Image Source: Pixabay

Quantum Computing Inc. (QUBT) is a U.S. tech company focused on making quantum computing more accessible and affordable.

It combines quantum computing, light-based computing (photonics), and artificial intelligence to solve complex problems in different industries.

Quantum computing stocks are generating a lot of interest because they represent the next frontier of computing technology, with the potential to revolutionize industries like finance, healthcare, cybersecurity, and artificial intelligence.

But are stocks like QUBT a good investment? Following its earnings release on March 20th, the stock price declined by 11.71%.

In this analysis, the Invest Diva Diamond Analysis (IDDA) framework will be applied to evaluate whether buying the dip can be an investment opportunity in this exciting emerging sector.

Video Length: 00:03:38

IDDA Point 1 & 2: Capital & Intentional

Investors should assess their personal financial goals and risk tolerance before considering Meta as part of their portfolio.

• Select your assets in alignment with your risk tolerance and financial goals.
• Listen to your intuition about each asset, but remember to invest based on your own values, not just because of recommendations from others.
• If Quantum Computing aligns with your financial goals, this could be a strategic entry point following the recent pullback.

IDDA Point 3: Fundamentals

➡️ QUBT’s main product is the Dirac-3 Entropy Quantum Computer, a high-tech machine that solves complex problems more efficiently. Unlike most quantum computers that require extreme cold temperatures, Dirac-3 runs at room temperature and uses very little power.

➡️ QUBT also makes photonic chips (tiny chips that use light instead of electricity), which help with high-speed internet and advanced computing, making it more energy efficient. With major players like IBM, Google, Microsoft, Amazon, IONQ and Rigetti Computing, these innovations make QUBT unique in the competitive world of quantum computing.

➡️ Financial Performance released on 20th March 2025

• Revenue: Q4 2024 revenues decreased to approximately $62,000 compared to $75,000 in the prior year quarter.
• Net Loss: The company reported a net loss of $0.47 per share, significantly higher than analysts’ expectations of a $0.05 loss per share.

➡️ Key Partnerships and Projects:

• Partnering with Sanders TDI: Biomedical research using Dirac-3.
• NASA Contracts: Improving imaging and data processing.
• Photonic Chip Orders: Supplying tech to universities and research institutions.

While QUBT is growing, it is still in the early stages of making money.

IDDA Point 4: Sentimental

Bullish Outlook:

✅ QUBT’s tech is promising, especially with government and corporate interest in AI and quantum computing.

✅ Involved in various partnerships and contracts such as NASA which ensures long term expansion and growth

Bearish Outlook:

❌ The long timeline for useful quantum computing. Nvidia’s CEO recently stated that it might take 15-30 years for quantum computing to be practical.

❌ QUBT is still yet to be profitable for investors as the company is still in the research and development phase.

Following the Q4 earnings release on the 20th March 2025, QUBT’s stock price declined by 11.71% to $7.39 as of the market close on March 20, 2025. Investors’ sentiment is bearish. 

IDDA Point 5: Technical

➡️ Technical Setup (Daily Time Frame):

🔻 Current Pattern Trend: Downward

🔻Ichimoku Cloud: Bearish and wide which reinforces a bearish trend.

🔻Candles are far below the cloud, which also signals downward pressure and also adds potential weakness in the near term.

Suggested Buy Limit (BL) Ideas:

For those considering adding Quantum Computing to their portfolio, here are some suggested entry points:

📌 $6.91(High risk)

📌 $5.74 (Medium risk)

📌$4.72 (Low risk)

Here are the Invest Diva ‘Confidence Compass’ questions to ask yourself before buying at each level:

1. If I buy at this price and the price drops by another 50%, how would I feel? Would I panic, or would I buy more to dollar-cost average at lower prices?

2. If I don’t buy at this price and the market suddenly turns around and starts going up again, will I beat myself up for not having bought at this level?

Remember: Investing is personal, and what is right for me might not be right for you. Always do your own due diligence. You should ONLY invest based on your own risk tolerance and your timeframe for reaching your portfolio goals

IDDA Overall: 

QUBT is a speculative, high-risk investment in an emerging industry.

It has exciting technology, strong partnerships (NASA, universities), and potential for future breakthroughs.

However, it is not yet profitable and still in the early stages of revenue generation.

If you’re interested in cutting-edge technology and are comfortable with high risk, QUBT might be worth considering. But if you prefer stable, lower-risk stocks, this may not be the best fit for you right now.

More By This Author:

Meta Stock : AI Growth And Reality Labs Recovery – Is It A Buy?
7 Best AI Stocks That Could Be Like Buying Apple For Pennies In 1986
Broadcom Stock Update: Google’s Potential Shift To MediaTek – Is AVGO Still A Buy?