Quantum Computing Stocks See Surging Valuations Amid Concerns of Overinflation

Analysts warn of speculative trading as Rigetti and peers experience triple-digit gains despite limited practical applications in the near term.

Quantum computing stocks, including Rigetti, Quantum Computing Inc., D-Wave Quantum, and IonQ, have seen extraordinary growth, with some rising over 1,000% in the past year.
The high price-to-sales ratios of these companies, averaging 827.37, have raised concerns among analysts about inflated valuations disconnected from current earnings or practical applications.
Google's recent announcement of its Willow chip and Nvidia's upcoming Quantum Day have increased investor interest, though experts predict practical quantum computing is still 15 years away.
Rigetti Computing, identified by some investors as having the highest return potential, plans to develop a 100-qubit computer by year-end and improve qubit fidelity by 2025.
While analysts maintain a bullish outlook on Rigetti, the stock's current price significantly exceeds average price targets, highlighting the speculative nature of the quantum computing market.