The quantum computing space is gaining massive momentum in the race to become Wall Street's hottest opportunity in 2026. This is all because federal funding is accelerating, enterprise interest is growing, and investors continue to search for the next breakthrough technology after artificial intelligence.
Yet stock selection is becoming increasingly tricky day by day.
While investors have aggressively bid up industry leaders like IonQ IONQ and Rigetti Computing RGTI during the first half of 2026, a closer look at earnings revisions and business fundamentals suggests that Quantum Computing Inc. QUBT, a comparatively more speculative quantum stock, may offer the more attractive opportunity in June.
Quantum Momentum Builds but Risks Remain for Pureplay Leaders
After facing significant headwinds early in 2026, quantum computing has rapidly regained investors’ favor and become one of Wall Street's most compelling investment opportunities. Earlier in the year, risk-off sentiment driven by tariff concerns, persistent inflation uncertainty and concerns that large-scale quantum commercialization remained years away weighed heavily on the sector. However, the sentiment shifted dramatically as both public- and private-sector participation accelerated.
According to McKinsey’s latest report, quantum computing could create up to $2.7 trillion of economic value worldwide by 2035. IonQ and Rigetti Computing emerged as two of the biggest beneficiaries of this uptrend during the first half of 2026. IonQ gained momentum on the back of strong revenue growth, a growing backlog and strategic acquisitions, while Rigetti gained investors’ interest through hardware advancements, deployment of its 108-qubit system and continued participation in government-funded quantum initiatives.
Meanwhile, a major catalyst came in May when the U.S. Department of Commerce announced letters of intent for roughly $2 billion in proposed funding for quantum-related projects under the CHIPS and Science Act. Around the same time, IBM pledged to invest more than $10 billion in U.S.-based quantum and mainframe manufacturing over the next five years, reflecting growing confidence in the technology's long-term potential.
However, this also raised expectations considerably. While IonQ has benefited from acquisition-driven revenue growth and Rigetti has made notable technological progress, both companies continue to face profitability challenges and execution risks. As valuations expanded rapidly, investors increasingly began questioning whether near-term fundamentals could keep pace with stock-price appreciation, creating a more selective environment within the quantum space.
QUBT: A Better Bet for June
Unlike IonQ, whose shares have already captured much of the sector's renewed optimism, Quantum Computing (popularly known as QCi) offers a more attractive risk-reward profile at current levels. Year to date, QUBT has significantly underperformed the broader quantum rally, gaining only about 9.1%. This leaves more room for upside if execution continues to improve.
QUBT YTD Share Price Comparison
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The company's fundamentals are also strengthening. First-quarter 2026 revenues surged to $3.7 million from just $39,000 a year ago, driven by the acquisitions of Luminar Semiconductor and NuCrypt.
The company ended the quarter with $1.4 billion in cash, cash equivalents and investments and reported a healthy $16 million backlog. Management also highlighted increasing business-development activity, early revenue generation from its Fab 1 foundry, progress toward a larger Fab 2 facility and growing traction in quantum communications, photonics and government-related markets.
With a stronger balance sheet, expanding manufacturing capabilities and lower investor expectations than some peers, QUBT appears better positioned for positive surprises in the months ahead.
Technical Chart Signals Improving Investor Sentiment
QCi currently trades below its 200-day SMA but above its 50-day SMA, implying that while the stock remains in a longer-term consolidation phase, near-term momentum has turned positive and buying interest is gradually returning. The graph shows the potential for a longer-term trend reversal if the stock can reclaim its 200-day moving average.
QUBT Technical Analysis Since June 4, 2025
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Short-Term Price Target Impressive
Based on short-term price targets offered by six analysts, the average price target for Quantum Computing represents an increase of 59.2% from the last closing price of $11.20.
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The Closing Call
The market's focus has largely centered on IonQ and Rigetti, but QUBT may offer a better risk-reward profile at current levels. Strong liquidity, growing backlog, manufacturing expansion and improving business momentum provide several potential catalysts for future gains. Given that investor expectations remain relatively modest compared with the bigger names, QUBT appears well positioned to surprise on the upside. Notably, this improving outlook is reflected in its Zacks Rank #2 (Buy), while IonQ and Rigetti currently carry a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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This article originally published on Zacks Investment Research (zacks.com).