Benchmark said multiple quantum hardware platforms can succeed as enterprise adoption expands, reducing the likelihood of a single dominant player emerging.

  • Benchmark assigned price targets of $60 for IonQ, $30 for D-Wave Quantum, and $25 for Rigetti Computing.
  • The price targets imply an over 90% potential upside for all three companies.
  • The firm said recent advances in quantum computing continue to validate the technology's commercial potential and support higher long-term valuations.

Shares of IonQ (IONQ), D-Wave Quantum (QBTS) and Rigetti Computing (RGTI) rallied on Monday after Benchmark reinstated coverage of the quantum computing sector with bullish ratings, stating the industry is still in its early stages and is unlikely to produce a single dominant winner.

The firm initiated coverage of all three companies with 'Buy' ratings, assigning a $60 price target to IonQ, $30 to D-Wave Quantum, and $25 to Rigetti Computing. The firm’s price targets largely align with the broader Wall Street 12-month averages, implying a potential upside of over 90% for each of the stocks, as per Koyfin data.

RGTI stock and IONQ shares both rose over 8% each, while QBTS stock rallied over 16%. QBTS gains came alongside D-Wave announcing an expanded agreement with AT&T (T) to deploy its quantum computing technology across the telecom giant's network operations. 

Why Is Benchmark Bullish On RGTI, IONQ, QBTS Stocks?

According to research notes cited by TheFly, Benchmark said it remains "bullish" on the quantum computing sector, stating that recent technological progress continues to strengthen the industry's long-term investment case.

The analysts stated that it is not a "winner-takes-all" situation. They said the sector remains early in its commercialization cycle, with multiple hardware architectures and approaches still competing for adoption. Benchmark recommended that investors may be better served by taking a diversified approach rather than trying to identify a single long-term winner today.

How Is Retail Feeling About Quantum Computing Stocks?

On Stocktwits, retail sentiment around QBTS stock flipped to ‘bullish’ from ‘bearish’ over the past day, with chatter rising to ‘high’ from ‘low’ levels. Platform data shows a nearly 500% increase in message volume in the last 24 hours. 

Meanwhile, sentiment around RGTI stock rose to ‘neutral’ from ‘bullish’ territory over the past day, and sentiment around IONQ stock remained in the ‘bullish’ zone. Both QBTS and RGTI ranked among the top trending tickers on Stocktwits at the time of writing.

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