We recently published a list of 12 Best Quantum Computing Stocks to Invest in Now. In this article, we are going to take a look at where IonQ, Inc. (NYSE:IONQ) stands against other best quantum computing stocks to invest in now.

When AI first gained widespread attention a few years ago, much of the conversation focused on its potential to boost productivity, streamline data analysis, and improve efficiency within businesses. While AI has certainly made an impact in those areas, its capabilities extend far beyond.

Lesser-known but equally important applications of AI include optimizing drug development processes, detecting financial fraud, and strengthening cybersecurity systems. However, achieving significant breakthroughs in these complex fields will require more advanced AI systems. That’s where quantum computing enters the picture. Although quantum technology hasn’t yet been fully integrated with AI, its potential to unlock new levels of performance and problem-solving is immense, offering a powerful future synergy between the two fields.

Quantum computing is a new type of computing that uses the strange rules of quantum physics to solve really hard problems. Unlike regular computers that use bits (which are either 0 or 1), quantum computers use qubits (quantum bits), which can be both 0 and 1 at the same time. This lets them handle a lot more information at once. Qubits can also be linked together in a special way called entanglement, which makes them even more powerful. Although today’s quantum computers are still early and not perfect, they’re improving fast and could one day change fields like medicine, finance, and cybersecurity.

In a recent CNBC interview, Executive Chair & Chairman of the Board of IonQ, provided insights into the company’s strategy and vision for the future of quantum computing and its integration with artificial intelligence. Chapman explains that the company uses a unique approach to building quantum computers based on trapped-ion technology, which offers greater stability and scalability than other quantum systems. This method allows for more precise control over qubits, which is essential for solving complex computational problems currently beyond classical computers’ reach.

Quantum Computing Can Enhance AI Capabilities

Chapman discusses how quantum computing can significantly enhance AI capabilities. Traditional AI algorithms, especially those involving large datasets and intricate optimization challenges, are limited by the processing power of classical systems. Quantum computers, however, have the potential to process exponentially larger datasets and perform calculations that would otherwise take years. This could lead to breakthroughs in areas like drug discovery, supply chain optimization, and financial modeling. The former CEO also highlighted the company’s focus on practical applications rather than just theoretical advancement. The company is actively developing quantum algorithms specifically designed to complement AI models, and it is working with major tech firms and research institutions to accelerate real-world adoption. Chapman envisions a future where quantum computing becomes a critical tool for AI development, enabling smarter, faster, and more efficient solutions across industries.

Our Methodology

To compile the list of 12 Best Quantum Computing Stocks to Invest in Now, we conducted thorough research, analyzing multiple financial media reports and industry reports. Starting with an initial list of 20 companies, we narrowed it down by choosing pure-play quantum computing stocks that are popular among elite hedge funds. The final selection is ranked in ascending order of their hedge fund sentiment, as of Q4 2024.

At Insider Monkey, we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

IonQ, Inc. (NYSE:IONQ)

Number of Hedge Fund Holders: 28

IonQ, Inc. (NYSE:IONQ) is developing advanced quantum computers and networks to address complex global problems and drive innovation across industries. Its proprietary and licensed technologies offer strategic advantages in both R&D and commercialization. The company sells quantum hardware, provides access via major cloud platforms, and offers its services and support to customers with professional services.

IonQ’s Q1 2025 earnings call highlighted its strategic expansion into quantum computing and networking. Niccolo de Masi assumed the CEO role, and Jordan Shapiro was promoted to lead Quantum Networking. IonQ, Inc. (NYSE:IONQ) announced acquisitions of Lightsynq and Capella to enhance quantum interconnects and space-based quantum key distribution, respectively. The company sold a Forte Enterprise system to EPB. IonQ’s revenue growth was flat year-on-year, at $7.6 million and a net loss of $32.3 million. The company reaffirmed its 2025 guidance, emphasizing ongoing R&D and commercialization investments to drive future growth.

IonQ, Inc. (NYSE:IONQ) is making major strides in quantum computing and quantum networking. It has acquired Lightsynq, which brings advanced diamond-based quantum memory—a type of long-lasting data storage that helps send quantum information over distances. This memory works with various quantum hardware types like ion traps and neutral atoms, thanks to the company’s frequency conversion tech (which adjusts photon signals so different systems can connect). It is also using Capella’s technology for secure communication in space, which helps expand both ground and satellite-based quantum networks. IonQ plans to use these parts to build the quantum internet—a future system where quantum computers link together securely over long distances. This is valuable for enterprises, the military, and critical infrastructure, especially as traditional encryption becomes vulnerable to future quantum attacks.

Overall, IONQ ranks 6th on our list of best quantum computing stocks to invest in now. While we acknowledge the growth potential of IONQ, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than IONQ but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.