IonQ (IONQ) AI Stock Analysis

• Market Cap: $10.92B
• Dividend Yield: N/A
• Average Volume (3M): 19.93M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.77
• Revenue Growth: 67.83%
• EPS Growth: -154.69%
• Country: US
• Employees: 407
• Sector: Technology
• Sector Strength: 87
• Industry: Computer Hardware
• EPS (TTM): -0.70
• Shares Outstanding: 296,841,300
• 10 Day Avg. Volume: 20,343,410
• 30 Day Avg. Volume: 19,933,428
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.94
• Enterprise Value/Revenue: 196.17
• Enterprise Value/Gross Profit: 470.02
• Enterprise Value/Ebitda: -27.65
• 1Y Price Target: $49.57
• Price Target Upside: 34.74% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 45 Neutral
• Price Target: $39.00 ▲(6.01% Upside)

IonQ's strong revenue growth and strategic advancements in quantum computing are offset by significant financial challenges, including high operating costs and ongoing losses. The stock's technical indicators suggest potential bearish momentum, and its valuation metrics highlight profitability concerns.

Positive Factors

Market Position

IonQ is well positioned to take its place among the winners in the quantum computing market, expected to exit 2025 with annualized revenues in excess of $100M and potentially reaching $1B in revenue over the next few years.

Revenue Growth

IonQ reported revenue over 20% above guidance, and raised FY revenue guidance at the midpoint from $85mn to $91mn.

Strategic Vision

IONQ is positioning itself as a leader in both quantum computing and the increasingly critical field of quantum networking, driven by a clear strategic vision and an accelerated technical roadmap.

Negative Factors

Acquisition Risks

There is caution around the company's recent acquisitive nature and its unclear implications on both growth and profitability.

Business Risks

Risks associated with the business have notably increased given limited clarity relating to the roadmap.

Profitability Concerns

Guidance for EBITDA losses widened by 30%, raising concerns about profitability.

IonQ Business Overview & Revenue Model

Company Description

IonQ, Inc. (IONQ) is a leading quantum computing company that develops and commercializes quantum computing hardware and software. The company operates in the technology sector, focusing on creating quantum computers that leverage trapped ion technology, which is known for its high fidelity and reconfigurability. IonQ aims to make quantum computing accessible through cloud-based platforms, enabling researchers, businesses, and developers to solve complex problems that classical computers struggle with.

How the Company Makes Money

IonQ generates revenue primarily through providing access to its quantum computing capabilities via cloud services. The company collaborates with major cloud providers like Amazon Web Services (AWS), Microsoft Azure, and Google Cloud, allowing users to access IonQ's quantum computers on a pay-per-use basis. Additionally, IonQ engages in partnerships with research institutions and enterprises to develop customized quantum solutions, further contributing to its revenue streams. The company's earnings are also supported by funding from government contracts and grants aimed at advancing quantum technology.

IonQ Financial Statement Overview

Summary

IonQ shows promising revenue growth but faces significant profitability and cash flow challenges. The company's strong equity position provides a cushion, yet the persistent losses and cash burn are concerns. Future focus should be on improving operational efficiency and achieving profitability to sustain growth.

Income Statement

IonQ's income statement shows significant revenue growth over the years, increasing from $2.1M in 2021 to $43.1M in TTM (Trailing-Twelve-Months) 2025. However, the company is still unprofitable with a negative net profit margin of -753.3% in TTM 2025. The EBIT and EBITDA margins are also deeply negative, indicating the company is struggling to cover its operational costs. Despite revenue growth, the high net losses are a concern.

Balance Sheet

IonQ's balance sheet displays a strong equity base with a total stockholders' equity of $765M in TTM 2025, indicating financial stability. The debt-to-equity ratio is low at 0.02, suggesting minimal leverage and low financial risk. However, the company has been incurring losses, which could affect long-term equity if not reversed.

Cash Flow

The cash flow statement reveals negative free cash flow growth and operating cash flow, highlighting challenges in generating positive cash flow from operations. The free cash flow to net income ratio is negative, reflecting the company's ongoing cash burn. Despite substantial financing inflows, the company needs to improve its cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	52.37M	43.07M	22.04M	11.13M	2.10M	0.00
Gross Profit	21.86M	22.48M	13.93M	8.19M	1.06M	-143.00K
EBITDA	-371.55M	-213.80M	-147.38M	-80.14M	-36.14M	-14.33M
Net Income	-463.58M	-331.65M	-157.77M	-48.51M	-106.19M	-15.42M
Balance Sheet
Total Assets	1.35B	508.39M	553.58M	597.99M	642.03M	60.48M
Cash, Cash Equivalents and Short-Term Investments	546.85M	340.29M	355.44M	355.80M	522.47M	36.12M
Total Debt	19.27M	17.73M	8.11M	4.05M	4.21M	4.27M
Total Liabilities	168.16M	124.53M	68.59M	29.78M	50.80M	6.78M
Stockholders Equity	1.16B	383.86M	484.99M	568.21M	591.23M	53.70M
Cash Flow
Free Cash Flow	-249.16M	-123.67M	-98.36M	-57.26M	-36.56M	-23.68M
Operating Cash Flow	-222.94M	-105.68M	-78.81M	-44.70M	-26.54M	-12.01M
Investing Cash Flow	-400.25M	82.73M	68.77M	-309.06M	-213.78M	-11.68M
Financing Cash Flow	781.95M	41.69M	1.76M	1.10M	603.23M	276.00K

