Quantum Leap: Cantor rolls out coverage, picks favored quantum names

Welcome to the latest edition of “Quantum Leap” where The Fly decodes news and activity in the quantum computing space.

CANTOR ROLLS OUT COVERAGE: Cantor Fitzgerald initiated coverage of D-Wave Quantum (QBTS) with an Overweight rating and $20 price target. Quantum computing is in the early stages but remains one of the most highly coveted technical milestones with significant economic implications, Cantor Fitzgerald told investors in a research note. Companies are utilizing D-Wave’s Annealing technology in optimization problems, such as scheduling and logistics routing, and achieving productivity improvements, and D-Wave has demonstrated quantum computational supremacy on real-world problems, the firm said.

Cantor Fitzgerald initiated coverage of Rigetti Computing (RGTI) with an Overweight rating and $15 price target. Quantum computing is in the early stages but remains one of the most highly coveted technical milestones with significant economical implications, the analyst noted. While Rigetti is competing with Google (GOOGL), IBM (IBM), Intel (INTC), and Microsoft (MSFT), this ecosystem of technology leaders will help pave the way toward quantum capabilities within superconducting and positions Rigetti to benefit from the efforts of others, the firm argued.

Cantor Fitzgerald initiated coverage of Quantum Computing (QUBT) with a Neutral rating and $15 price target. After the closing of the equity private placement transaction on June 24, Quantum Computing’s total cash position is expected to exceed $350M, enabling the company to accelerate commercialization efforts and strategic acquisitions, said the firm.

Cantor Fitzgerald initiated coverage of IonQ (IONQ) with an Overweight rating and $45 price target. Cantor believes IonQ can capture 20% of the quantum hardware, software, and services market by 2035, or roughly to $636M in present value terms.

ADVANCEMENTS: Sealsq (LAES) reported new advancements in post-quantum cryptography aimed at mitigating existential threats to Bitcoin and blockchain networks. Several months ago, Sealsq raised alarms about the looming risk posed by quantum computing to existing cryptographic frameworks. Through its Quasars project, Sealsq said it is pioneering hybrid cryptographic solutions and quantum-resistant hardware designed to protect mission-critical infrastructures, such as IoT devices, secure communications, and blockchain protocols, from quantum-powered cyberattacks.

QUANTUM CORRIDOR: Sealsq and its parent company WISeKey International (WKEY) announced the launch of the Quantum Corridor, a transnational innovation infrastructure connecting next-generation quantum, AI, cybersecurity, and semiconductor projects across Spain, France, Switzerland, and the United States. The Quantum Corridor is designed to foster sovereign and secure technologies by integrating physical and digital infrastructures, research institutions, startups, and industrial players in a highly coordinated and secure innovation ecosystem.

DELAYED RESULTS: Quantum Corporation (QMCO) announced that it has filed a notification of late filing on Form 12b-25 with respect to its annual report on Form 10-K for the fiscal year ended March 31. As such, the planned release of the company’s FY25 financial results and the business update conference call originally scheduled to be held on Thursday, July 3 will be delayed. The company is reviewing its accounting related to certain revenue contracts as well as the application of standalone selling price under applicable accounting standards. The results of the review will need to be reflected in its financial statements for FY25 in the company’s annual report on Form 10-K. The company is working diligently to complete all remaining procedures and intends to file its annual report on Form 10-K and announce the date of its next conference call as soon as possible.

INTERNET OF MEDICAL THINGS: Sealsq announced expanded capabilities to support the evolving Internet of Medical Things, IoMT, landscape. Sealsq’s technologies provide essential security components for applications that secure communications, authenticate devices, and enforce compliance with next-generation digital health frameworks. The company said, “SEALSQ supports IoMT evolving needs by delivering security components that protect physical access to facilities, secure communications, and authenticate devices across government and consumer healthcare settings. While its Smart Card reader chips are integrated into IDENTIV terminals used by major European healthcare systems to read patient cards securely, SEALSQ’s Public Key Infrastructure and Secure Elements also enable in the field authentication and encryption for remote patient monitoring systems, protecting the flow of medical data between wearable devices and hospital systems.”