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How Quantum Computing is Funding Its Next Quantum Phase

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Key Takeaways

  • QUBT rapidly expanded liquidity to over $1.5B through aggressive capital raises.
  • Quantum Computing's cash burn stays manageable as it invests in R&D and scaling operations.
  • QUBT's strengthened balance sheet supports long-term quantum commercialization efforts.

Quantum Computing Inc. (QUBT - Free Report) or “QCi” has rapidly strengthened its financial foundation, using an aggressive capital strategy to secure a strong cash position. Through the months of 2025, the company increased its cash and equivalents to $352.4 million and investments to $460.6 million, bringing total liquidity to roughly $813 million. It is followed by an additional oversubscribed $750 million private placement, which pushed current liquid assets well above $1.5 billion. This dramatic expansion of cash runway provides QCi the multi-year stability required to fund deep-tech development cycles, where commercial revenue remains modest. 

The large raises also serve as validation, signaling institutional investors’ conviction and de-risking the path toward commercialization while allowing the company to operate with minimal debt. With operating expenses remaining in the $10 million range per quarter, QCi’s cash burn is meaningful but manageable given its sizable liquidity. 

This positions the company to invest aggressively in R&D, scale its thin-film lithium niobate photonics foundry, attract technical talent and pursue strategic growth opportunities without relying on near-term revenue spikes or additional financing. Operating in an industry defined by long development horizons and high capital intensity, QCi’s strengthened balance sheet has become an asset. This materially enhances its ability to execute on its quantum commercialization roadmap.

Peer Update

In the third quarter, D-Wave Quantum (QBTS - Free Report) reported a record consolidated cash balance of $836.2 million, representing a substantial increase from about $29.3 million in the prior-year quarter. This growth was driven primarily by cash proceeds from warrant exercises, which contributed $39.9 million during the quarter and an additional $21.3 million after quarter-end through early November. This strong cash position provides D-Wave with significant liquidity, reflecting both operational progress and strategic balance sheet management. This also underscores QBTS’ ability to support ongoing development and commercialization efforts.

In the third quarter, IonQ (IONQ - Free Report) reported a pro-forma cash, cash equivalents and investments balance of approximately $3.5 billion following the completion of a $2 billion equity offering in October 2025, one of the largest single institutional stock investments in quantum industry history. This reflects strong investor demand for IonQ’s growth narrative and provides significant liquidity to support its long-term commercialization plans and acquisitions. This capital strength is a cornerstone of IONQ’s strategy, enabling continued R&D investment, global expansion and execution of strategic deals while managing ongoing operating losses.

QUBT’s Price Performance

Over the past year, QCi’s shares have gained 110.4%, outperforming the industry’s 2% growth. The S&P 500 composite has jumped 15.3% in the same period.

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Expensive Valuation

QUBT currently trades at a forward 12-month Price-to-Sales (P/S) of 1955.20X compared with the industry average of 5.56X.

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QUBT Stock Estimate Trend

In the past 30 days, its loss per share estimate for 2025 has narrowed 6 cents to 19 cents.

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QUBT currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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