Quantum Computing Stocks: Profit-Taking Looms Amid 2025 Roller Coaster
Key Points
- D-Wave led quantum stocks with 201% gains in 2025, followed by IonQ (76%) and Rigetti (37%), while Nvidia (42%) highlighted traditional tech's competitive threat
- Wall Street banks including JPMorgan, Jefferies, and Bank of America initiated coverage, signaling institutional recognition of the sector's potential
- ATR ratings between 7.89%-9.99% exceed IBD's recommended 8% threshold, confirming extreme volatility that demands careful position monitoring
AI Summary
Quantum Computing Stocks Face Volatility as 2025 Ends
Quantum computing stocks are experiencing significant volatility in the final days of 2025, mirroring their turbulent performance throughout the year. After a pop on December 22, these stocks sold off over the next three trading sessions through December 26.
Key Performance Data:
- D-Wave (QBTS): Up 201% YTD, closed at $26.15 (+3.4% on last reported day)
- IonQ: Down 1.6% to $45.25
- Rigetti: Performance mixed
Market Drivers:
The volatility stems from several factors: profit-taking as investors lock in 2025 gains, reduced trading volumes during the holiday season, valuation concerns heading into 2026, and the sector's inherent speculative nature suited more for swing trading than long-term holding.
Wall Street Interest:
Major financial institutions initiated coverage in 2025, including JPMorgan, Jefferies, Evercore ISI, Cantor Fitzgerald, and Mizuho Securities. Barclays and Bank of America published comprehensive reports on the emerging technology.
Competition Concerns:
Pure-play quantum stocks face pressure from tech giants. Nvidia, up 42% in 2025, has offered quantum computing solutions. Quantum stocks plunged on January 8, 2025, following Nvidia's Consumer Electronics Show presentation. Other major competitors include Google, IBM, and Microsoft.
Technical Indicators:
Average True Range (ATR) ratings show high volatility:
- D-Wave: 9.99% (highest among quantum stocks)
- Rigetti: 8.42%
- Quantum Computing: 7.98%
- IonQ: 7.89%
IBD recommends stocks with ATRs up to 8%, suggesting most quantum computing stocks exceed typical volatility thresholds. The sector remains attractive for its potential to solve complex problems beyond classical computing capabilities, but investors should monitor positions carefully given the extreme volatility.
Model Analysis Breakdown
| Model | Sentiment | Confidence |
|---|---|---|
| GPT-5-mini | Bearish | 80% |
| Claude Sonnet 4.5 | Bearish | 78% |
| Gemini 2.5 Pro | Bearish | 90% |
| Consensus | Bearish | 82% |