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Quantum Computing Inc. (QUBT)
NASDAQ:QUBT
Top Page
Quantum Computing
(NASDAQ:QUBT)
44Neutral
Quantum Computing (QUBT) vs. S&P 500 (SPY)
Market Cap
$1.01B
Dividend YieldN/A
Average Volume (3M)20.49M
Price to Earnings (P/E)―
Beta (1Y)0.87
Revenue Growth4.19%
EPS Growth-65.44%
CountryUS
Employees39
SectorTechnology
Sector Strength54
IndustryComputer Hardware
Share Statistics
EPS (TTM)-0.67
Shares Outstanding137,244,550
10 Day Avg. Volume37,341,193
30 Day Avg. Volume20,486,391
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)1897.54
Price to Cash Flow (P/CF)-40.00
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$8.50Price Target Upside6.12% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering0
Quantum Computing Business Overview & Revenue Model
Company DescriptionQuantum Computing, Inc. focuses on providing software tools and applications for quantum computers in Virginia. The company offers Qatalyst, a quantum application accelerator that enables developers to create and execute quantum-ready applications on conventional computers, while being ready to run on quantum computers as well as provides multiple quantum processing units including DWave, Rigetti, and IonQ. It focuses on serving commercial and government entities. The company, formerly known as Innovative Beverage Group Holdings, Inc. Quantum Computing, Inc. was founded in 2018 and is based in Leesburg, Virginia.
How the Company Makes MoneyQuantum Computing (QUBT) generates revenue primarily through the sale and licensing of its quantum hardware and software solutions. The company offers a range of products, including quantum processors and software platforms, which it licenses to technology companies, research institutions, and government agencies seeking to harness the power of quantum computing for complex problem-solving and innovation. Additionally, QUBT provides consulting and professional services to businesses looking to integrate quantum technologies into their operations, generating additional service-based revenue. Strategic partnerships with leading tech companies and research institutions further contribute to its earnings by expanding its market reach and collaborative research opportunities.
Quantum Computing Financial Statement Overview
Summary
Quantum Computing's financial health is under strain, primarily due to ongoing losses and negative cash flow. While the company maintains a strong equity position, the lack of profitability and cash generation from operations pose significant risks. Strategic improvements in revenue generation and cost efficiency are crucial for future stability.Income Statement
Quantum Computing shows a consistent pattern of negative profitability. The gross profit margin and net profit margin are negative, indicating the company is not generating enough revenue to cover its costs. The revenue growth rate from 2023 to TTM shows a slight improvement, but overall, profitability remains a significant concern.30
Negative
Balance Sheet
The balance sheet reflects a moderately stable equity position with a high equity ratio, suggesting reliance on equity rather than debt. However, the debt-to-equity ratio is low due to minimal debt, which is a positive sign. Yet, the return on equity is negative due to ongoing losses, highlighting profitability challenges.40
Negative
Cash Flow
Operating cash flow is consistently negative, indicating challenges in generating cash from core operations. The free cash flow to net income ratio is unfavorable, exacerbating concerns about liquidity and operational efficiency. Despite some cash inflow from financing activities, overall cash flow management appears weak.25
Negative
| Breakdown | |||||
| TTM | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 386.22K | 358.00K | 135.65K | 0.00 | 0.00 | 0.00 | Gross Profit |
| -8.26M | 162.00K | 74.71K | -9.00K | -6.61K | -2.64K | EBIT |
| -25.04M | -26.24M | -36.58M | -17.13M | -17.34M | -2.55M | EBITDA |
| -20.98M | -22.11M | -23.34M | -17.12M | -17.34M | -2.54M | Net Income Common Stockholders |
| -26.08M | -27.02M | -2.05B | -38.89M | -33.55M | -14.22M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 1.33M | 2.06M | 3.79M | 16.74M | 15.20M | 101.10K | Total Assets |
| 1.35M | 74.36M | 89.30M | 17.28M | 15.27M | 148.25K | Total Debt |
| 3.17M | 2.77M | 9.53M | 18.08K | 218.37K | 1.61M | Net Debt |
| 1.84M | 706.00K | 5.73M | -16.72M | -14.98M | 1.51M | Total Liabilities |
| 3.44M | 5.65M | 14.40M | 1.08M | 693.21K | 2.96M | Stockholders Equity |
| -2.08M | 68.70M | 74.90M | 16.20M | 14.57M | -2.81M |
| Cash Flow | Free Cash Flow | ||||
| -20.87M | -20.43M | -18.43M | -6.82M | -11.55M | -2.27M | Operating Cash Flow |
| -17.74M | -18.32M | -17.56M | -6.80M | -11.54M | -2.24M | Investing Cash Flow |
| -3.05M | -2.61M | -2.23M | -40.58K | -11.97K | -21.34K | Financing Cash Flow |
| 16.48M | 17.68M | 8.35M | 8.39M | 26.65M | 599.04K |
Quantum Computing Technical Analysis
Positive
8.01
Price Trends
8.12
Negative
8.37
Negative
4.53
Positive
Market Momentum
0.12
Negative
53.92
Neutral
76.55
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QUBT, the sentiment is Positive. The current price of 8.01 is above the 20-day moving average (MA) of 6.52, below the 50-day MA of 8.12, and above the 200-day MA of 4.53, indicating a neutral trend. The MACD of 0.12 indicates Negative momentum. The RSI at 53.92 is Neutral, neither overbought nor oversold. The STOCH value of 76.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QUBT.
