Quantum computing is more than just the next big thing in the computer industry – it is also a fast-maturing sector that was already valued at $1.9 billion last year, according to a QED-C report, and is expected to surpass $4 billion by 2028. Key drivers behind that growth include rising revenues, higher investment levels, and an expanding workforce across the sector.
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Explore RGTU for 2X leverage on RGTIQuantum computing and quantum sensing have become the sector’s two largest revenue-generating markets, with both expected to post annualized growth rates exceeding 30% over the next 18 months. Quantum computing is projected to grow into a nearly $3 billion market, while quantum sensing is expected to reach about $1.1 billion over the same period.
That type of expansion naturally creates significant opportunities for investors, although the competitive landscape remains highly uneven. Some companies appear far better positioned than others to capitalize on the industry’s long-term growth potential.
Jefferies analyst Kevin Garrigan recently took a closer look at two prominent players in the sector, Rigetti Computing (NASDAQ:RGTI) and IonQ (NYSE:IONQ), following their newly released first-quarter 2026 earnings results, though he believes only one stands out as the better quantum computing stock to buy in today’s market. Let’s take a closer look.
Rigetti Computing
Among the publicly traded quantum names, Rigetti Computing has become one of the market’s more closely watched players. Founded in 2013, the Berkeley-based company focuses on building superconducting quantum integrated circuits, the core hardware behind quantum computers. Rigetti also develops quantum processor chips and the ultra-cold dilution systems needed to create the extreme temperatures required for quantum systems to function.
Rigetti aims to develop and build the world’s most powerful quantum computers, and to move them into the commercial markets. The company’s approach is based on integrated systems that include the hardware, the chips, and the software, so that quantum computing can be made available as quickly as possible. More importantly, the company has developed a Quantum Cloud Services platform (QCS), capable of connecting its quantum machines to any cloud server system – public, private, or hybrid.
Currently, Rigetti has several models of quantum computers available for commercial use. These include the company’s Ankaa-3 flagship system, which uses a non-modular chip, and the smaller Novera quantum computer. The Novera computer is a 9-qubit QPU system, and features a modular design. It is designed to operate as a stand-alone system, but it can also operate as a linked series – customers can connect several Novera units to start with a more powerful computer, and can add additional modules later, as needed. The design makes quantum computing power available on a flexible basis.
Rigetti’s latest system, launched just last month, is another modular system – Cepheus-1-108Q. This quantum computer was based on the modular architecture, and features a set of 12 interlinked 9-qubit chiplets. It was designed to achieve the maximum leverage from the company’s modular architecture, and it triples the qubit count of Rigetti’s previous large systems.
On the financial side, Rigetti generated $4.4 million in revenue during 1Q26. That figure beat the forecast by over $272 thousand, and was up by just over 199% year-over-year. At the bottom line, Rigetti met expectations; while it ran a net quarterly loss, the non-GAAP EPS of ($0.04) marked a one-cent-per-share improvement year-over-year and was in line with the forecasts.
For Jefferies analyst Garrigan, Rigetti presents a sound base, with product lines that are both high-quality and highly credible.
“RGTI is showing credible progress on its technological roadmap and commercial traction. Cepheus-1-108Q system now being GA across cloud channels is a validation of the company’s chiplet-based architecture and gives access to one of the larger gate-based superconducting systems available today. The fidelity of the system will be an important KPI to track, with the current system at 99.1% median two-qubit gate fidelity and a target of 99.5% later this year on the path toward 99.9%. Commercially, traction is improving but remains early and lumpy, with RGTI expected to recognize remaining Nuvera revenue in Q2, and the $8.4M CDAC 108Q system beginning in 4Q26,” Garrigan opined.
Looking ahead, however, Garrigan takes a cautious position, stating of the company, “Net-net, the roadmap is progressing and customer engagement is building, but we need to see continued execution.”
To this end, the Jefferies analyst puts a Hold rating on RGTI stock, along with a $20 price target that implies a one-year upside of 5%. (To watch Garrigan’s track record, click here)
Overall, Rigetti has picked up plenty of interest on Wall Street, and the 11 recent analyst reviews, with their 8 Buys and 3 Holds, give the stock its Moderate Buy consensus rating. The shares are trading for $19.07, and the average price target, at $30, implies a one-year gain of 57%. (See RGTI stock forecast)
IonQ
For the next quantum stock on the list, we’ll look at IonQ, a quantum computing company that has prioritized an interesting and unusual approach to the technology. IonQ has created quantum circuits using trapped ion technology, essentially using the natural quantum states of charged atomic particles to store quantum qubit information.
It’s a clever approach, and makes use of the fact that all atoms are composed of subatomic particles, most with electric charges, that are subject to the laws of quantum mechanics – and so can make up the basic elements of a quantum computer. IonQ has developed a mechanism of using electromagnetic fields to trap charged ions, and uses lasers to manipulate those ions, tapping their quantum properties to make use of them. The company uses the rare-earth metallic element ytterbium as the source material for the ions in its quantum computers.
The company currently offers several commercially available quantum computing systems, including the Forte and Forte Enterprise platforms, both capable of delivering roughly 36 algorithmic qubits. The Forte Enterprise system is optimized for data center deployment and designed to fit within existing server rack infrastructure. That compatibility has helped IonQ to put quantum computing in the loop for cloud access, and makes it available to such partners as AWS, Azure, and Google Cloud. IonQ’s latest system, Tempo, delivers 64 algorithmic qubits and is designed to offer substantially faster performance than earlier publicly available quantum computing systems.
IonQ backs up its products with a network of offices, and aims to build a total of 2 million qubits by 2030. The company’s quantum computers are finding applications in numerous fields, including cybersecurity, defense, drug discovery, financial modeling, logistics, and materials science. The company protects its intellectual property with more than 1,100 patents, either granted or pending, around the world.
The 1Q26 report showed that IonQ brought in $64.7 million in quarterly revenue, exceeding the estimates by $14.93 million and jumping an impressive 754% year-over-year. The company raised its revenue guidance for the full year to the range of $260 million to $270 million, well above the $236.18 million consensus figure.
That momentum is the takeaway from analyst Garrigan’s notes on IonQ, where he writes of the quantum computing firm: “The company continues to execute on multiple monetization paths spanning compute, networking/security, and sensing. The product roadmap continues to advance, with the 256-qubit system demonstration reiterated for 4Q26 and early customer deliveries beginning in 2Q27. This system is supported by multiple completed tape-outs and improving silicon performance as IONQ works with SKYT… The proposed SKYT acquisition remains on track to close in 2Q26/3Q26 and will help accelerate development cycles. On the commercial front, momentum continues to build/broaden, with 60% of revenue from commercial customers, 35% international, and 35% from multi-product sales. This momentum is seen across hardware, networking, and sensing markets.”
This adds up to a sound view of the future, and Garrigan adds, “We continue to view the setup for IONQ as attractive and see the company increasingly differentiated as it pairs a semiconductor leveraged roadmap with diversification across compute, networking/security, and sensing.”
Summing up his bullish stance, Garrigan rates IONQ as a Buy, and his $85 price target points to a 52% gain for the stock in the coming months.
Wall Street broadly shares that optimism. Based on 12 recent analyst reviews, including 9 Buys and 3 Holds, IONQ carries a Strong Buy consensus rating. With the shares trading at $55.87, the average price target of $64.13 suggests another 15% upside over the next year. (See IONQ stock forecast)
With the facts laid out, we see that the Jefferies analyst likes IonQ as the stronger quantum computing stock to buy in the wake of the earnings reports.
Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.