Quantum Computing has been on a buying spree of its own. The firm completed acquisitions of Luminar Semiconductor and NuCrypt, both photonics or quantum optics companies, in the first quarter of the year. It more recently announced the completed purchase of NHanced Semiconductors, which it called a key step toward "scalable commercial production."The firm is able to do this thanks to its strong cash position and backlog, as it ended Q1 2026 with almost $1 billion in cash and investments and a growing backlog of $16 million. Quantum Computing seems to be on the precipice of shifting from a research-focused firm to one attempting to scale its production, and it is buying up smaller firms to fast-track this process.This may be a positive sign for Quantum Computing, but the proof will be in whether the company can right its operating expenses and generate non-investment income. In Q1, operating expenses climbed by 123% year over year to almost $20 million, leading to a net loss of $4.1 million. All of the added headcount and other M&A-related expenses contributed to compressed margins and anticipated cash burn.The bigger issue may be that Quantum Computing has yet to fully articulate its commercialization thesis based on its revenue performance. With under $4 million in revenue from core operations last quarter, the firm is still relying on its investments to generate the bulk of its top line. Thus, like QNT above, QUBT shares are highly speculative at this stage. Analysts tend to be a bit more cautious about this firm, assigning it four Buy ratings, two Holds, and one Sell rating. Shares have shed 19% of their value so far this year but have about 120% in analyst-predicted upside potential.