Quantum Computing Risk Analysis
Quantum Computing disclosed 44 risk factors in its most recent earnings report. Quantum Computing reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Quantum Computing Peers Comparison
Overall Rating
UnderperformOutperform
Sector (58)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | $2.92T | 31.66 | 34.29% | 0.80% | 15.04% | 12.38% | |
78 Outperform | $2.06T | 20.39 | 32.91% | 0.35% | 13.89% | 38.99% | |
73 Outperform | $2.18T | 37.25 | 24.29% | ― | 10.99% | 91.61% | |
67 Neutral | $231.72B | 38.66 | 24.14% | 2.67% | 1.45% | -20.56% | |
58 Neutral | $21.97B | 10.63 | -18.43% | 2.40% | 4.67% | -24.47% | |
48 Neutral | $2.59B | ― | -170.20% | ― | -10.15% | -67.68% | |
44 Neutral | $1.01B | ― | -77.89% | ― | 4.19% | -65.44% |
* Technology Sector Average
Performance Comparison
QUBT
Quantum Computing
8.01
6.99
685.29%
AMZN
Amazon
201.13
21.30
11.84%
GOOGL
Alphabet Class A
165.06
14.91
9.93%
IBM
International Business Machines
250.34
65.75
35.62%
MSFT
Microsoft
389.97
-28.27
-6.76%
RGTI
Rigetti Computing
9.18
7.64
496.10%
Quantum Computing Earnings Call Summary
Earnings Call Date: Mar 20, 2025 | % Change Since: 8.39% | Next Earnings Date: May 8, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant partnerships and financial strengthening, particularly with NASA and the photonic chip foundry. However, challenges were noted in terms of decreased revenue, increased operating expenses, and a higher net loss. The positive advancements and strong financial position suggest potential for growth, but the financial metrics indicate existing hurdles.Highlights
Expansion of NASA Partnership
Secured fifth task order with NASA for developing quantum modeling and removal of solar noise using the Dirac-3 machine. Additional contract for phase unwrapping using Dirac-3, enhancing data accuracy and efficiency in large-scale imaging applications.
Progress in Photonic Chip Foundry
Quantum Photonic Chip Foundry in Tempe, Arizona is in the final stage of commissioning and on schedule to begin production in early Q2. Secured multiple preorders and five purchase orders for TFLN photonic chips.
Significant Financial Strengthening
Cash and cash equivalents increased by $76.9 million to $78.9 million at year-end. Total assets rose to $153.6 million, and stockholders' equity increased to $107.3 million. Strengthened balance sheet with additional private placement for $100 million.
Improved Gross Margin
Gross margin improved significantly to 55%, up from 13% in the fourth quarter of 2023, driven by focus on reducing direct cost of goods sold.
Lowlights
Decrease in Revenue
Fourth quarter 2024 revenues totaled approximately $62,000 compared to $75,000 in the prior-year quarter.
Increased Operating Expenses
Operating expenses for the fourth quarter totaled $8.9 million compared to $6.6 million in the same quarter last year, primarily due to higher employee-based expenses and increased depreciation.
Higher Net Loss
Reported a net loss attributable to common stockholders of $51.2 million compared to a net loss of $6.8 million in the prior-year quarter, primarily due to non-cash charges related to warrant liability.
Company Guidance
In the fourth quarter of 2024, Quantum Computing Inc. (QCi) made significant operational and financial strides, positioning itself for strong growth in 2025. The company's focus on quantum solutions and foundry services led to a transformed balance sheet, with total assets increasing to $153.6 million, up from $74.4 million in 2023. QCi's cash and cash equivalents rose to $78.9 million, thanks to $92.1 million raised in common stock offerings. Revenue for the quarter was approximately $62,000, with a notable improvement in gross margin to 55% from 13% in the previous year. Operating expenses increased to $8.9 million, driven by higher employee-related costs and depreciation. The company reported a net loss of $51.2 million, largely due to non-cash charges related to a warrant liability from a previous merger. QCi's international presence is expanding, with offshore orders for its photonic chips, while domestic focus remains strong for its quantum machines. The company is on track to begin production at its Quantum Photonic Chip Foundry in early Q2 2025, aiming to fulfill customer preorders and drive revenue growth.Quantum Computing Corporate Events
Private Placements and Financing
Quantum Computing Inc. Announces $100M Private Placement
Positive
Jan 8, 2025
Quantum Computing Inc. has announced a private placement of 8,163,266 shares of common stock at $12.25 per share, expected to raise $100 million in gross proceeds. The funds will enhance QCi’s financial position, supporting their growth plan and investment in thin-film lithium niobate photonic chips and quantum computing markets.
Executive/Board ChangesBusiness Operations and Strategy
Quantum Computing Extends CEO’s Contract with New Terms
Positive
Dec 31, 2024
Quantum Computing Inc. has amended the employment agreement with its CEO, Dr. William J. McGann, extending his term until December 31, 2025, while increasing his base salary and adding a bonus structure. These changes could influence the company’s leadership stability and strategic direction during a critical growth period in the quantum computing sector.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.