Quantum Computing Brightens: 2 Stocks to Track by 2026

Key Developments in Quantum Computing for 2025

The year 2025 marked a significant turning point in the quantum computing landscape, with several major players unveiling groundbreaking advancements. These developments have not only demonstrated technical progress but also signaled growing commercial interest and investment in the field.

IBM's Strategic Moves

IBM took a major step forward by introducing a new IBM Quantum data center. This initiative is part of a multi-year plan aimed at achieving fault-tolerant systems. The company’s roadmap has instilled confidence among investors, as it outlines a clear path toward practical quantum applications. By setting a technical timetable that aligns with industry expectations, IBM continues to solidify its position as a leader in the quantum computing space.

Amazon's Ocelot Chip

Amazon Web Services (AWS) launched its first quantum chip, named Ocelot. This chip is designed to significantly reduce error-correction overhead—by up to 90%. This advancement could accelerate the development of practical quantum hardware, making it more viable for real-world applications. AWS’s entry into this space highlights the growing importance of quantum computing in cloud services.

Honeywell's Financial Growth

Honeywell’s Quantinuum raised approximately $600 million at a valuation nearing $10 billion. This substantial funding reflects strong private-sector confidence in the potential of quantum computing. Additionally, the company secured a contract with the Defense Advanced Research Projects Agency (DARPA) under the Quantum Benchmarking Initiative, further enhancing its credibility in the industry.

Google's Breakthrough

Google made headlines with its 105-qubit Willow chip, which successfully ran the “Quantum Echoes” algorithm. This achievement reportedly made the chip 13,000 times faster than classical supercomputers for a molecular-simulation task. This milestone is widely regarded as the first real-world quantum application, marking a significant step toward practical quantum computing.

Emerging Contenders

IonQ and D-Wave Quantum are emerging as key players in the quantum computing space. IonQ has advanced its roadmap and expanded its cloud access, while D-Wave has focused on expanding its hybrid platform as customer adoption increases. Both companies are well-positioned to capitalize on the growing demand for quantum solutions.

Shifting Investor Expectations

The progress in 2025 has shifted investor expectations from distant scientific promise to nearer-term commercialization. This momentum suggests continued capital deployment in 2026, with more customer engagements and deeper collaborations between industry and government sectors. These partnerships are expected to drive revenue growth and further valuation gains for platforms that deliver results.

However, there are still risks associated with quantum computing. True fault-tolerant quantum computers are years away, and until companies can demonstrate millions of stable logical qubits running real workloads, investment outcomes will remain uncertain. Investors are increasingly opting for staged, milestone-based funding rather than committing all their capital upfront.

Considerations for Investors

Currently, it makes sense to consider pure-play quantum stocks, provided investors understand the high-risk, high-reward profile of the sector. These companies offer direct exposure to breakthroughs in quantum hardware and software but are also more volatile and heavily dependent on technical execution. For long-term, disciplined investors, a small, diversified allocation can provide early exposure to a technology that may ultimately reshape computing, AI, and cybersecurity while keeping overall portfolio risk in check.

Stock Performance Highlights

IonQ

IonQ delivered a strong performance in 2025, with 222% year-over-year revenue growth in its third quarter. The company also beat the high end of its guidance by 37%. It achieved a world-record 99.99% two-qubit gate fidelity and hit its “#AQ 64” target three months ahead of schedule. IonQ’s “Tempo” system now unlocks a vastly larger computational space than competing commercial superconducting systems. The company expanded aggressively after a $2 billion equity raise, carrying $3.5 billion in pro-forma net cash. This Zacks Rank #3 (Hold) stock is expected to report 2026 earnings growth of 66.2% on sales growth of 69%. Year to date, the stock has gained 26.1%.

D-Wave Quantum

D-Wave Quantum showed real commercial progress in 2025. In May, the company announced general availability of its sixth-generation annealing quantum computer, Advantage2, a 4,400+ qubit system described as production-ready for real-world optimization, materials-simulation, and AI workloads. In the last-reported third quarter, D-Wave reported $3.7 million in revenues, up 100% year over year, along with improved gross margins and a €10 million 50%-capacity system deal with an Italian quantum-computing alliance for 2025–2026. Moreover, the company announced that its Advantage2 system is now operational at a major U.S. government defense subcontractor’s facility. This Zacks Rank #3 stock is expected to report 2026 earnings growth of 9.3% on sales growth of 61.3%. Year to date, the stock has surged 221.4%.