Both Rigetti Computing Inc (NASDAQ: RGTI) and IonQ Inc (NYSE: IONQ) have soared about 50% over the past month as investors ran into the quantum computing stocks in hopes they’ll emerge as the next goldmines after AI in 2025.
According to some experts, quantum technology’s transformative influence on industries across the board could prove even more game-changing than artificial intelligence over the next few years.
But which one, among Rigetti Computing Inc. and IonQ stock, is a better pick for exposure to the expected meteoric growth in quantum technology moving forward? Let’s explore!
IONQ has superior technology to RGTI
IonQ shares may be a better investment for exposure to quantum technology this year, as it uses a more advanced approach than its peer, Rigetti Computing.
RGTI uses superconducting qubits, whereas IonQ employs ion-based technology that eliminates the need for excessive cooling infrastructure. Its machines are capable of operating fully at room temperature.
This is significant since it makes it easier for businesses to adopt IonQ’s technology.
IonQ’s trapped ion qubits offer significantly better fidelity and longer coherence times compared to Rigetti’s superconducting qubits as well.
Additionally, the NYSE-listed firm allows cloud-based access to its quantum computers versus a less attractive hybrid model for RGTI.
At writing, IONQ shares are down some 40% versus their year-to-date high.
IonQ stock offers better fundamentals than Rigetti
IonQ may trump its rival Rigetti Computing for exposure to quantum technology, also because it offers significantly better financials than the latter.
In its latest reported quarter, RGTI saw its revenue tank 33% on a year-on-year basis to $2.3 million.
The company’s gross margin also crashed more than 3,000 basis points to 44% in Q4.
On the flip side, IONQ nearly doubled its revenue to about $11.71 million in its fourth financial quarter.
The company based out of College Park, MD, also took a hit to its profit margin in Q4, but the decline was much less in percentage terms compared to Rigetti.
Note that neither Rigetti Computing nor IonQ stock pays a dividend at the time of writing.
The bottom line
Given its superior technology and accelerated rate of growth, IONQ shares do look more appealing for quantum technology exposure in 2025.
Rigetti’s poor sales numbers compared to a rapid increase in IonQ’s revenue in recent quarters indicate the latter’s trapped-ion qubits are sitting much better with customers than Rigetti’s superconducting qubits.
That said, it’s worth mentioning here that neither IonQ stock nor Rigetti Computing is particularly attractive in terms of valuation at the time of writing.
Both of those quantum stocks have price-to-sales ratios that currently sit well above 100, which is not super attractive, given the macroeconomic uncertainty in 2025.
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