IonQ Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 36.79
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IONQ, the sentiment is Neutral. The current price of 36.79 is below the 20-day moving average (MA) of 40.54, below the 50-day MA of 41.46, and above the 200-day MA of 34.47, indicating a neutral trend. The MACD of -1.01 indicates Positive momentum. The RSI at 39.42 is Neutral, neither overbought nor oversold. The STOCH value of 12.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IONQ.

IonQ Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
QUBT	51 Neutral	$2.38B	―	-32.63%	―	-21.56%	-103.08%
Sector *	50 Neutral	AU$1.64B	0.25	3.91%	3.36%	15.69%	-2.65%
RGTI	49 Neutral	$4.91B	―	-48.81%	―	-37.20%	-58.82%
QBTS	48 Neutral	$5.24B	―	-83.70%	―	120.20%	-143.95%
IONQ	45 Neutral	$10.92B	―	-57.06%	―	67.83%	-154.69%

IonQ Corporate Events

IonQ Approves Executive Equity Grants and Salary Increase

On August 11, 2025, IonQ‘s Board approved equity grants for its executives to align incentives with shareholder results. CEO Niccolo de Masi received RSUs for 485,319 shares and a salary increase, while CLO Paul T. Dacier was granted RSUs for 109,197 shares, both vesting over three years.

IonQ Files Prospectus for Stock Resale

On August 11, 2025, IonQ, Inc. filed a prospectus supplement with the SEC for the resale of 13,220,367 shares of common stock by certain stockholders. This filing is part of the company’s ongoing efforts to manage its stockholder equity and maintain compliance with SEC regulations.

IonQ Completes Acquisition of Capella Space Corporation

On July 11, 2025, IonQ completed its acquisition of Capella Space Corporation, a company specializing in synthetic aperture radar and satellite solutions. This acquisition is a significant step for IonQ in developing a space-based quantum key distribution network, which aims to enable secure global communications. The integration of Capella’s satellite capabilities with IonQ’s quantum technology positions IonQ to pioneer advancements in quantum networking and secure communications, benefiting commercial applications, global defense, and intelligence missions.

IonQ Enters Underwriting Agreement with J.P. Morgan

On July 7, 2025, IonQ, Inc. entered into an underwriting agreement with J.P. Morgan Securities LLC for the sale of shares and warrants, including 14,165,708 shares of common stock and 39,898,087 warrants. This strategic move is expected to enhance IonQ’s financial position and support its growth in the quantum computing market. The closing of the offering is anticipated to occur on July 9, 2025, potentially impacting stakeholders by increasing the company’s capital and enabling further technological advancements.

IonQ Confirms Director Elections at Annual Meeting

IonQ, Inc. held its annual meeting of stockholders on June 17, 2025, where key proposals were voted on. The election of two Class I directors, Niccolo de Masi and Inder M. Singh, was confirmed, and the compensation of named executive officers was approved on a non-binding basis. Additionally, Ernst & Young LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

IonQ Files Prospectus for Resale of Shares

On June 9, 2025, IonQ, Inc. filed a prospectus supplement with the SEC for the resale of 903,195 shares of its common stock by certain stockholders. This filing is part of a registration rights agreement and includes a legal opinion from Paul, Weiss, Rifkind, Wharton & Garrison LLP, indicating compliance with regulatory requirements.

IonQ to Acquire Oxford Ionics for $1.075 Billion

On June 7, 2025, IonQ announced its agreement to acquire Oxford Ionics for $1.075 billion, combining IonQ’s quantum computing stack with Oxford Ionics’ ion-trap technology. This acquisition is expected to accelerate the development of powerful quantum computers, enhancing capabilities in various fields and expanding IonQ’s presence in the UK. The transaction is anticipated to close in 2025, subject to customary conditions.

IonQ Completes Acquisition of Lightsynq Technologies

On May 30, 2025, IonQ completed its acquisition of Lightsynq Technologies Inc. The transaction involved the issuance of 12,377,433 shares of IonQ’s common stock, with some shares subject to vesting conditions. This acquisition is part of IonQ’s strategic efforts to enhance its market positioning and operational capabilities. A Registration Rights Agreement was also established, granting the sellers of Lightsynq shares certain rights related to the stock consideration.