Jim Cramer Shares Key Insights About IonQ’s (IONQ) $2 Billion Offering

We recently published Jim Cramer Discussed These 11 Stocks & The Market’s 3rd Bull Run Anniversary. IonQ, Inc. (NYSE:IONQ) is one of the stocks Jim Cramer recently discussed.

IonQ, Inc. (NYSE:IONQ), a quantum computing hardware and software services provider, is a frequent feature of Cramer’s morning show. In this appearance, he discussed the firm’s recent $2 billion equity offering:

“Well just because of, I was talking to Carl the other day, when you want to see a peak in this Sherwood Forest that I’m talking about, the stocks that are pre revenue or have revenue but not much, particularly quantum and nuclear. You want to see some insider selling. You have to see some huge amount.  They have been bid up by retail. IONQ a total bid up by retail stock. Pricing 2 billion dollar equity offering, David, it’s not just common stock, it has, 93 dollar per share, it’s got all sorts of warrants. What that does it make it very hard to short. You don’t know what the real valuation of this is. It’s priced at 93 but I’m just saying, who know what the warrants are. See this is what you have. You have retail taking this stock up, by the way, mostly at night and early morning. And now you suddenly get a huge slug of 2 billion in equity. That’s what we saw in March and April of 2000, I don’t like this group, you know that. I think that the quantum stocks’ time has not come, although Jensen Huang when you ask him, he says, look it could happen.

Photo by Anton Maksimov juvnsky on Unsplash

“They’re first out of the shoot. I think this is the beginning. I think everyone’s going to take their cue from these guys. . .

“And I do think that they’re real companies, I’m not saying that they’re not, I’m just saying that when you see how much stock is being sold after how much the retail market has bid it up, now you need institutional money, because retail can’t handle a 2 billion dollar offering. That could be a sign that you gotta be a little more circumspect. How about that. I’m not calling for 2000, because this is not the whole market. The whole market was in on it in 2000. This is just quantum and flying cars. Uranium. Nuclear and satellite.”

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