Jim Cramer Highlighted 16 Stocks Including Quantinuum, and the Market’s Appetite for New Supply

8. Quantinuum Inc. (NASDAQ:QNT)

Quantinuum Inc. (NASDAQ:QNT) was among the stocks Jim Cramer highlighted on Mad Money as he noted that the market has an appetite for stocks. Cramer highlighted the company’s good balance sheet but noted that it is unprofitable. He stated:

This is a very unprofitable venture right now, and it will likely remain unprofitable for years to come… Now, Quantinuum does have a good balance sheet with basically no debt, but it’s also deeply cash flow negative at this point, as you might expect with those losses. Sooner or later, these guys are going to have to raise more money either through borrowing or maybe through additional stocks. But honestly, those current numbers are basically irrelevant here because the buyers just don’t care. This is pure… speculation.

It may very well be the case that Quantinuum should be considered one of the leaders in quantum computing technology; I don’t have enough degrees to assess whether that’s true or not. But even if Quantinuum’s the best operator, we have no idea how many years it will take before quantum computing becomes commercially viable. Think years and years of potentially huge losses. Now, I never want to stop someone from speculating on a story that they truly believe in, so as long as they understand what they’re doing, it’s fine. As we’ve seen over and over again in the past year, speculating on the quantum stocks has been pretty lucrative, though not for the poor souls who bought these stocks at the top last October. So you gotta be careful.

But for me, the story’s too speculative to recommend right now, especially with the sky-high valuation the stock’s getting right out of the gate… The bottom line: After long existing as a sub of Honeywell, Quantinuum finally came public, and while it’s got a good story to tell, this is just not enough of an actual business yet. If you want to buy it, only use money you can afford to lose because this really is the most extreme form of speculation. I just wanted to put it out there. Everyone’s so excited about Quantinuum, I just want to invoke a little bit of caution.

Quantinuum Inc. (NASDAQ:QNT) develops and manufactures quantum computing hardware and software. The company provides an integrated platform that combines hardware systems, middleware, and application software.