tech
Bernstein says the future of tech is quantum. These two stocks have the most upside
While it is too early to identify the ultimate winners in quantum computing, two stocks already offer more attractive risk-reward ratios, Wall Street banks said.
TL;DR
- Bernstein believes quantum computing will be a specialized accelerator, forming a tri-processor architecture with CPUs and GPUs, rather than replacing traditional hardware.
- Rigetti Computing (RGTI) and Infleqtion (INFQ) are highlighted for their promising risk-reward ratios due to current market valuations not fully pricing in their potential.
- Rigetti is noted for its superconducting chiplet technology and a recent sale of a 9-qubit QPU, while Infleqtion benefits from the overlap between quantum sensing and computing, and a partnership with Nvidia.
- Mizuho, Citigroup, and BTIG have reiterated positive ratings or initiated coverage with buy recommendations on Rigetti and Infleqtion, respectively, citing specific price targets and potential upside.
- The quantum computing field is currently a mix of specialized companies and tech giants, and it's considered too early to determine the ultimate winners, with different modalities suited for various use cases.